| Fraser & Neave | |||||||
| Year | DPS | EPS | Retained EPS | ||||
| 2002 | 12 | 24.6 | a | 12.6 | |||
| 2003 | 10 | 29.1 | 19.1 | ||||
| 2004 | 18 | 32.7 | 14.7 | ||||
| 2005 | 27.4 | 37 | 9.6 | ||||
| 2006 | 31.7 | 40.1 | 8.4 | ||||
| 2007 | 33.2 | 42.9 | 9.7 | ||||
| 2008 | 39.8 | 46.8 | 7 | ||||
| 2009 | 35.3 | 68.2 | 32.9 | ||||
| 2010 | 45.5 | 86.3 | 40.8 | ||||
| 2011 | 183 | 88.7 | b | -94.3 | |||
| 2012 | |||||||
| Total | 435.9 | c | 496.4 | d | 60.5 | e | |
| From | 2002 | to | 2011 | ||||
| EPS increase (sen) | b-a | 64.1 | |||||
| DPO | c/d | 88% | |||||
| Return on retained earnings | (b-a)/e | 106% | |||||
| (Figures are in sens) | |||||||
Showing posts with label fn. Show all posts
Showing posts with label fn. Show all posts
Thursday 30 August 2012
Fraser & Neave - Return on Retained Earnings
Tuesday 7 August 2012
F&N's Q3 profit falls sharply to RM54.6mil
Fraser & Neave Holdings Bhd's (F&N) pre-tax profit for the third quarter ended June 6, 2012, fell sharply to RM54.63 million from RM92 million in the same period last year.
However, revenue for the period rose to RM896.70 million from RM882.48 million, driven by strong volume growth in all divisions, it said in filing to Bursa Malaysia today. F&N, which no longer distributes Coca-Cola products effective this financial year, said the soft drinks revenue increased 22 per cent on account of higher sales across all product categories partly from strong promotional drives and earlier Hari Raya selling-in window this year. On prospects, the company said its operating performance would be much lower than last year, due to the absence of the coca-cola business. It said although consumer confidence sentiment remained strong, the business would however continue to be challenged by macro and global financial uncertainties, affecting commodities' prices and currencies. "While the company's operating results will be much lower than that of last year due to the absence of the coca-cola business and the challenges faced by the dairy business in Malaysia and Thailand, F&N's overall results will be bolstered by the non-operating items, deferred tax asset recognition and pital gain crystallation," the company added. Bernama |
Saturday 23 June 2012
Investor's Checklist: Consumer Services
Most consumer services concepts fail in the long run, so any investment in a company in the speculative or aggressive growth stage of the business life cycle needs to be monitored more closely than the average stock investment.
Beware of stocks that have already priced in lofty growth expectations. You can make money if you get in early enough, but you can also lose your shirt on the stock's rapid downslide.
The sector is rife with low switching costs. Companies that establish store loyalty or store dependence are very attractive. Tiffany's is a good example; it faces limited competition in the retail jewelery market.
Make sure to compare inventory and payables turns to determine which retailers are superior operators. Companies that know what their customers want and how to exploit their negotiating power are more likely to make solid bets in the sector.
Keep an eye on those off-balance sheet obligations. Many retailers have little or no debt on the books, but their overall financial health might not be that good.
Look for a buying opportunity when a solid company releases poor monthly or quarterly sales numbers. Many investors overreact to one month's worth of bad same-store sales results, and the reason might just be bad weather or an overly difficult comparison to the prior-year period. Focus on the fundamentals of the business and not the emotion of the stock.
Companies also tend to move in tandem when news comes out about the economy. Look for a chance to pick up shares of a great retailer when the entire sector falls - keep that watch list handy.
Ref: The Five Rules for Successful Stock Investing by Pat Dorsey
Read also:
Investor's Checklist: A Guided Tour of the Market...
Beware of stocks that have already priced in lofty growth expectations. You can make money if you get in early enough, but you can also lose your shirt on the stock's rapid downslide.
The sector is rife with low switching costs. Companies that establish store loyalty or store dependence are very attractive. Tiffany's is a good example; it faces limited competition in the retail jewelery market.
Make sure to compare inventory and payables turns to determine which retailers are superior operators. Companies that know what their customers want and how to exploit their negotiating power are more likely to make solid bets in the sector.
Keep an eye on those off-balance sheet obligations. Many retailers have little or no debt on the books, but their overall financial health might not be that good.
Look for a buying opportunity when a solid company releases poor monthly or quarterly sales numbers. Many investors overreact to one month's worth of bad same-store sales results, and the reason might just be bad weather or an overly difficult comparison to the prior-year period. Focus on the fundamentals of the business and not the emotion of the stock.
Companies also tend to move in tandem when news comes out about the economy. Look for a chance to pick up shares of a great retailer when the entire sector falls - keep that watch list handy.
Ref: The Five Rules for Successful Stock Investing by Pat Dorsey
Read also:
Investor's Checklist: A Guided Tour of the Market...
Wednesday 7 March 2012
Fraser & Neave Holdings Berhad (At a Glance)
| Announcement Date | Financial Yr. End | Qtr | Period End | Revenue RM '000 | Profit/Lost RM'000 | EPS | Amended | ||||||
| 03-Feb-12 | 30-Sep-12 | 1 | 31-Dec-11 | 743,298 | 41,746 | 11.60 | - | ||||||
| 04-Nov-11 | 30-Sep-11 | 4 | 30-Sep-11 | 995,462 | 66,207 | 18.44 | - | ||||||
| 05-Aug-11 | 30-Sep-11 | 3 | 30-Jun-11 | 882,475 | 77,851 | 21.70 | - | ||||||
| 05-May-11 | 30-Sep-11 | 2 | 31-Mar-11 | 1,009,468 | 131,988 | 36.80 | - | ||||||
Thursday 9 February 2012
Analysts: Poor Q1 catalyst for F&N re-rating
Thursday February 9, 2012
Analysts: Poor Q1 catalyst for F&N re-rating
By LIZ LEE
lizlee@thestar.com.my
PETALING JAYA: Fraser & Neave Holdings Bhd's (F&N) poor first quarter results could cause a re-rating of the blue chip company but analysts see its current position as a temporary recovery phase before it bounces back to solid earnings.
