Citic Envirotech   

United Envirotech

Viking  sold off their shares in Utd..hence the explanation of the married deals that day..

 

Oceanus has a 10,000,000 shares married deal today too.

ozone2002      ( Date: 27-Jun-2011 16:42) Posted: Time Last Vol Buy/Sell 16:00:18 0.300 10,000 X   10,000,000 shares married deal.. must be some fund buying or must be some fun buying.. :)

 

Any idea why is there cancellation order of such huge volumn?

16:51:57 0.300 10,000,000 X
16:00:18 0.300 10,000,000 X

 

maybe they duplicate keyed, thought order did not go through.

 

16:51:57

0.300

10,000

X

 

they buy one more time?

 

why 1651hr one more round

ozone2002      ( Date: 27-Jun-2011 16:42) Posted: Time Last Vol Buy/Sell 16:00:18 0.300 10,000 X   10,000,000 shares married deal.. must be some fund buying or must be some fun buying.. :)

 

Time	Last	Vol	Buy/Sell
16:00:18	0.300	10,000	X

 

10,000,000 shares married deal..

must be some fund buying or must be some fun buying.. :)

 

my ex baby is chionging today...

looking gd ...

water stocks defensive play..

 

UtdEnvirontech formed a one white soldier today. looking good.

http://sgsharemarket.com/home/2011/05/singapore-stock-market-screener-31052011/

 

 

More lumpy results in 4Q11. United Envirotech Ltd (UEL) posted more lumpy results in 4QFY11, with revenue falling 34.5% YoY to an estimated S$19.8m this followed the completion of the Guangzhou Jingxi plant, Asia's largest underground MBR (membrane bio-reactor) wastewater treatment facility in 2QFY11. Although UEL managed to secure more engineering work in 4QFY11, resulting in a 55% QoQ jump in revenue, we note that these jobs typically come with much lower margins, thus dragging its gross margin to just 20.8%, down from 59.9% in 3QFY11 (36.5% in 4QFY10). As a result, its net profit fell by 63.0% YoY and 59.6% QoQ to S$1.6m but if we strip out exceptional items (negative goodwill), we estimate that UEL may have booked a slight S$0.4m loss.

For the full year, UEL clocked in revenue of S$78.0m, up 12.8%, which was about 7.6% above our estimate but due to the weaker profit margins, its reported net profit of S$16.0m, missing our FY11 forecast by 10.8%. Nonetheless, management has decided to maintain a final dividend of S$0.003 per share, unchanged from last year although it declared a special dividend of S$0.002/share in FY10.

Outlook still modestly optimistic. Although the group is currently sitting on an order book of S$20-30m worth of engineering projects that it will recognize in FY12, UEL maintains a modestly optimistic outlook, citing the growing demand for membrane-based water and waste-water treatment services, especially in China this mainly due to the stricter discharge limits imposed by the Chinese government and the chronic water shortage in various parts of the PRC. One reason for its confidence in securing orders is due to its competitive edge in the market, as its Membrane Bioreactor (MBR) technology can treat wastewater of a greater complexity to meet the stricter discharge limits and also to reclaim the treated wastewater for reuse more effectively and efficiently. We understand that the 100k m3/day underground Guangzhou Jingxi MBR plant (which we recently visited in Apr) has attracted a lot of interest from various other cities in China and the group is already in talks with several parties.

Paring fair value to S$0.53. Still, in light of the lumpy 4QFY11 results and poorer-than-expected margins, we pare our FY12 revenue estimate by 5.5% and earnings by 20.1%. As a result, our DCF-based fair value also eases from S$0.65 to S$0.53. But given the still positive prospects, we maintain our BUY rating.(Carey Wong)

 

http://www.ocbcresearch.com/pdf_reports/company/United%20Envirotech-110311-OIR.pdf

11 March 2011

United Envirotech Ltd

China looking to spend more on water infrastructure.

According to official figures, China spent RMB365.5b (US$55.4b) on water conservancy over the last five years, more than double the amount it spend during the 2001-2005 period. But as many cities continue to face water shortages and irrigation facilities are badly in need of an overhaul, the government plans to invest another RMB4t in water conservation over the next 10 years. We believe this bodes well for the group, given its good track record in China. Recall that it had not only completed Asia's largest 100k m3/day underground MBR wastewater treatment plant in Guangzhou City, the Jing Xi MBR plant was also selected as a showcase of advanced water treatment technology during the China Water Forum (held from 11-13 Oct 2010). As such, we believe the group is in a good position to secure more EPC projects as well as add more TOT projects to its investment portfolio.

