OUE    Last:1.06    -0.01

OUE LTD worth buying for long term

well, If OUE takes the company private, the company needs to cough out cash which could be better utilised such as to acquire more assets.

 

just thinking out loud  again on the same topic.... Now  with 846mill in cash (95cts per share), numerous assets' value  that can be unlocked (such as Crown Plaza hotel, One Raffles Place, OUE downtown, etc)  through H-trust  or  C REITS while still taking some control. So why not take it private since H-Trust and C REITS are listed?

 

Q1 2014 Results has already taken into consideration the provision for foreseeable loss of S$105.0 million provided on Twin Peaks based on the latest valuation obtained.

If without the provision, Net Profit would be : $ 1,012.2 M+ 105.0 M= $ 1,117.2 million

 

OUE&rsquo s Q1 2014 Net Profit Soars to S$1 billion

 * Other Gains of S$1.0 billion largely due to unlocking values of Mandarin Orchard Singapore and Mandarin Gallery

 * Revenue boosted by contributions from Lippo Plaza property in Shanghai and U.S. Bank Tower

    * Healthy cash balance of S$864.6 million

Financial Highlights S$ million		3 months ended 31 March		Change
Q1 2014		Q1 2013		%
Revenue	106.9		105.4		1.5
Earnings Before Interest and Tax	40.2		38.5		4.5
Net Profit	1,012.2		2.0		> 100.0
Net Attributable Profit	945.6		1.8		> 100.0

 

Singapore &ndash 9 May 2014 - SGX Mainboard-listed integrated property developer OUE Limited (" OUE" or the " Group" ) today announced a net profit of S$1.0 billion for the three months ended 31 March 2014 (" Q1 2014" ), reflecting more than 100% increase from S$2.0 million for the same quarter in the previous financial period (" Q1 2013" ).

This increase is largely due to a recognition of net fair value gain on Lippo Plaza property which amounted to S$114.8 million, as well as the gain amounting to S$986.4 million, resulting from unlocking the values of Mandarin Orchard Singapore and Mandarin Gallery, which had been disposed to OUE Hospitality Trust (" OUE H-TRUST" ). OUE H-TRUST was deconsolidated as a result of a reduction in the Group&rsquo s effective interest subsequent to a distribution in specie made to shareholders in Q1 2014. OUE H-TRUST is an associate of the Group as at 31 March 2014. The above gains are offset by an allowance for foreseeable loss of S$105.0 million provided on Twin Peaks based on the latest valuation obtained.

 

 

 

noslen      ( Date: 10-May-2014 13:44) Posted: My only concern is still the valuation loss on twin peak and the sales too... now waiting to see if the conversion to service apartment will take place and has any positive impact.

 

My only concern is still the valuation loss on twin peak and the sales too... now waiting to see if the conversion to service apartment will take place and has any positive impact.

 

it depends.

i bought the stock cos i knew it would recognised a 1 billion gain in Q1. however, many market participants may have already known that and bought it before that. it is an open information available to the market.

i think the stock is lagging mainly because the current projects it is managing (mandarin hotel, gallery etc) seem to have reached a plateau in terms of earnings. on the other hand, OUE downtown and one raffles place is yet to be fully operational and that would continue to dampen investor sentiments (since it is still in the gestation period). in addition, twin peaks is still struggling to sell and the mngt is still trying to convert it to service apartments (fyi twin peaks suffered a valuation loss in Q1). korean development is till 2018. hence, many of its key developments are still constructing and that will form a share overhang on this stock.

That being said, with its cash hoard, it may announce anytime substantial acquisition of properties that may boost its portfolio. that may or may not catalyse the stock.

imlearning      ( Date: 10-May-2014 11:18) Posted: Does anyone here expect the market to gap up on Monday?

 

Does anyone here expect the market to gap up on Monday?

 

Share price has lagged since last year when oue ht and oue creit were listed. With the recognition of the 2 properties, a gain in share price will be impending.

 

Previously due to accounting purposes, mandarin orchard was registered at cost. It was held under oue's account as property plant and equipment which cannot be revalued up (since they in fact would depreciate instead)

However, upon the disposal of a part of their stake in OUEHT, OUEHT becomes an associate company, in which mandarin orchard is now part of OUEHT. Hence properties can now be revalued

imlearning      ( Date: 10-May-2014 00:32) Posted: I dont understand why only after they dispose of assest then their nav shoot up? Why before these   assest was not prize into the nav. Can please share? I am green to these? Thanks jiejie      ( Date: 09-May-2014 21:28) Posted: Will the shore shoot up on mon? Since Nav has increased from $3.1 to $4.05

 

accounting style.... asset not price at latest mkt rate yet.....or the buyer pay above mkt price for the asset.

imlearning      ( Date: 10-May-2014 00:32) Posted: I dont understand why only after they dispose of assest then their nav shoot up? Why before these   assest was not prize into the nav. Can please share? I am green to these? Thanks jiejie      ( Date: 09-May-2014 21:28) Posted: Will the shore shoot up on mon? Since Nav has increased from $3.1 to $4.05

 

I dont understand why only after they dispose of assest then their nav shoot up? Why before these   assest was not prize into the nav. Can please share? I am green to these? Thanks

jiejie      ( Date: 09-May-2014 21:28) Posted: Will the shore shoot up on mon? Since Nav has increased from $3.1 to $4.05

 

Will the shore shoot up on mon? Since Nav has increased from $3.1 to $4.05

 

results out....make 1 billion net profit for this quarter...and have cash 800mill++

 

Read there's a foreseeable loss in value on Twin Peak at 105 million.

 

Hopefully So.  and hope will have some clarity on the IR in Korea soon.

 

US bank just renewed their lease for another 10 years and 1st quarter results will be out next week, hopefully a positive one to show transformation is moving in the right direction.

 

Quiet recently. Will lippo take oue private?

 

Breaking 2.29. Vol increasing. Seems to have impending news

 

Hmm... seems to have a force there making sure it doesn't break 2.25.

 

Agm on 29th apr. 

 

Think need to wait for release of more news for the jv for casino decelopment. How many lots are u all holding?