For the first quarter ended Dec 31, 2011, the company recorded a 61% drop in net profit to RM41.75mil from RM107.08mil in the last corresponding quarter, a situation CIMB Research sees as a re-rating catalyst.
The two main factors pulling F&N's earnings down included the disengagement from its Coca-Cola business and operating losses caused by the Thailand floods last year. Coca-Cola contributed 30% to F&N's earnings.
The results were below CIMB Research's expectation at 14% of it's full-year forecast. The research house said a 20% to 25% achievement would be considered “within expectation”.
An analyst with a bank-backed brokerage said that he would be negative on the counter for the next one to two quarters, and had given a “sell” call.
“Their Thai dairy plant will begin operation in phases in March and it would take two to three months to ramp up production. I expect the sales volume to be on the lower side until May or June,” he said.
“The company is making the effort to plug its financial leakages with new soft drinks but at the expense of its margin as it spent a lot on advertising and promotion,” he said. F&N made a 9% increase in soft drinks revenue during the first quarter.
He noted that while F&N might have ways to support its operations over the longer term through the mixed development of its land in Section 13, Petaling Jaya, the outlook was not rosy in the near term.
The land, where the old factory used to be, is slated for development in 2013.
http://biz.thestar.com.my/news/story.asp?file=/2012/2/9/business/10699680&sec=business
Analysts: Poor Q1 catalyst for F&N re-rating
By LIZ LEE
lizlee@thestar.com.my
PETALING JAYA: Fraser & Neave Holdings Bhd's (F&N) poor first quarter results could cause a re-rating of the blue chip company but analysts see its current position as a temporary recovery phase before it bounces back to solid earnings.
For the first quarter ended Dec 31, 2011, the company recorded a 61% drop in net profit to RM41.75mil from RM107.08mil in the last corresponding quarter, a situation CIMB Research sees as a re-rating catalyst.
The two main factors pulling F&N's earnings down included the disengagement from its Coca-Cola business and operating losses caused by the Thailand floods last year. Coca-Cola contributed 30% to F&N's earnings.
The results were below CIMB Research's expectation at 14% of it's full-year forecast. The research house said a 20% to 25% achievement would be considered “within expectation”.
An analyst with a bank-backed brokerage said that he would be negative on the counter for the next one to two quarters, and had given a “sell” call.
“Their Thai dairy plant will begin operation in phases in March and it would take two to three months to ramp up production. I expect the sales volume to be on the lower side until May or June,” he said.
“The company is making the effort to plug its financial leakages with new soft drinks but at the expense of its margin as it spent a lot on advertising and promotion,” he said. F&N made a 9% increase in soft drinks revenue during the first quarter.
He noted that while F&N might have ways to support its operations over the longer term through the mixed development of its land in Section 13, Petaling Jaya, the outlook was not rosy in the near term.
The land, where the old factory used to be, is slated for development in 2013.
http://biz.thestar.com.my/news/story.asp?file=/2012/2/9/business/10699680&sec=business
Friday 25 November 2011
Fraser & Neave
Market Watch
| Announcement Date | Financial Yr. End | Qtr | Period End | Revenue RM '000 | Profit/Lost RM'000 | EPS | Amended | ||||||
| 04-Nov-11 | 30-Sep-11 | 4 | 30-Sep-11 | 995,462 | 66,207 | 18.44 | - | ||||||
| 05-Aug-11 | 30-Sep-11 | 3 | 30-Jun-11 | 882,475 | 77,851 | 21.70 | - | ||||||
| 05-May-11 | 30-Sep-11 | 2 | 31-Mar-11 | 1,009,468 | 131,988 | 36.80 | - | ||||||
| 07-Feb-11 | 30-Sep-11 | 1 | 31-Dec-10 | 1,028,026 | 107,084 | 0.30 | - | ||||||
| |||||||||||||||||||||||||||||||||||||||
Monday 15 November 2010
Fraser & Neave Holdings Berhad
Date announced 11-Aug-10
Quarter 30/09/2010 Qtr 4 FYE 30/09/2010
STOCK F&N C0DE 3689
Price $ 15.66 Curr. ttm-PE 17.86 Curr. DY 2.91%
LFY Div 45.50 DPO ratio 55%
ROE 17.4% PBT Margin 10.3% PAT Margin 46.7%
Rec. qRev 990251 q-q % chg 11% y-y% chq 9%
Rec qPbt 102105 q-q % chg 13% y-y% chq 51%
Rec. qEps 22.29 q-q % chg 13% y-y% chq 30%
ttm-Eps 87.69 q-q % chg 6% y-y% chq 39%
Using VERY CONSERVATIVE ESTIMATES:
EPS GR 5% Avg.H PE 15.00 Avg. L PE 13.00
Forecast High Pr 16.79 Forecast Low Pr 10.34 Recent Severe Low Pr 10.34
Current price is at Upper 1/3 of valuation zone.
RISK: Upside 17% Downside 83%
One Year Appreciation Potential 1% Avg. yield 4%
Avg. Total Annual Potential Return (over next 5 years) 5%
CPE/SPE 1.28 P/NTA 3.11 NTA 5.03 SPE 14.00 Rational Pr 12.28
Decision:
Already Owned: Buy, Hold, Sell, Filed; Review (future acq): Filed; Discard: Filed.
Guide: Valuation zones - Lower 1/3 Buy; Mid. 1/3 Maybe; Upper 1/3 Sell.