Maintain BUY with S$0.65 fair value.

Separately, we think that the recent move by Clean Water Investment (CWI) - an unit of CDH China Management - to acquire SGX-listed peer Sinomem Technology Limited (STL, Not Rated) for S$351m further underlines the growth prospect of the China wastewater market. Applying the same 12.5x valuation that CWI is paying for STL to UEL's FY11F EPS, this would translate to a price of around S$0.47. However, as UEL has slightly better quality waste-water treatment assets in its portfolio, we think that our DCF-based fair value of S$0.65 (14.4x FY11F) is justified. Maintain BUY.

(UEL), one of the leading membrane-based waste-water treatment companies listed on the SGX, currently operates five water treatment plants in China with a total design capacity of some 385k m3/day it is also in the process of constructing another two plants with a total design capacity of 130k m3/ day, which should start contributing to its recurring treatment revenue from Apr 2011. Recently, the group also increased its equity stake in two water plants - Nasha (previously 40%) and Liaoyang (75%) - to 100%. On the engineering side, we estimate that the group is currently sitting on an order book of S$120m, which it will deliver and recognize within 2011. And the group is not resting on its laurels as it is currently hunting for more EPC contracts as well as looking for existing TOT (Transfer-Operate-Transfer) plants (usually able to generate revenue immediately) to add to its investment portfolio.Maintain BUY
Previous Rating: BUY

Current Price: S$0.40
Fair Value: S$0.65 

 

whao!!! hope the water roll back up the hill and create a tsunami, 10meters high and as soon as possible, Have been waiting for a long time.

the change from the Engineering work to the BTO watertreatment has been expressed in last AGM as the CEO felt so and therefore he reshuffled the boardmembers to remain those who have the same views as his. From then on, contracts kept pouring in.

Ban Sai!!! Dr Lin the CEO

 

 

Water industry: China reveals more conservation measures

Summary: China is facing a water crisis on several fronts, including access to clean drinking water. And to tackle this issue, the Chinese government intends to spend about 10% more on water conservation projects this year, or around RMB200b, to avert a worsening water crisis. The government also hopes that it can double the current average annual investment in water conservation construction over the next 10 years. We believe that such measures will be a boon to established waste-water treatment companies like Hyflux Ltd and United Envirotech Ltd (UEL). And as most water projects are now tendered on a BOT (build-operate-transfer) model, we believe that having access to funding will give both Hyflux and UEL an edge. As such, we maintain our BUY ratings on Hyflux[S$2.41 fair value] and UEL [S$0.65 fair value]. (Carey Wong)

 

United Envirotech: S$0.45                                                                     BUY (TP: S$0.61)

Strong growth in recurring income to continue


United   Envirotech’s   (UE)   3QFY11 earnings fell 20.8% YoY to S$4.1m, which
was   below   our   expectations.   However, with a strong pipeline of projects
(like   the   Tangshan   project   announced   yesterday)   and   the   Chinese
government’s   emphasis on environmental protection, we believe UE’s outlook
remains   positive.   We   cut   our   FY11   and FY12 earnings by 19.9% and 8.5%
respectively   on   the   back   of previously over-bullish engineering revenue
estimates.   Our   TP   is lowered slightly to S$0.61 based on 10.8x FY11/FY12
blended   earnings.   The   stock   is   trading   at   6.4x   FY12 earnings, cheap
relative to its peers which are going for 12x.

Results below expectations, but margin expansion seen. UE’s 3QFY11 earnings
fell   20.8%   YoY   to   S$4.1m, due to revenue coming in 31.8% lower YoY at S
$12.8m.   This   was   attributable   to   a drop in engineering income with the
completion of its Guangzhou City EPC project. This is partially offset by a
50%   surge   in   treatment   revenue   on   the   back   of   a   newly   completed
build-operate-transfer   (BOT)   plant   in   Hegang .   On   a positive note, net
profit   margin   grew   4.4   ppt   YoY to 31.9% this quarter, due to increased
contribution   from   treatment   revenue,   which typically has higher margins
(~50%) versus engineering revenue (~20%).

