Insight Provider, CrossASEAN Research

Nicolas Van Broekhoven

Insight Provider

CrossASEAN Research

At CrossASEAN Research we strive to produce unbiased and differentiated on the ground insights on companies across South East Asia. Our Research is produced for the most part after face to face meetings and conversations with company management to dig deep into the long term vision and strategy of the companies we cover. We seek to deliver investable and actionable themes on sectors and markets across SE Asia, often in collaboration with other Insight Providers across the region, pooling the vast experience of the analysts within the Smartkarma Ecosystem. We also offer bespoke work and tailor made trips for our clients. 

Insights across South East Asia

Equity Bottom-Up

<p><a href="https://www.smartkarma.com/entities/15888" target="_blank" data-smartkarma-citation="entities:15888:1">Breadtalk Group Ltd (BREAD SP)</a> announced <a href="http://infopub.sgx.com/FileOpen/BTG_4Q2017_PressRelease.ashx?App=Announcement&amp;FileID=489714" target="_blank">full-year 2017 figures</a> which showed a slightly declining top line as the company is consolidating operations but, importantly, a large margin improvement over 2016. The company has been generous with dividends in 2017 and the last quarter continued this trend. Breadtalk will pay another 3 SGD cents in May 2017. This takes the full year dividend to 7 SGD cents or a yield well over 4% on the current share price.</p><table class="table table-striped"><tbody>
<tr>
<td style="text-align: center;">all in M SGD</td>
<td style="text-align: center;">2017</td>
<td style="text-align: center;">2016</td>
<td style="text-align: center;">% Change YoY</td>
</tr>
<tr>
<td style="text-align: center;">Revenues</td>
<td style="text-align: center;">599.7</td>
<td style="text-align: center;">6</td>
</tr>
</tbody></table>…

Breadtalk Group Ltd (BREAD SP) announced full-year 2017 figures which showed a slightly declining top line as the company is consolidating operations but, importantly, a large margin improvement over 2016. The company has been generous with dividends in 2017 and the last quarter continued this trend. Breadtalk will pay another 3 SGD cents in May 2017. This takes the full year dividend to 7 SGD cents or a yield well over 4% on the current share price.

all in M SGD
2017
2016
% Change YoY


Revenues
599.7
6

…

Breadtalk FY17 Results Confirm Margin Improvement Story Continues; More Dividends While You Wait

Asia Ex-J Consumer/ Transport analyst

Valerie Law, CFA

<p>During the Christmas holidays, overseas friends and relatives visited Singapore and asked me to book a dinner for all at Jumbo Seafood. Of all the restaurants in Singapore, why must we go to Jumbo, I asked? It turns out <em>chilli crab</em> was their must-have dish whenever they visit, and that seafood quality was consistent.</p><p>This incident spurred me to investigate the company, so here I summarise some points for investors to savour:</p><ol class=""><li>Its core brands: Jumbo Seafood and NG AH SIO Bak Kut Teh have fairly high consumer ratings in Singapore and China</li><li>A big chunk of management team's remuneration is aligned with the Group's performance</li><li>The company is entering a relatively higher growth phase, with 3-year net profit CAGR at 13.2% between 2017 -2020,  vs 3% CAGR in the past </li><li><p>Its operating margins and ROE are superior to restaurant peers in Singapore</p></li><li>The group has a strong balance sheet and positive free cash flow in the last few years</li><li>Jumbo Group has the second-highest ROIC amongst peers (at 22.4%) using a 5-year average figure. At 15.2x FY19 Ex-cash PE, market may be underestimating its growth and strong brands.</li></ol>

During the Christmas holidays, overseas friends and relatives visited Singapore and asked me to book a dinner for all at Jumbo Seafood. Of all the restaurants in Singapore, why must we go to Jumbo, I asked? It turns out chilli crab was their must-have dish whenever they visit, and that seafood quality was consistent.This incident spurred me to investigate the company, so here I summarise some points for investors to savour:Its core brands: Jumbo Seafood and NG AH SIO Bak Kut Teh have fairly high consumer ratings in Singapore and ChinaA big chunk of management team's remuneration is aligned with the Group's performanceThe company is entering a relatively higher growth phase, with 3-year net profit CAGR at 13.2% between 2017 -2020,  vs 3% CAGR in the past Its operating margins and ROE are superior to restaurant peers in SingaporeThe group has a strong balance sheet and positive free cash flow in the last few yearsJumbo Group has the second-highest ROIC amongst peers (at 22.4%) using a 5-year average figure. At 15.2x FY19 Ex-cash PE, market may be underestimating its growth and strong brands.

Hungry Go Where? Jumbo Group Looks Tasty at 15.2x FY19 Ex-Cash and Best-In-Class ROIC

SGX Market Strategist, Equity & Fixed Income, Singapore Exchange Ltd (SGX)

Geoff Howie

SGX Market Strategist, Equity & Fixed Income

Asia’s leading multi-asset exchange

Singapore Exchange Ltd (SGX)

Singapore Exchange is Asia’s leading and trusted market infrastructure, facilitating the exchange of capital and ideas to create value for people, businesses and economies. As a multi-asset exchange operating equity, fixed income and derivatives markets to the highest regulatory standards, SGX is a vertically integrated business that provides listing, trading, clearing, settlement, depository and data services.

With about 40% of listed companies and over 80% of listed bonds originating outside of Singapore as well as established linkages across the region and in Europe, SGX is Asia’s most international and connected exchange. Offering a full suite of derivatives products across Asian equity indices, commodities and currencies, SGX is the world’s most liquid international market for the benchmark equity indices of China, India, Japan and ASEAN.

As Asia’s pioneering central counterparty, SGX is globally recognised for its risk management and clearing capabilities, and was one of the first globally to adopt the Principles for Financial Market Infrastructure.

Headquartered in AAA-rated Singapore, SGX has over 800 employees including offices in Beijing, Chicago, Hong Kong, London, New York, Mumbai, San Francisco, Shanghai and Tokyo.

<!DOCTYPE html PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN" "http://www.w3.org/TR/REC-html40/loose.dtd">



Biggest Hospitality Stocks Average 20% YTD Gains

No Signboard Holdings – Singapore Lifestyle F&B Player Debuts on SGX

RE&S Holdings – Operator of Japanese F&B Outlets Debuts on SGX

Singapore

BreadTalk Group is a Singaporean multinational food and beverage corporation. It operates bakery chains, food courts, and restaurants, offering a diverse portfolio of brands including BreadTalk, Toast Box, Food Republic, and franchised Din Tai Fung outlets. The company was founded in 2000 and is headquartered in Singapore.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Breadtalk (BREAD SP)

Breadtalk FY17 Results Confirm Margin Improvement Story Continues; More Dividends While You Wait

Breadtalk Group Ltd (BREAD SP) announced full-year 2017 figures which showed a slightly declining top line as the company is consolidating...

Nicolas Van Broekhoven

Hungry Go Where? Jumbo Group Looks Tasty at 15.2x FY19 Ex-Cash and Best-In-Class ROIC

During the Christmas holidays, overseas friends and relatives visited Singapore and asked me to book a dinner for all at Jumbo Seafood. Of all the...

Valerie Law, CFA

Biggest Hospitality Stocks Average 20% YTD Gains

Singapore Exchange Ltd (SGX)

No Signboard Holdings – Singapore Lifestyle F&B Player Debuts on SGX

Singapore Exchange Ltd (SGX)

RE&S Holdings – Operator of Japanese F&B Outlets Debuts on SGX

Singapore Exchange Ltd (SGX)

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)