OKP    Last:0.635    -0.005

OKP to reach new height

OKP Holdings’ net profit rises 28% to $4.6m

WRITTEN BY THE EDGE

TUESDAY, 22 FEBRUARY 2011 18:36

OKP Holdings, the infrastructure and civil engineering company, says net profit rose 28% to $4.6 million in 4Q2010 from $3.6 million in $3.6 million while revenue fell 11% to $29.6 million from $33.4 million. For the full year ended 31 December 2010. OKP says it posted a net profit of $17 million, up 17% from the previous year, and recorded a new high of $139.9 million in its revenue, an increase of 8%. Earnings per share for FY2010 stands at 6.5 cents, compared to 6.1 cents previously. The group’s total gross order book stands at $309.9 million based on secured civil engineering and construction contracts, with projects stretching up to 2014. The board of directors is proposing a final dividend of 2.0 cents per share and special dividend of 2.0 cent per share.

 

OKP Wins $28.5m Road Widening Deal

OKP Holdings (OKP) has secured a $28.5m contract to undertake the widening of Old Choa Chu Kang Road from Sungei Tengah Road to Lim Chu Kang Road. The project involves the upgrading of the stretch of the affected road from an undivided dual one-lane carriageway to a two-lane carriageway in the eastbound and three-lane carriageway in the westbound direction.

Awarded by the Land Transport Authority, work is scheduled to commence on 14 Feb-11, and is expected to be completed by 13 Feb-14. Meanwhile, OKP clinched a total of 7 construction projects last year, of which six were public sector contracts.

As at 25 Oct-10, OKP’s total gross order book stood at $327.6m based on secured civil engineering and construction contracts, with projects stretching up to 2013.

 

OKP Holdings Ltd  announced that it has secured a S$28.5 million contract to undertake the widening of Old Choa Chu Kang Road from Sungei Tengah Road to Lim Chu Kang Road. Work is scheduled to commence on 14 February 2011 and is targeted to be completed by 13 February 2014.

 

/sgx/

 

 

SIAS Research Raises Target Price from $0.565 to $0.83

 OKP Holdings Limited (OKP) announced last week the award of an S$83.5m contract for the construction of a condominium development at Angullia Park. This contract win affirmed our view that OKP’s order book renewal process is proceeding smoothly. Maintain Increase Exposure call based on an intrinsic value of S$0.830 (previous close: S$0.565).

Key Takeaways:

Starting to benefit from partnership with strategic shareholder China Sonangol International (S) Pte Ltd: The development site at Angullia Park (River Valley Area) is owned by a subsidiary of China Sonangol Land Pte Ltd (CS Land). We had in our earlier update (Contract Wins Picking Momentum, dated 27 Oct 2010) foreseen that OKP might enjoy contract wins from the said development.

Building a new competency: The contract was awarded to a 50/50 JV between OKP and Soil-Build (Pte) Ltd – Forte Builder Pte Ltd. This JV will allow OKP to draw upon the expertise of an established player in property construction, and at the same time, build its own competency in this sector of the construction industry. We see this as a move by OKP to enter the ‘building’ sector and reduce reliance on infrastructure projects.

What’s next? This contract win confirms that OKP is successfully renewing its order book. Had this JV been consolidated as a subsidiary, we estimate that it will have added about S$17.9m to OKP’s FY11F top-line.

Wish you a profitable trading day 

 

it hit the resistance on 8/12 at 0.595... now retreating...  at this low volume, i dun think there will be great movement...but gradually moving downward next wk.

 

 

 

will it go down further today?

bsiong      ( Date: 10-Dec-2010 10:33) Posted: Fundamentally…   OKP Holdings (OKP SP; S$0.57, Buy) – OKP announced a S$83.5m contract award from a related company of China Sonangol for the construction of luxury Angullia Park condominium in Orchard Road. The contract is awarded to a new joint venture company between OKP and integrated property developer Soilbuild. The project is expected to commence in Dec 2010 and completion is scheduled for Apr 2013. Maintain Buy with TP set at S$0.85.     /cimb/ /i read i post/ think b4 trading/

 

Fundamentally…
OKP Holdings (OKP SP; S$0.57, Buy) – OKP announced a S$83.5m contract award from a related company of China Sonangol for the construction of luxury Angullia Park condominium in Orchard Road. The contract is awarded to a new joint venture company between OKP and integrated property developer Soilbuild. The project is expected to commence in Dec 2010 and completion is scheduled for Apr 2013. Maintain Buy with TP set at S$0.85.
/cimb/ /i read i post/ think b4 trading/

 

 

Cheong again now.

Click on below link to view :

 

 

OKP Holdings Limited Announces S$83.5 Million Contract From A Related Company Of China Sonangol For Construction Of Luxury Angullia Park Condominium In Orchard Road

At the same time look up for koon major precast supplier for construction companies in singapore.