Aim:
To Buy a bargain: Buy at Lower 1/3 of Valuation Zone
To Minimise risk of Loss: Buy when risk is low i.e UPSIDE GAIN > 75% OR DOWNSIDE RISK <25%
To Double every 5 years: Seek for POTENTIAL RETURN of > 15%/yr.
To Prevent Loss: Sell immediately when fundamentals deteriorate
To Maximise Gain & Reduce Loss: Sell when CPE/SPE > 1.5, when in Upper 1/3 of Valuation Zone & Returns < 15%/yr
F&N's new CEO set to take firm to next stage of evolution
Saturday November 13, 2010
F&N's new CEO set to take firm to next stage of evolution
By ELAINE ANG
elaine@thestar.com.my
Fraser and Neave Holdings Bhd (F&N) has been very busy this year.
It has been involved in several corporate exercises aimed at transforming the group into a major regional food and beverage player.
In May, F&N sold its entire stake in Malaya Glass Products Sdn Bhd to Berli Jucker Public Co and ACI International Pty Ltd for US$221.7mil (about RM710.8mil) cash.
Then the group acquired a 23.08% stake, or 39.6 million shares, in Cocoaland Holdings Bhd for RM54.6mil cash, or RM1.38 per share in August.
In the same month, F&N appointed Datuk Ng Jui Sia as the company's new chief executive officer to replace Tan Ang Meng who was up for retirement.
Ng is a veteran in the Fraser and Neave Ltd, which owns a 57.4% stake in F&N, having joined the group in 1995.
He is also very familiar with the Malaysian operations as he was managing director of F&N Coca-Cola (M) Sdn Bhd from 1999 to 2006.
Under his stewardship, the company which was in the red became one of the most successful soft drinks companies in the country.
"The actions taken by the company were very much evolutionary in nature. Some of them were forced by circumstances and others evolved because we realised that we needed to grow the business," Ng explains.
"In five years, F&N will become a different animal. In the early years, we were so dependent on soft drinks but by acquiring our dairy business in Thailand and Malaysia we spread our wings wider.
"Our next strategy is to think about building a food pillar. Hence, the investment in snack food company Cocoaland Holdings Bhd."
Datuk Ng Jui Sia ... ‘In five years, F&N will become a different animal.'
The aim is for F&N to become a successful regional food and beverage company.
As part of its evolution process, F&N made the decision to sell the glass business to unlock value in the investment.
"This provides us with tremendous opportunity to optimise the capital and return money back to shareholders as well as look for investments with better yields.
"We moved away from an industrial focus to consumer focus where the returns are generally better," Ng says.
F&N is also looking to fill the segment gap which will result from the expiry of The Coca-Cola Co's bottling and distribution agreement on Sept 30, 2011.
"We will continue to fill the gap in our product segment that will be created by the Coca-Cola transition.
"In future, the gap will be filled by our own brands or other brands that appreciate the excellent marketing and distribution channel that we can provide for an instant foray into the domestic market," Ng says.
F&N has already started the ball rolling by developing and launching new products. Ng says the focus will be on the ready-to-drink tea, juice, energy and water categories.
Moreover, in February, the group announced that it had clinched an exclusive deal to sell and distribute Red Bull energy drinks in Malaysia.
Red Bull is the leading energy drink in Malaysia with a 40% market share in the last decade.
Ng says Japan's leading food and beverage company Kirin Holdings, one of Fraser and Neave group's investors, can also make use of its marketing and distribution channel.
"We are currently in discussions with a party. There are still a lot of brands that have yet to come to this part of the world.
"Our strategy to fill the gap is to have more of our own brands. We are also open to distribute other brands," he adds.
Another strategy is to go regional.
"We want to go regional for all our businesses – to Asean and even the Middle East as all our products are halal.
"We will start with exports first. Once we have built enough sales, we can have a manufacturing presence in these countries," Ng says.
Ng says the group is intensifying dairy exports out of Thailand into Indochina – Laos, Myanmar, Cambodia and Vietnam.
The group acquired Nestle's canned milk business in Thailand in 2006 and has dairy manufacturing facilities in Rojana that commenced commercial production early this year.
The Rojana plants has a capacity of some 10 million cartons of milk.
F&N is also aggressively looking for sizeable snack food companies in the Asean region to acquire in order to build up its business in the food segment.
On the homefront, the group's RM350mil plant in Pulau Indah is expected to be ready in mid-2011 to cater for domestic and overseas demand. The plant will boost capacity to 15 million cartons from the present 11 million cartons .
This will result in the full relocation of its existing dairies production in Petaling Jaya's Section 13 to Pulau Indah.
"We are evaluating whether to develop the land in Section 13, Petaling Jaya or sell it. The F&N Group is major property player in China, Australia and Britain. So, there is a lot of resources we can tap on.
"There is a big opportunity for us to develop it and we have huge capability from the Fraser and Neave group," Ng says.
For the financial year ended Sept 30, 2010, the group's profit after tax (excluding the gain of divestment of the glass operations) rose 48.6% to RM307mil versus RM206.5mil in 2009.
Revenue grew 11.2% to RM3.6bil compared with RM3.3bil.
The divestment of the glass operations resulted in a gain of RM382mil.
http://biz.thestar.com.my/news/story.asp?file=/2010/11/13/business/7418440&sec=business
F&N's new CEO set to take firm to next stage of evolution
By ELAINE ANG
elaine@thestar.com.my
Fraser and Neave Holdings Bhd (F&N) has been very busy this year.
It has been involved in several corporate exercises aimed at transforming the group into a major regional food and beverage player.
In May, F&N sold its entire stake in Malaya Glass Products Sdn Bhd to Berli Jucker Public Co and ACI International Pty Ltd for US$221.7mil (about RM710.8mil) cash.
Then the group acquired a 23.08% stake, or 39.6 million shares, in Cocoaland Holdings Bhd for RM54.6mil cash, or RM1.38 per share in August.
