Equity Analyst, LightStream Research

Shifara Samsudeen, FCMA, CGMA

Equity Analyst

Long-Short Analysis on Japan, Asia and the World

LightStream Research

LightStream conducts quantitatively rigorous and data-driven analysis with a focus on Japan and Asia.

We consistently cover the Tech, Consumer and Industrial sectors, and provide ECM and Events coverage more broadly.

We supplement traditional qualitative insights from company relationships with a robust quantitative foundation that examines as much historical data as is available.
We further refine the accuracy of our insights and calls through the use of alternative data to flesh out current trends, and through a valuation framework that emphasises non-superficial peer group selection and a proper attempt to understand the metrics and changes that have driven security valuations in the past.

Event-Driven

<ul>
<li>On 7th January 2022, iFAST announced that it would be acquiring BFC Bank Limited (a UK-based Bank) for GBP25m (S$45.9m), and will have an 85% stake in the bank.</li>
<li>The acquisition would help iFast towards achieving its five-year plan of generating an AUA of S$100bn by 2028 with a number of other strategic benefits.  </li>
<li>However, BFC Bank is currently making losses, and it is likely that integration costs and these losses would push down iFast’s profitability as well, to the extent of potential losses.</li>
</ul>


On 7th January 2022, iFAST announced that it would be acquiring BFC Bank Limited (a UK-based Bank) for GBP25m (S$45.9m), and will have an 85% stake in the bank.
The acquisition would help iFast towards achieving its five-year plan of generating an AUA of S$100bn by 2028 with a number of other strategic benefits.  
However, BFC Bank is currently making losses, and it is likely that integration costs and these losses would push down iFast’s profitability as well, to the extent of potential losses.


IFast’s Acquisition of BFC Bank: Improved AUA at the Cost of Short-Term Profitability

Equity Capital Markets

<a href="https://www.smartkarma.com/entities/ifast-corp-ltd" target="_blank" data-smartkarma-citation="entities:17798:1" rel="noopener">iFAST (IFAST SP)</a> reported its 3Q2021 results on Friday (22nd October) which saw revenues growing 23.4% YoY (net revenues increased 32.4% YoY) while operating profit increased 13.9% YoY during the quarter. The asset under administration (AUA) for the quarter increased to S$18.38 vs S$17.54 and S$12.59bn respectively in 2Q2021 and 3Q2021. The B2B segment showed strong growth where revenues increased 27.5% YoY while revenue from B2C segment increased 7.4% during the third quarter.The company has started generating income from the Hong Kong e-Pension platform project and expects earnings from HK business to accelerate in 2024/2025 driven by new ePension division.

iFAST (IFAST SP) reported its 3Q2021 results on Friday (22nd October) which saw revenues growing 23.4% YoY (net revenues increased 32.4% YoY) while operating profit increased 13.9% YoY during the quarter. The asset under administration (AUA) for the quarter increased to S$18.38 vs S$17.54 and S$12.59bn respectively in 2Q2021 and 3Q2021. The B2B segment showed strong growth where revenues increased 27.5% YoY while revenue from B2C segment increased 7.4% during the third quarter.The company has started generating income from the Hong Kong e-Pension platform project and expects earnings from HK business to accelerate in 2024/2025 driven by new ePension division.

IFast 3Q: EPension Project Starts Generating Income; 5-Year Plan to Further Drive Growth

Equity Bottom-Up

<a href="https://www.smartkarma.com/entities/ifast-corp-ltd" target="_blank" rel="noopener">iFAST (IFAST SP)</a>  reported its 2Q2021 results on Friday (23rd July) which saw revenues increasing 31.7% YoY while reported operating profit grew 46.0% YoY during the quarter. The net revenue from B2B segment increased 32.9% YoY while net revenue from B2C segment grew 30.5% YoY during 2Q2021 driven by increased investment subscription from customers in exchange-listed securities, service fee from currency conversion administration services and net inflows from clients in unit trusts (UTs). iFast’s assets under administration (AUA) grew 57.3% YoY to SG$17.54bn as at the end of June 2021 from SG$16.11bn as at the end of March 2021.