Click on below link to view :

 

 

http://www.stockmarketsreview.com/reports/singapore_stock_market_and_companies_daily_report_20101209_67683/

 

 

 

 

ON FRIDAY, OKP Holdings’ share price jumped 14.9% to 54 cents putting the company’s market value at $143 million. Although this still makes it a small cap stock, all could change in the year ahead. On the same day, DBS Vickers released a 19-page report on the company. Just last week (Sept 27-Oct 1), The Edge Singapore featured OKP in its Construction Boom Phase 2 story. The company, a civil engineering company which specialises in road infrastructure is affectionately known as the road builder because the bulk of its contracts comes from the LTA to maintain and build roads. DBS Vickers’ report says that the stock is worth 70 cents per share, or $185.5 million and has initiated coverage with a Buy recommendation. A project known as DTL3, or Downtown Line 3 could give OKP a much higher profile. The initial contracts have already been called and OKP is believed to be bidding for a parcel known in the construction sector as C928. Unlike DTL2 or Downtown Line 2, the line that is being built along the Bukit Timah corridor, DTL3 is not a design and build project.

Companies vying for DTL2 contracts need to spend $2 million to $3 million to design the station and associated tunnels and for that reason many local contractors were locked out. With the exception of Lum Chang Holdings,Hock Lian Seng Holdings, Koh Brothers and Sembawang Engineering and Construction, the main contractors were Korean, Japanese, European and Chinese companies.

LOCAL CONTRACRORS EXCITED WITH DTL3
In DTL3, the designing will all be done by LTA and that has local players excited because they can just go straight ahead and build it. Also, packages are likely to be smaller, making it easier for local companies to handle. Most of DTL3 will be built using a TBM, a tunnel-boring machine. The LTA will be providing the TBMs which cost in the region of $10 million each. Pre-qualification of contractors for the tenders is over and initial tenders are expected before end-2010. OKP’s management has told The Edge Singapore that the company has gained pre-qualification.

DBS Vickers says that the company may form joint ventures to bid for MRT projects. “We note that OKP has no track record in MRT construction projects, especially tunneling works and hence, we consider it likely that they could team up with foreign partners possessing the required technology. OKP would be able to provide local knowledge, cheaper manpower and project management skills,” the report states. The broker hasn’t included potential MRT projects in its projections for OKP’s 2011 profits, so “any award win would be an additional upside for investors,” says DBS Vickers.

In 2006, OKP entered the oil and gas sector with a $50-million project doing engineering works at Jurong Island for Universal Terminals. After completing a $44-million civil works project at Jurong Island for the Foster Wheeler and WorleyParsons Joint Venture in 2008, OKP was reappointed for another $21.7-million project in 2009. In 2007, OKP Holdings incorporated a 55%-owned JV called OKP (Oil & Gas) Infrastructure to target oil, petrochemical and gas related projects in Singapore and secured three contracts on Jurong Island that same year. Jurong Island still has a bunch of billion-dollar projects yet to be built, including the Jurong Rock Cavern, the US$2.4-billion ($3.15 billion) Jurong Aromatics project and the $1.5-billion LNG terminal.

OKP’s order book is at $312 million, of which more than $200 million is still outstanding and will be delivered over the next 12-18 months. DBS Vickers points out that the company’s cash balance of $87 million “implies secure dividends as well, and frees up capital to take on larger, more complex projects, and allows leeway to invest in new businesses, possibility even small-scale property developments.” Its 70 cents target price is based on seven times FY11 PER for its recurring business and the estimated 22 cents per share of net cash. DBSV is forecasting net profits of $15 million for this year (OKP has a Dec year end) up 7.1% year-on-year and $18 million for FY11.

CHART VIEW
The STI (3,130) has broken above 3,100 convincingly. An earlier break above 3,000 indicated a target of 3,400. However medium term indicators are stuck at the high end of their range, suggesting that it will be difficult to maintain the pace of ascent and the STI is facing resistance at current levels. Support is at the most recent breakout level of 3,100.

 

  OKP manage to get most gov project from LTA , JTC and HDB work also. Building the singapore bus stop shelter and overhead bridge for disable, express way, canal etc....

 Unlike most of the other construction plays listed on the local bourse, OKP Holdings Limited (OKP) wasn’t involved in any of the mega integrated resort projects. Instead, the leading home-grown infrastructure and civil engineering company has been actively growing its niche in the oil and gas field.

As highlighted by Daniel Or, Executive Director of OKP during a recent interview with Shares Investment (Singapore), the company’s oil and gas foray dated back to 2006. Since then, OKP has completed a project relating to the $750 million Universal Terminal, a massive petroleum storage facility on Jurong Island.