In the same month, F&N appointed Datuk Ng Jui Sia as the company's new chief executive officer to replace Tan Ang Meng who was up for retirement.
Ng is a veteran in the Fraser and Neave Ltd, which owns a 57.4% stake in F&N, having joined the group in 1995.
He is also very familiar with the Malaysian operations as he was managing director of F&N Coca-Cola (M) Sdn Bhd from 1999 to 2006.
Under his stewardship, the company which was in the red became one of the most successful soft drinks companies in the country.
"The actions taken by the company were very much evolutionary in nature. Some of them were forced by circumstances and others evolved because we realised that we needed to grow the business," Ng explains.
"In five years, F&N will become a different animal. In the early years, we were so dependent on soft drinks but by acquiring our dairy business in Thailand and Malaysia we spread our wings wider.
"Our next strategy is to think about building a food pillar. Hence, the investment in snack food company Cocoaland Holdings Bhd."
Datuk Ng Jui Sia ... ‘In five years, F&N will become a different animal.'
The aim is for F&N to become a successful regional food and beverage company.
As part of its evolution process, F&N made the decision to sell the glass business to unlock value in the investment.
"This provides us with tremendous opportunity to optimise the capital and return money back to shareholders as well as look for investments with better yields.
"We moved away from an industrial focus to consumer focus where the returns are generally better," Ng says.
F&N is also looking to fill the segment gap which will result from the expiry of The Coca-Cola Co's bottling and distribution agreement on Sept 30, 2011.
"We will continue to fill the gap in our product segment that will be created by the Coca-Cola transition.
"In future, the gap will be filled by our own brands or other brands that appreciate the excellent marketing and distribution channel that we can provide for an instant foray into the domestic market," Ng says.
F&N has already started the ball rolling by developing and launching new products. Ng says the focus will be on the ready-to-drink tea, juice, energy and water categories.
Moreover, in February, the group announced that it had clinched an exclusive deal to sell and distribute Red Bull energy drinks in Malaysia.
Red Bull is the leading energy drink in Malaysia with a 40% market share in the last decade.
Ng says Japan's leading food and beverage company Kirin Holdings, one of Fraser and Neave group's investors, can also make use of its marketing and distribution channel.
"We are currently in discussions with a party. There are still a lot of brands that have yet to come to this part of the world.
"Our strategy to fill the gap is to have more of our own brands. We are also open to distribute other brands," he adds.
Another strategy is to go regional.
"We want to go regional for all our businesses – to Asean and even the Middle East as all our products are halal.
"We will start with exports first. Once we have built enough sales, we can have a manufacturing presence in these countries," Ng says.
Ng says the group is intensifying dairy exports out of Thailand into Indochina – Laos, Myanmar, Cambodia and Vietnam.
The group acquired Nestle's canned milk business in Thailand in 2006 and has dairy manufacturing facilities in Rojana that commenced commercial production early this year.
The Rojana plants has a capacity of some 10 million cartons of milk.
F&N is also aggressively looking for sizeable snack food companies in the Asean region to acquire in order to build up its business in the food segment.
On the homefront, the group's RM350mil plant in Pulau Indah is expected to be ready in mid-2011 to cater for domestic and overseas demand. The plant will boost capacity to 15 million cartons from the present 11 million cartons .
This will result in the full relocation of its existing dairies production in Petaling Jaya's Section 13 to Pulau Indah.
"We are evaluating whether to develop the land in Section 13, Petaling Jaya or sell it. The F&N Group is major property player in China, Australia and Britain. So, there is a lot of resources we can tap on.
"There is a big opportunity for us to develop it and we have huge capability from the Fraser and Neave group," Ng says.
For the financial year ended Sept 30, 2010, the group's profit after tax (excluding the gain of divestment of the glass operations) rose 48.6% to RM307mil versus RM206.5mil in 2009.
Revenue grew 11.2% to RM3.6bil compared with RM3.3bil.
The divestment of the glass operations resulted in a gain of RM382mil.
http://biz.thestar.com.my/news/story.asp?file=/2010/11/13/business/7418440&sec=business
Sunday 29 August 2010
F&N to subscribe 23.08% new Cocoaland shares at RM1.38 each
F&N to subscribe 23.08% new Cocoaland shares at RM1.38 each
Tags: Cocoaland | Fraser & Neave Holdings | new shares
Written by Joseph Chin
Thursday, 26 August 2010 11:45
KUALA LUMPUR: Fraser & Neave Holdings Bhd will subscribe for 39.5 million new COCOALAND HOLDINGS BHD [] shares or 23.08% at RM1.38 each.
This was sharply below Cocoaland’s last traded price of RM2.87, based on the announcement made by Cocoaland on Thursday, Aug 26. The acquisition of the shares would amount to RM54.64 million.
“The issue price of RM1.38 was arrived on a negotiated basis,” said Cocoaland. The issue price represents a price-to-book ratio of approximately 1.64 times and 1.57 times over the audited and unaudited consolidated net assets per share of Cocoaland of RM0.84 as at Dec 31, 2009 and 88 sen as at March 31, 2010 respectively.
“Having considered the rationale for the proposed subscription and the benefits from the entry of F&N as a key shareholder of Cocoaland, the board is of the opinion that the issue price is reasonable to Cocoaland,” it said.
Cocaland said the board believed this strategic tie-up with F&N will broaden the group’s growth prospects as well as open new horizons in terms of brand building, product and market development for Cocoaland Group.
http://www.theedgemalaysia.com/business-news/172534-fan-to-subscribe-2308-new-cocoaland-shares-at-rm138-each.html
Tags: Cocoaland | Fraser & Neave Holdings | new shares
Written by Joseph Chin
Thursday, 26 August 2010 11:45
KUALA LUMPUR: Fraser & Neave Holdings Bhd will subscribe for 39.5 million new COCOALAND HOLDINGS BHD [] shares or 23.08% at RM1.38 each.
