GST: The cost of Barisan’s financial sins and follies ~ The tax burden is expected to be lower compared with that under the present tax system. This is an Alice in Wonderland version. How the government arrived by its calculation of price reduction is anybody’s guess. Perhaps by the application of ‘tipu-nomics’ or ‘bodoh-nomics’. Any idiot will ask: how can government revenue collection go up when the tax burden goes down? ~ 30 Jan 2015
Super Group is the consumer stock to own this year: Maybank Kim Eng issued BUY call TP S$1.60
12 Mar 2015
Super Group is the "consumer recovery stock" to own in Singapore this year, with the company having completed a rebranding exercise, launched new premium products that command higher margins, and firmed up plans to penetrate new growth markets, says Maybank Kim Eng.
"Super today arguably has a stronger platform for growth. Its brand has been revitalised," Maybank Kim Eng analyst Gregory Yap wrote in a note today.
The instant beverage maker has signalled that revenue and profit will pick up this year, although "normal seasonality" can still be expected, with 2H2015 likely to be stronger than the first half, Yap said.
"Margins are also expected to improve, assuming input prices stay tame," with 4Q2014' s gross margins of 35% being "a good indicator" for 2015.
While the introduction from April of a goods and services tax in Malaysia, one of its key markets, could pose a challenge to business, prospects in most of its other markets are more favourable, he said.
Maybank Kim Eng has a "buy" call and $1.60 price target on the stock.
SuperGroup's net profit down 24% to $13.6m in Q1 ~ 1Q15 results largely in line, due to seasonality patterns. Net profit tumbled 24% to $13.6m, as revenue slipped 2% to $121.7m. Top line deteriorated from lower branded consumer segment (-5%), weighed by sales in Philippines, Malaysia and Eastern Europe, although partially offset by its food ingredients (+4%) from higher sales in ASEAN. Gross margin fell 2ppt to 36% from higher mix of food ingredients sales which has lower gross profit. Bottom line was also weighed by higher tax expense (+75%). NAV/share of $0.474. ~ 13 May 2015