iFAST (IFAST SP)  reported its 2Q2021 results on Friday (23rd July) which saw revenues increasing 31.7% YoY while reported operating profit grew 46.0% YoY during the quarter. The net revenue from B2B segment increased 32.9% YoY while net revenue from B2C segment grew 30.5% YoY during 2Q2021 driven by increased investment subscription from customers in exchange-listed securities, service fee from currency conversion administration services and net inflows from clients in unit trusts (UTs). iFast’s assets under administration (AUA) grew 57.3% YoY to SG$17.54bn as at the end of June 2021 from SG$16.11bn as at the end of March 2021.

IFast 2Q: Strong Earnings; Winning Malaysian Digital Banking License Could Be a Near-Term Catalyst

Pan-Asia Catalysts/Events, Quiddity Advisors

Travis Lundy

Pan-Asia Catalysts/Events

Quiddity Advisors

<a href="https://www.smartkarma.com/entities/singapore-press-holdings-limited" target="_blank" data-smartkarma-citation="entities:9952:1" rel="noopener">Singapore Press Holdings (SPH SP)</a> had been undergoing a strategic review - something long awaited, and perpetually not quite done. The outcome is going to disappoint some (thus my title).Today, <a href="https://www.smartkarma.com/entities/singapore-press-holdings-limited" target="_blank" data-smartkarma-citation="entities:9952:1" rel="noopener">Singapore Press Holdings (SPH SP)</a> made an <a href="https://links.sgx.com/FileOpen/Announcement.ashx?App=Announcement&amp;FileID=665172" target="_blank" rel="noopener">announcement</a> (<a href="https://links.sgx.com/FileOpen/Media%20Release.ashx?App=Announcement&amp;FileID=665173" target="_blank" rel="noopener">media release</a>, <a href="https://links.sgx.com/FileOpen/Analyst%20Briefing.ashx?App=Announcement&amp;FileID=665174" target="_blank" rel="noopener">analyst presentation</a>) that it would undergo a Proposed Restructuring (defined by a Business Restructuring Deed ("BRD")) which would spin off the Media Business into a Media Holdco which would be run as a not-for-profit in the form of a Company Limited by Guarantee (CLG), basically a charity in corporate form (subject to the Companies Act). The quick and dirty of the situation is that SPH is giving away 6.6% of its equity (and 12+% of its market cap) to the ether so that it is no longer carrying the media business around its neck like an albatross. The Media business has seen revenue declines in the traditional print space, and SPH Media ad revenue fell 39% from FY2018 to FY2020. Operating revenue in the past five years has halved, and in FY2020, the SPH Media business posted its first ever loss. H1 2021 has seen the run-rate worsen further. The idea is to give away the business, and assets to help it fund itself, to ring-fence SPH from SPH Media going forward, and to remove the strictures of the Newspaper and Printing Presses Act ("NPPA") which bind SPH today.One can think of it as an owner having to recapitalise a loss-making business before selling it for a dollar. Sometimes something is worth less than nothing. It is not a done deal. There are conditions to complete. But it is worthwhile looking at the before/after to determine the "value" of SPH going forward because while revenue will drop, operating profits should increase on a pro-forma basis, and dropping the NPPA restrictions has the potential to make things quite interesting in the medium-long-term.More below the fold.