This was sharply below Cocoaland’s last traded price of RM2.87, based on the announcement made by Cocoaland on Thursday, Aug 26. The acquisition of the shares would amount to RM54.64 million.
“The issue price of RM1.38 was arrived on a negotiated basis,” said Cocoaland. The issue price represents a price-to-book ratio of approximately 1.64 times and 1.57 times over the audited and unaudited consolidated net assets per share of Cocoaland of RM0.84 as at Dec 31, 2009 and 88 sen as at March 31, 2010 respectively.
“Having considered the rationale for the proposed subscription and the benefits from the entry of F&N as a key shareholder of Cocoaland, the board is of the opinion that the issue price is reasonable to Cocoaland,” it said.
Cocaland said the board believed this strategic tie-up with F&N will broaden the group’s growth prospects as well as open new horizons in terms of brand building, product and market development for Cocoaland Group.
“The board opines that having F&N as a strategic shareholder will generate greater shareholder value for Cocoaland,” it said.
http://www.theedgemalaysia.com/business-news/172534-fan-to-subscribe-2308-new-cocoaland-shares-at-rm138-each.html
Friday 6 August 2010
F&N 3Q earnings up 18.4% to RM70m
F&N 3Q earnings up 18.4% to RM70m
Tags: dairies | Fraser & Neave Holdings | Fraser Business Park | soft drinks
Written by Joseph Chin
Thursday, 05 August 2010 18:19
KUALA LUMPUR: Fraser & Neave Holdings Bhd posted net profit of RM70 million for its third quarter ended June 30, 2010, up 18.4% from RM59.12 million a year ago as it benefited from lower tax rate.
It said on Thursday, Aug 5 group revenue increased 7% to RM893 million, boosted by strong volume growth in soft drinks.
"Soft drinks revenue improved 26% with all main product portfolios registering commendable volume growth on the back of strong promotional activities around some major sport events such as the Thomas Cup and the FIFA World Cup," it said.
As for the dairies division, it saw a 3% decline due to lower exports for both Malaysia and Thailand operations. Property revenue was lower due to completion of Fraser Business Park – Phase II.
Group operating profit for the quarter improved 17% mainly due to volume growth of soft drinks which was partly offset by higher raw material prices of the dairies division.
F&N said group profit after taxation for 3Q of RM72 million was 35% above the same quarter last year. Group effective tax rate declined to 20% from 29% previously, benefiting from the tax incentives secured last year for the new dairy plant investment in Rojana, Thailand.
http://www.theedgemalaysia.com/business-news/171315-fan-3q-earnings-up-184-to-rm70m.html
Tags: dairies | Fraser & Neave Holdings | Fraser Business Park | soft drinks
Written by Joseph Chin
Thursday, 05 August 2010 18:19
KUALA LUMPUR: Fraser & Neave Holdings Bhd posted net profit of RM70 million for its third quarter ended June 30, 2010, up 18.4% from RM59.12 million a year ago as it benefited from lower tax rate.
It said on Thursday, Aug 5 group revenue increased 7% to RM893 million, boosted by strong volume growth in soft drinks.
"Soft drinks revenue improved 26% with all main product portfolios registering commendable volume growth on the back of strong promotional activities around some major sport events such as the Thomas Cup and the FIFA World Cup," it said.
As for the dairies division, it saw a 3% decline due to lower exports for both Malaysia and Thailand operations. Property revenue was lower due to completion of Fraser Business Park – Phase II.
Group operating profit for the quarter improved 17% mainly due to volume growth of soft drinks which was partly offset by higher raw material prices of the dairies division.
F&N said group profit after taxation for 3Q of RM72 million was 35% above the same quarter last year. Group effective tax rate declined to 20% from 29% previously, benefiting from the tax incentives secured last year for the new dairy plant investment in Rojana, Thailand.
http://www.theedgemalaysia.com/business-news/171315-fan-3q-earnings-up-184-to-rm70m.html
Thursday 5 August 2010
Fraser & Neave Malaysia
F&N
4.8.2010
At closing price of 14.40, its ttm-PE was 18.14 and its DY was 2.99%
Historical 5 Yr Data
EPS GR 15.9%
DPS GR 14.4%
PE range 13.9 to 18.0
DY range 5.3% to 3.9%
At present price, F&N is trading at:
4.8.2010
At closing price of 14.40, its ttm-PE was 18.14 and its DY was 2.99%
Historical 5 Yr Data
EPS GR 15.9%
DPS GR 14.4%
PE range 13.9 to 18.0
DY range 5.3% to 3.9%
At present price, F&N is trading at:
- a ttm-PE that is in the upper end of its historical PE range, and
- a DY that is at the lower end of its historical DY range.
Recent Stock Performance:
| 1 Week | -4.1% | 13 Weeks | 13.6% | ||
 | | | | | |
| 4 Weeks | 33.4% | 52 Weeks | 52.2% |
Its PEG ratio = 18.14/15.9 = 1.14.
ROE (2009) = 17.36%
Thursday 6 May 2010
A quick look at F & N (6.5.2010)
A quick look at F & N (6.5.2010)
http://spreadsheets.google.com/pub?key=tGDNB7GiYxmXFXxqJEqY49A&output=html
KUALA LUMPUR: MIDF Research has upgraded Fraser & Neave Holdings Bhd (F&N) to a buy with a higher target price of RM12 (from RM10.60) and said the company's 1HFY10 net profit grew 56.4% year-on-year to RM162.9 million, accounting for 69% and 60% of MIDF's and consensus full year numbers.
Excluding the RM10 million charges recognised in 2QFY09 due to the closure of glass plant in Petaling Jaya, MIDF estimated that the earnings growth was about +43% y-o-y.