Not resting on its laurels, OKP has gone on to secure a number of other projects, including civil works relating to ExxonMobil’s multi-billion dollar project, otherwise known as the Singapore Parallel Train Project. “Oil and gas projects typically command better margins as their safety requirements are much more stringent as compared to public projects,” Daniel commented.

Market Leader
For the uninitiated, OKP specialises in the construction of airport runways and taxiways, expressways, flyovers, vehicular bridges, urban and arterial roads, airport infrastructure as well as oil and gas related infrastructure for petrochemical plants and oil storage terminals.

With a solid reputation and sound track record, OKP proudly occupies the leading position in public sector work, garnering some $148.6 million in government contracts in 2009. So far this year, the company has already secured three public sector projects totaling approximately $39.5 million.

These include construction and maintenance works in Tuas worth $5.2 million from the Jurong Town Corporation as well as ad hoc repairs and upgrading of roads, road-related facilities and road structures in central and north-west sectors worth $34.3 million from the Land Transport Authority.

According to Daniel, OKP is also interested to undertake MRT projects, now that the company has beefed up its resources by quite a fair bit and is ready to take the plunge. “We are in the midst of undergoing pre-qualification,” he added.

According to latest statistics released by the Building and Construction Authority, Singapore’s public sector construction demand is projected to be between $10 billion and $14 billion a year in 2011 and 2012. Major projects in the pipeline include MRT projects for Downtown Line Stage 3, LNG Terminal, Fusionopolis 2A, industrial facilities at Seletar Aerospace Park, campus expansion of Institutes of Higher Learning and new healthcare facilities.

Against this buoyant backdrop, OKP remains confident that public sector civil works will continue to drive its top-line growth.

Promising Partnership
In a strategic move to develop its global footprint, OKP placed out 15 million new shares or 9% of its enlarged share capital at $0.45 apiece to China Sonangol International (S) Pte Ltd in May last year. Notably, the latter is a subsidiary of China Sonangol International Holding Ltd, which is an overseas conglomerate engaged in oil, gas and minerals investments and explorations, crude oil supply and national infrastructure construction projects.

Further cementing their relationship, a 50:50 joint venture (JV) company was subsequently formed to undertake the design, construction and execution of urban development projects, including road infrastructure works, in countries outside of Singapore as well as provide project management services for these urban development jobs.

Contrary to earlier media reports, OKP is not putting on hold its overseas foray, particularly in the African continent, through the JV company. Rather, it is arduously seeking out business opportunities in countries such as the Republic of Guinea, Angola and Zimbabwe, Daniel clarified.

For the first quarter ended 31 March 2010, OKP chalked up net profit of $3.5 million, a 10.1% year-on-year increase. This was mainly attributed to a 14.5% revenue jump to $33.9 million. It recorded a net cash position of $83.1 million as at the end of the aforesaid period, with positive net working capital at $50.8 million.

Operations aside, OKP was recently recognised for its high standards of corporate disclosure by winning the Best Annual Report Award (Gold) in the “Companies with less than $300 million in market capitalisation” category for the second time at the Singapore Corporate Awards 2010.

Citing OKP’s strong project execution skills and industry presence, SIAS Research initiated coverage on the former with an ‘Increase Exposure’ rating based on an intrinsic value of $0.87. CIMB also has a ‘Buy’ recommendation and a price target of $0.85, mainly due to the company’s project visibility in the public sector and strong potential overseas expansion story.

chyn_no      ( Date: 02-Oct-2010 21:54) Posted: is this counter related to gov?

 

is this counter related to gov?

 

Shares of Singapore construction firm OKP Holdings <OKPH.SI> rose as much as 21 percent in early trade on Friday after a local brokerage initiated coverage on the firm with a $0.70 target price.

At 10:10 a.m., OKP shares were trading at $0.545 on a volume of 7.7 million shares.

"The rise in share price is due to the report," said a local trader.

DBS Vickers said OKP is a beneficiary of steady investments in public transport infrastructure projects in Singapore with a net order book of more than $200 million.

The brokerage added that it expected a steady compound annual growth rate (CAGR) of 12% for the firm's 2009-2011 financial years.

 

 

Haha today this burgle cheong again. Look up for construction share. Now start cheonging.

Also Koon giving 1 to 1 bonus soon.

 

Really lai liao, just break out of the tightened bollinger band, very nice pattern. I think this time may go up high high as it has slept quite long. More to come!

 

okp lai liao.... secure it first contract for 2010. Also giving 3 cts dividen soon.

http://okp.listedcompany.com/newsroom/OKP_JTCTuas.pdf

 

 

After some drop

okp picking up again before closing !

 

Haha okp super power now height 0.505. Any project secure ?
The right also up 0.305 now.....

 

possible for the warrant to hit $0.30?