Price Target : S$ 1.02

Analyst

TAN Ai Teng +65 6398 7967

AiTeng@dbsvickers.com

Result Summary

FY Mar (S$ m) 2Q

2014

2Q

2013

1Q

2014

yoy chg qoq chg

P& L Items

Turnover 27.0 11.6 15.2 132.4 77.4

Gross Profit 12.1 5.5 6.0 121.2 102.7

Opg Profit 6.2 1.7 2.1 274.4 198.2

EBITDA 6.1 1.8 2.0 236.8 200.1

Net Profit 3.3 (4.1) 0.4 nm 696.2

Other Data

Gross Margin (%) 44.9 47.2 39.3

Opg Margin (%) 22.9 14.2 13.6

Net Margin (%) 12.4 (35.4) 2.8

Financial Summary

FY Mar (S$ m) 2012A 2013A 2014F 2015F

Turnover 39 60 99 141

Operating Profit 6 12 35 50

EBITDA 8 13 29 43

Net Pft (Pre Ex.) 6 11 15 23

EPS (S cts) 1.1 1.3 1.3 2.0

EPS Pre Ex. (S cts) 1.1 0.9 1.3 2.0

EPS Gth (%) 117 10 3 53

EPS Gth Pre Ex (%) 142 (17) 37 53

PE Pre Ex. (X) 68.1 82.3 60.2 39.4

EV/EBITDA (X) 50.9 64.2 31.7 17.8

Net Div Yield (%) 0.6 0.6 0.6 0.6

P/Book Value (X) 3.0 2.5 2.4 2.3

Net Debt/Equity (X) CASH CASH CASH CASH

ROAE (%) 4.5 5.9 4.1 6.0

At A Glance

Issued Capital (m shrs) 1,157

Mkt. Cap (S$m/US$m) 903 / 726

Avg. Daily Vol.(?000) 8,408

Price Relative

58

258

458

658

858

1058

1258

0.0

0.2

0.4

0.6

0.8

1.0

Nov-09 Nov-10 Nov-11 Nov-12 Nov-13

S$ Relative Index

Yoma Strategic Holdings (LHS) Relative STI INDEX (RHS)

Source: Company, DBS Vickers

DBS Group Research . Equity 7 Nov 2013

Singapore Result Snapshot

Yoma Strategic Holdings

Bloomberg: YOMA SP EQUITY | Reuters: YOMA.SI Refer to important disclosures at the end of this report

Strong results, positive outlook

?

sales and pick up in construction2Q14 earnings slightly ahead, driven by brisk property

?

progressStar City is still the bright spot as Landmark awaits

? Maintain BUY and S$1.02 TP

Highlights

Net profit of S$3.3m was slightly ahead

S$4.1m in 2Q13 and net profit of S$0.4m in 1Q14. Excluding S$0.8m

of forex losses, core profit would have been S$4m vs our S$3.2m

estimate. Revenue surged 132% y-o-y and 77% q-o-q to S$27m., compared to net loss of

Property sales remains brisk, construction picks up pace.

reported S$15.1m of Land Development Rrights for block B2 and B5 in

Star City and S$2.25m incentive fees for meeting the sales target of

block B1. In 2Q14, Yoma sold 10 units in blocks A3 and A4. Together

with Zone B sales for the LDR investor, we estimated Yoma sold c.265

units this quarter, up from 174 units in 1Q14. ASP was stable at

US$150 psf. Meanwhile, construction pace has improved markedly as

Yoma recognised S$4m from sale of development properties in just

this quarter compared to a total of S$7.2m recognised in previous

periods.Yoma

Staff costs continued to expand

increase in staff strength to meet business expansion.to S$2.4m from S$0.8m due to

Our View

Star City continues to shine

so far, we expect Yoma to sell LDRs of the two remaining blocks soon.

The company would also receive more incentive fees accordingly.

Furthermore, Yoma has c.S$49m of unrecognized revenue in Star City

to be recognised over the next 15-21months as construction

progresses.. Given the strong take up rate of Zone B

Landmark still awaiting green light.

new 70 years Master Lease for Landmark, development on the ground

appears active. Yoma recently inked a MOU with Mitsubishi Group to

invest and jointly develop Landmark. This is Yoma's second tie-up with

an established corporation, after an earlier agreement with The

Hongkong and Shanghai Hotels Limited (HSH) to develop a Peninsula

hotel in Yangon. We believe the completion of this purchase would

accelerate development and unveil more opportunities for Landmark.Despite the delay in securing a

Maintain Buy, TP unchanged at S$1.02

quarter with improvement in property sales and construction. We

expect Star City to continue to provide earnings visibility and growth

while the Landmark project remains a wildcard.. This is overall a good

driven by continued strong performance of the Real Estate

Division. More updates to follow.