The commendable results were mainly due to the higher soft drinks sales, better-than-expected overall profit margin and lower minority interest, it said.
"We are rolling over our valuation into FY11 numbers but with a lower implied PER of 14.5 times as compared with 16 times previously. As such, we are upgrading our call for F&N to buy with a higher target price of RM12 (previously RM10.60), based on 14.5 times FY11 EPS.
"We believe the downside is fairly limited, cushioned by the 5.1% net dividend yield," it said.
http://www.theedgemalaysia.com/business-news/165574-midf-research-raises-fan-target-price-to-rm12-.html
Related:
FY09/10 Half Year Results Briefing
7 May 2010
http://announcements.bursamalaysia.com/EDMS/edmsweb.nsf/all/1E4DE9BCD0574BC54825771B0032A5DB/$File/Half%20year%20results%207%20May%202010%20-%20FNHB%20(final).pdf
http://spreadsheets.google.com/pub?key=tGDNB7GiYxmXFXxqJEqY49A&output=html
| MIDF Research raises F&N target price to RM12 |  |  |  |
| Written by MIDF Research |
| Friday, 07 May 2010 09:38 |
KUALA LUMPUR: MIDF Research has upgraded Fraser & Neave Holdings Bhd (F&N) to a buy with a higher target price of RM12 (from RM10.60) and said the company's 1HFY10 net profit grew 56.4% year-on-year to RM162.9 million, accounting for 69% and 60% of MIDF's and consensus full year numbers.
Excluding the RM10 million charges recognised in 2QFY09 due to the closure of glass plant in Petaling Jaya, MIDF estimated that the earnings growth was about +43% y-o-y.
The commendable results were mainly due to the higher soft drinks sales, better-than-expected overall profit margin and lower minority interest, it said.
"We are rolling over our valuation into FY11 numbers but with a lower implied PER of 14.5 times as compared with 16 times previously. As such, we are upgrading our call for F&N to buy with a higher target price of RM12 (previously RM10.60), based on 14.5 times FY11 EPS.
"We believe the downside is fairly limited, cushioned by the 5.1% net dividend yield," it said.
http://www.theedgemalaysia.com/business-news/165574-midf-research-raises-fan-target-price-to-rm12-.html
Related:
FY09/10 Half Year Results Briefing
7 May 2010
http://announcements.bursamalaysia.com/EDMS/edmsweb.nsf/all/1E4DE9BCD0574BC54825771B0032A5DB/$File/Half%20year%20results%207%20May%202010%20-%20FNHB%20(final).pdf
Sunday 2 May 2010
A quick look at F & N (2.5.2010)
Fraser & Neave Holdings Berhad Company
Business Description:
Fraser & Neave Holdings Berhad. The Group's principal activities are manufacturing and distributing soft drinks. Other activities include distributing dairy products, manufacturing and selling glass containers, property investment holding, property development and investment and investment holding. The Group operates in Malaysia, Vietnam, China, Singapore, Philippines, Middle East, Thailand and other countries.
Wright Quality Rating: DBB1
A quick look at F & N (2.5.2010)
http://spreadsheets.google.com/pub?key=tyqRmMbLVEXV80BN2RNGD-Q&output=html
Business Description:
Fraser & Neave Holdings Berhad. The Group's principal activities are manufacturing and distributing soft drinks. Other activities include distributing dairy products, manufacturing and selling glass containers, property investment holding, property development and investment and investment holding. The Group operates in Malaysia, Vietnam, China, Singapore, Philippines, Middle East, Thailand and other countries.
Wright Quality Rating: DBB1
A quick look at F & N (2.5.2010)
http://spreadsheets.google.com/pub?key=tyqRmMbLVEXV80BN2RNGD-Q&output=html
Thursday 11 February 2010
F&N 1Q net profit up 53% to RM77m
F&N 1Q net profit up 53% to RM77m
Written by Joseph Chin
Tuesday, 09 February 2010 18:08
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KUALA LUMPUR: Fraser & Neave Holdings Bhd posted net profit of RM77.74 million in the first quarter ended Dec 31, 2009 underpinned by its soft drinks division and dairies division.
It said on Tuesday, Feb 9 that operating profit surpassed RM100 million for the first time. Operating profit rose 37% to RM106 million from RM73.84 million while revenue rose 6% to RM992 million from RM940.39 million. Earnings per share were 21.8 sen versus 14.3 sen.
Chief executive officer Tan Ang Meng said: "The admirable results were driven by both the soft drinks and dairies divisions which performed well ahead of our internal targets. Despite the absence of a festive season during 1Q, the soft drinks division registered record volume while revenue improved 12%, with 100PLUS and Coca-Cola chalking up double-digit growth of 17% and 11% respectively.”
“The dairies division also put up a strong performance with revenue increased by eight per cent. Both Malaysia and Thailand domestic sales registered encouraging volume growth. Improved trade channel management in Malaysia and significant progress in exports to the Indochina market also contributed to the better performance.”
He said the glass division revenue contracted 11% due to lower sales volume in Thailand and China. However Malaysia and Vietnam operations continued to register positive growth.
On the outlook for the coming financial year, Tan said, "Economic recovery in the core markets of Malaysia and Thailand is expected to translate into stronger consumer demand for F&N products. However prices of key raw materials such as milk powder, sugar and aluminium have increased sharply and could negatively impact profit margins.”
http://www.theedgemalaysia.com/business-news/159430-fan-1q-net-profit-up-53-to-rm77m.html
Written by Joseph Chin
Tuesday, 09 February 2010 18:08
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KUALA LUMPUR: Fraser & Neave Holdings Bhd posted net profit of RM77.74 million in the first quarter ended Dec 31, 2009 underpinned by its soft drinks division and dairies division.
It said on Tuesday, Feb 9 that operating profit surpassed RM100 million for the first time. Operating profit rose 37% to RM106 million from RM73.84 million while revenue rose 6% to RM992 million from RM940.39 million. Earnings per share were 21.8 sen versus 14.3 sen.