Strong     pipeline     of     projects.   Yesterday,   UE   was   awarded   a
transfer-operate-transfer   (TOT)   project   from the Tangshan-Nanpu Economic
Development   Zone   Management   Committee   in   Hebei   province.   The project
involves   the   acquisition   of   an existing 80k m3/day wastewater treatment
plant   and   a 40k m3/day wastewater recycling plant, upgrading of the plant
and   operating   it   for   30   years.   UE   has a 50% stake in the project. We
estimate   ~S$29m   of   revenue (19.2% of FY12 top line) and S$6.1m of profit
(18.2%   of   FY12   earnings)   to   be   recognised in 2011. With the continued
enforcement   by   the   PRC government on the quality of water discharged, we
believe   opportunities   abound   for   both   new   and   upgrading   of existing
wastewater treatment plants. These include the modification of the existing
CNOOC   refinery   wastewater treatment plant (constructed by UE), as well as
the construction of phase two of the plant.

Lowering   earnings   but   outlook   remains   bright. We are trimming our FY11
earnings   by   19.9% to S$19.3m and FY12 earnings by 8.5% to S$33.5m, due to
overly   bullish engineering revenue forecasts previously. However, with the
continued   strong   demand   for wastewater treatment facilities in China and
UE’s   track   record   in constructing MBR plants, we are maintaining our BUY
call.

 

/DMG

 

UTD up = viking up..well done! =)


 

By KALPANA RASHIWALA

United Envirotech Ltd (UEL) on Tuesday said it has bagged a Transfer-Operate-Transfer (TOT) project from the Tangshan-Nanpu Economic Development Zone Management Committee in China's Hebei province to acquire, upgrade and operate the centralised wastewater treatment and recycling plant for the development zone.

The project involves the acquisition of an existing 80,000 cubic metres per day wastewater treatment plant and a 40,000 cubic metres per day wastewater recycling plant, upgrading of the plant and operating it for a 30-year concession period.

The total investment for the project is estimated at 280 million yuan (about S$55 million).

UEL will form a 50:50 joint venture wit Singapore Exchange listed Memstar Technology, which makes high-performance hollow fibre membranes, to undertake the project.

 

United Envirotech rated 'buy' by OCBC

WRITTEN BY THE EDGE

MONDAY, 07 FEBRUARY 2011 22:13

OCBC Investment Research in a Feb 2 research report says: " United Envirotech Ltd (UEL) posted slightly lumpy 3Q11 results, where revenue fell 31.8% y-o-y and 44.4% q-o-q to $12.8 million, with management citing lower engineering income for the period due to the lumpy nature of its projects. " Because of the lower revenue, net profit also saw a 20.8% y-o-y and 32.7% q-o-q slide to $4.1 million if we exclude one-off items, core earnings would have fallen 49.4% y-o-y and 56.7% q-o-q to $2.6 million. For 9M11, revenue increased 49.6% to $58.2 million, meeting just 54.3% of our full-year estimate net profit jumped 53.4% to $14.4 million and met 72.3% of FY2011 forecast. " As some of the projects are still in the planning stage and UEL will probably recognize the revenue slightly later than expected, we pare our FY2011 revenue estimates by 32.4%, but due to the increased profitability, we pare our earnings forecast by a smaller 9.7%. As such, our DCF-based fair value dips from 69 cents to 65 cents. MAINTAIN BUY."

 

United Envirotech: Outlook still fairly buoyant

Summary:  Despite United Envirotech Ltd (UEL) posting slightly lumpy 3Q11 results, management maintains a fairly upbeat outlook, citing China’s commitment towards solving the country’s water pollution and scarcity issues. UEL is currently sitting on a fairly sizable order book of > S$100m worth of engineering projects to be delivered through Sep 2011. Meanwhile, China has recently announced that it plans to double its investment in water conservation projects to RMB4tr (S$775.1b) over the next 10 years and has made water conservancy a priority. UEL is already in talks to acquire several TOT (transfer-operate-transfer) projects after raising S$28m from its TDR listing recently. Nevertheless, management believes in the need to be prudent and would rather spend some time to get the best deals. In view of the lumpy revenue recognition, we have pared our FY11 revenue estimates by 32.4%, but due to the increased profitability, we pare our earnings forecast by a smaller 9.7%. Our DCF-based fair value dips from S$0.69 to S$0.65. But in view of the good upside potential and the still buoyant industry outlook, we maintain our  BUY  rating on the stock. (Carey Wong)

 

//ocbc ir/

 

 

Water is "Power" - This counter will have more up up up potential this year. It will also be wise to switch region to US or Euro if you can - whose are still the weaker but potential market to dip in.

 

my view only hor.....easily........another good qtr result coming soon......remember!