Singapore Press Holdings (SPH SP) had been undergoing a strategic review - something long awaited, and perpetually not quite done. The outcome is going to disappoint some (thus my title).Today, Singapore Press Holdings (SPH SP) made an announcement (media release, analyst presentation) that it would undergo a Proposed Restructuring (defined by a Business Restructuring Deed ("BRD")) which would spin off the Media Business into a Media Holdco which would be run as a not-for-profit in the form of a Company Limited by Guarantee (CLG), basically a charity in corporate form (subject to the Companies Act). The quick and dirty of the situation is that SPH is giving away 6.6% of its equity (and 12+% of its market cap) to the ether so that it is no longer carrying the media business around its neck like an albatross. The Media business has seen revenue declines in the traditional print space, and SPH Media ad revenue fell 39% from FY2018 to FY2020. Operating revenue in the past five years has halved, and in FY2020, the SPH Media business posted its first ever loss. H1 2021 has seen the run-rate worsen further. The idea is to give away the business, and assets to help it fund itself, to ring-fence SPH from SPH Media going forward, and to remove the strictures of the Newspaper and Printing Presses Act ("NPPA") which bind SPH today.One can think of it as an owner having to recapitalise a loss-making business before selling it for a dollar. Sometimes something is worth less than nothing. It is not a done deal. There are conditions to complete. But it is worthwhile looking at the before/after to determine the "value" of SPH going forward because while revenue will drop, operating profits should increase on a pro-forma basis, and dropping the NPPA restrictions has the potential to make things quite interesting in the medium-long-term.More below the fold. 

Singapore Press Own Time Own Target Restructuring Lor... (Come I Clap For You)

<a href="https://www.smartkarma.com/entities/ifast-corp-ltd" target="_blank" data-smartkarma-citation="entities:17798:1" rel="noopener">iFAST (IFAST SP)</a>  reported its 1Q2021 results on Thursday (22nd April) which saw revenues increasing 43.8% YoY while reported operating profit more than doubled to S$10.4m in 1Q2021 compared to SG$4.3m a year ago. The net revenue from B2B segment increased 30.7% YoY while net revenue from B2C segment grew 90.1% YoY during 1Q2021 driven by significant net inflows from clients in unit trusts (UTs). During the quarter, approx. 71% of net inflows of B2B clients came from UTs which contributed significantly to B2B net revenue growth.

iFAST (IFAST SP)  reported its 1Q2021 results on Thursday (22nd April) which saw revenues increasing 43.8% YoY while reported operating profit more than doubled to S$10.4m in 1Q2021 compared to SG$4.3m a year ago. The net revenue from B2B segment increased 30.7% YoY while net revenue from B2C segment grew 90.1% YoY during 1Q2021 driven by significant net inflows from clients in unit trusts (UTs). During the quarter, approx. 71% of net inflows of B2B clients came from UTs which contributed significantly to B2B net revenue growth.

IFast 1Q21 Results: Strong Earnings Momentum Continues

Singapore

iFAST is a global digital banking and wealth management platform. It offers a comprehensive range of investment products such as mutual funds, bonds, stocks, ETFs, and insurance, alongside services like online discretionary portfolio management, Fintech solutions, and pension administration. The company was incorporated 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

iFAST (IFAST SP)

IFast’s Acquisition of BFC Bank: Improved AUA at the Cost of Short-Term Profitability

The acquisition would help iFast achieve its five-year plan of generating an AUA of S$100bn by 2028. BFC is currently making losses, alongside...

Shifara Samsudeen, FCMA, CGMA

IFast 3Q: EPension Project Starts Generating Income; 5-Year Plan to Further Drive Growth

iFast reported strong 3Q earnings and has started generating income from HK ePension platform project and expects earnings from HK business to...

Shifara Samsudeen, FCMA, CGMA

IFast 2Q: Strong Earnings; Winning Malaysian Digital Banking License Could Be a Near-Term Catalyst

iFAST reported its 2Q2021 results on Friday which saw revenues increasing 31.7% YoY while reported operating profit grew 46.0% YoY during the quarter.

Shifara Samsudeen, FCMA, CGMA

Singapore Press Own Time Own Target Restructuring Lor... (Come I Clap For You)

SPH has announced a business restructuring to divest itself of its loss-making Media Holdings, paying to make it go away. This changes structure -...

Travis Lundy

IFast 1Q21 Results: Strong Earnings Momentum Continues

iFast reported its 1Q2021 results on Thursday (22nd April) which saw revenues increasing 43.8% YoY while reported operating profit more than...

Shifara Samsudeen, FCMA, CGMA

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)