Chief executive officer Tan Ang Meng said: "The admirable results were driven by both the soft drinks and dairies divisions which performed well ahead of our internal targets. Despite the absence of a festive season during 1Q, the soft drinks division registered record volume while revenue improved 12%, with 100PLUS and Coca-Cola chalking up double-digit growth of 17% and 11% respectively.”
“The dairies division also put up a strong performance with revenue increased by eight per cent. Both Malaysia and Thailand domestic sales registered encouraging volume growth. Improved trade channel management in Malaysia and significant progress in exports to the Indochina market also contributed to the better performance.”
He said the glass division revenue contracted 11% due to lower sales volume in Thailand and China. However Malaysia and Vietnam operations continued to register positive growth.
On the outlook for the coming financial year, Tan said, "Economic recovery in the core markets of Malaysia and Thailand is expected to translate into stronger consumer demand for F&N products. However prices of key raw materials such as milk powder, sugar and aluminium have increased sharply and could negatively impact profit margins.”
http://www.theedgemalaysia.com/business-news/159430-fan-1q-net-profit-up-53-to-rm77m.html
Friday 13 November 2009
F&N to pass on higher cost if sugar prices go up
F&N to pass on higher cost if sugar prices go up
By Jeeva ArulampalamPublished: 2009/11/11
FRASER & Neave Holdings Bhd (F&N) (3689) will increase the prices of its food and beverage (F&B) products should the government decide to remove the sugar subsidy locally.
F&N chief executive officer Tan Ang Meng said that the cost of higher sugar prices will have to be passed on to consumers as F&B producers will not be able to absorb the cost impact.
"Whatever you eat or drink, like the prices of roti canai or teh tarik, will go up," Tan said at F&N's financial year 2008/09 results briefing in KL yesterday.
Although the quantum of the price increase for F&N products will depend on the hike in sugar prices, it will take less than a month for the cost to be factored into the F&B products.
"So the government has to balance between how much (sugar subsidy) they plan to withdraw and its subsequent impact on inflation," said Tan.
The government is said to be spending some RM720 million on sugar subsidy this year.
For its financial year ended September 30 2009, F&N saw its net profit increase 35 per cent to RM224.4 million while revenue grew 2 per cent to RM3.74 billion.
Despite the deep regional economic recession, the group posted higher revenue driven by strong volume growths for its soft drinks, mainly the 100Plus and Seasons brands.
Tan said that the dairies division operating profit improved by 59 per cent over the last year to RM140 million and is now on par with the soft drinks as a key contributor to the group's profits.
The group is planning a bonus dividend of 5 sen per share on top of a final dividend of 24 sen. This will make its total net dividend for the year at 41.75 sen.
Meanwhile, F&N will look to launch 50 new products, including tea, coffee and energy drinks, within the next two to three years, once its "exclusivity clause" with Coca-Cola expires on January 26 2010.
The new products will help cushion the loss of revenue once F&N stops selling Coca-Cola from September 2011, which accounted for 33 per cent of F&N's total soft drinks volume for the financial year just ended.
http://www.btimes.com.my/Current_News/BTIMES/articles/jfn10/Article/
By Jeeva ArulampalamPublished: 2009/11/11
FRASER & Neave Holdings Bhd (F&N) (3689) will increase the prices of its food and beverage (F&B) products should the government decide to remove the sugar subsidy locally.
F&N chief executive officer Tan Ang Meng said that the cost of higher sugar prices will have to be passed on to consumers as F&B producers will not be able to absorb the cost impact.
"Whatever you eat or drink, like the prices of roti canai or teh tarik, will go up," Tan said at F&N's financial year 2008/09 results briefing in KL yesterday.
Although the quantum of the price increase for F&N products will depend on the hike in sugar prices, it will take less than a month for the cost to be factored into the F&B products.
"So the government has to balance between how much (sugar subsidy) they plan to withdraw and its subsequent impact on inflation," said Tan.
The government is said to be spending some RM720 million on sugar subsidy this year.
For its financial year ended September 30 2009, F&N saw its net profit increase 35 per cent to RM224.4 million while revenue grew 2 per cent to RM3.74 billion.
Despite the deep regional economic recession, the group posted higher revenue driven by strong volume growths for its soft drinks, mainly the 100Plus and Seasons brands.
Tan said that the dairies division operating profit improved by 59 per cent over the last year to RM140 million and is now on par with the soft drinks as a key contributor to the group's profits.
The group is planning a bonus dividend of 5 sen per share on top of a final dividend of 24 sen. This will make its total net dividend for the year at 41.75 sen.
Meanwhile, F&N will look to launch 50 new products, including tea, coffee and energy drinks, within the next two to three years, once its "exclusivity clause" with Coca-Cola expires on January 26 2010.
The new products will help cushion the loss of revenue once F&N stops selling Coca-Cola from September 2011, which accounted for 33 per cent of F&N's total soft drinks volume for the financial year just ended.
http://www.btimes.com.my/Current_News/BTIMES/articles/jfn10/Article/
Tuesday 13 October 2009
Fraser and Neave
Fraser and Neave Ltd: Its Malaysian Unit expects to double its revenue in Thailand and countries in Indochina to RM 2 billion within five years. Bernama reported, citing the unit's CEO Tan Ang Meng.
Tuesday 11 August 2009
F&N earnings up 49% to RM59m
F&N earnings up 49% to RM59m
Tags: 100PLUS Fraser & Neave soft drinks
Written by The Edge Financial Daily
Thursday, 06 August 2009 20:22
KUALA LUMPUR: FRASER & NEAVE HOLDINGS BHD [] posted net profit of RM59.12 million in the third quarter ended June 30, 2009, up 49% from RM39.65 million a year ago as it benefitted from higher soft drinks sales volume, improved sales mix and increased productivity.
It said on Aug 6 that revenue was higher at RM921.11 million compared with RM884.58 million while earnings per share were 16.6 sen versus 11.1 sen.
"Group operating profit increased 43% over the previous year as the group benefitted from higher soft drinks sales volume, improved sales mix and increased productivity," it said.
Group revenue registered a modest growth of 4.1% over the corresponding quarter last year in spite of negative GDP growt h in the core markets of Malaysia and Thailand.
Soft drinks sales benefitted from the unusually hot weather and successful marketing and promotional activities. Sales volume and revenue grew an encouraging 14% and 18% respectively. 100PLUS sales volume was up 36% against the same period last year.
The dairies division revenue declined 4%, due to lower export sales and higher trade discounting in the domestic markets. However, domestic sales volume was stable.
However, the glass division volume was affected by lower sales of the Thai plant and the reduction of capacity in Malaysia following the closure of the Petaling Jaya furnace. Revenue was however maintained due to overall higher selling prices.
For the nine months to June 30, 2009, group revenue grew 2% to RM2.75 billion against a backdrop of a regional economic recession. Soft drinks division registered a high single digit revenue growth but lower exports affected overall sales of the dairies division.
Group operating profit before unusual items, improved by 30.5% to RM262.6 million as all core business divisions registered double digit improvements. After accounting for unusual items, group operating profit grew by 21.7% to RM244.9 million.
In the first nine months of FY08/09, the Group has already matched the attributable profit for the full FY07/08 year.
"The group is confident, barring unforeseen circumstances, to perform better than last year," it said.
Tags: 100PLUS Fraser & Neave soft drinks
Written by The Edge Financial Daily
Thursday, 06 August 2009 20:22
KUALA LUMPUR: FRASER & NEAVE HOLDINGS BHD [] posted net profit of RM59.12 million in the third quarter ended June 30, 2009, up 49% from RM39.65 million a year ago as it benefitted from higher soft drinks sales volume, improved sales mix and increased productivity.
It said on Aug 6 that revenue was higher at RM921.11 million compared with RM884.58 million while earnings per share were 16.6 sen versus 11.1 sen.
"Group operating profit increased 43% over the previous year as the group benefitted from higher soft drinks sales volume, improved sales mix and increased productivity," it said.
Group revenue registered a modest growth of 4.1% over the corresponding quarter last year in spite of negative GDP growt h in the core markets of Malaysia and Thailand.
Soft drinks sales benefitted from the unusually hot weather and successful marketing and promotional activities. Sales volume and revenue grew an encouraging 14% and 18% respectively. 100PLUS sales volume was up 36% against the same period last year.
The dairies division revenue declined 4%, due to lower export sales and higher trade discounting in the domestic markets. However, domestic sales volume was stable.
However, the glass division volume was affected by lower sales of the Thai plant and the reduction of capacity in Malaysia following the closure of the Petaling Jaya furnace. Revenue was however maintained due to overall higher selling prices.
For the nine months to June 30, 2009, group revenue grew 2% to RM2.75 billion against a backdrop of a regional economic recession. Soft drinks division registered a high single digit revenue growth but lower exports affected overall sales of the dairies division.
Group operating profit before unusual items, improved by 30.5% to RM262.6 million as all core business divisions registered double digit improvements. After accounting for unusual items, group operating profit grew by 21.7% to RM244.9 million.
In the first nine months of FY08/09, the Group has already matched the attributable profit for the full FY07/08 year.
"The group is confident, barring unforeseen circumstances, to perform better than last year," it said.
Maybank IB upgrades F&N to buy
Maybank IB upgrades F&N to buy
Tags: Brokers Call F&N Maybank IB
Written by Financial Daily
Monday, 10 August 2009 11:37
MAYBANK Investment Bank (Maybank IB) has upgraded FRASER & NEAVE HOLDINGS BHD [] (F&N) to a buy at RM9.80, from hold previously, with a higher target price of RM11.16 (from RM9.20).
The research house said margins at the company’s dairies division had expanded back to FY03-FY06 levels while F&N’s Thailand dairy assets were set to propel the division to become F&N’s largest based on operating profit, surpassing the soft drinks division.
“We are raising our earnings forecasts by 10%-25% as skimmed milk powder prices appear set to return to long-term equilibrium levels,” it said in a report last Friday.
The research house said F&N’s third-quarter (3QFY09) results were above expectations, and net profit soared 49% year-on-year (y-o-y) to RM59 million as the two largest divisions, soft drinks and dairies, both outperformed.
“Soft drink revenues rose 18% y-o-y in spite of the absence of major festivities during the quarter. This helped the operating profit margin expand by 1.2 percentage points y-o-y to 10.2%,” it said.
Maybank IB said skimmed milk powder costs fell 44% y-o-y and dairies division operating profit rose 35% y-o-y in spite of marginally lower revenues.
“This appears to be the historical equilibrium range at which F&N was able to record operating profit margins of about 7% in four of the five years before it acquired the Thailand assets,” it said.
The research house noted that the dairies division margins appeared sustainable, and looked ready to surpass the soft drinks division as F&N’s main operating profit contributor.
“We raise our FY09-11 forecasts for this division by 42%-63% on the expectation that operating margins can be sustained at a minimum of 7% (versus 4.5% in FY08),” it said.
Maybank IB said while it awaited clearer management guidance on developments at its two smaller divisions, it acknowledged the brighter prospects for the group’s two key divisions in the forecast period.
“F&N’s stronger earnings potential and stronger cash flow generation justify a raising of our target price-earnings ratio (PER) multiple to 17 times CY10 PER, (from 16 times PER) which is at the top end of historical valuations,” it said.
F&N notched up 10 sen to close at RM9.90 last Friday.
This article appeared in The Edge Financial Daily, August 10, 2009.
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