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1741-1760 of 1965
Property market is cooling although the property analysts including the property agents would like to think that the price is stable.
CapitaLand, Southeast Asia's top property developer, reported a 59% slide in quarterly profit due to weaker sales in S'pore and lower one-off gains, and said home buyers would remain wary amid the global credit crisis.
Earnings from private home sales, CapitaLand's biggest money spinner a year ago amid a property boom, slumped as the government moved to cool the hype, but were was partly offset by foreign markets like China and Australia.
"This is disappointing as Q1 had also been boosted by the sale of CapitaLand's stake in Hitachi Tower," said ABN AMRO analyst Fera Wirawin. The developer sold its 50% share in the office building for a $110 million gain in the period.
"CapitaLand is holding up better compared to its peers as its income is more diversified, but we think the property down-cycle has already started in S'pore earlier than expected," said Wirawin, who has downgraded CapitaLand to "sell".
Private home prices in S'pore, CapitaLand's biggest market, recorded a 2nd straight quarter of slower growth in early '08 as property sales slumped to the lowest in 5 years.
CapitaLand derived 39% of its pretax income from outside S'pore last year and also earns profits from property trusts, such as CapitaMall Trust and CapitaCommercial Trust.
CapitaLand posted a net profit of $247.5 million in the three months to the end of Mar, compared with $608.1 million a year ago, in line with analysts' expectations. The year-ago result had been boosted by a $426.8 million fair value gain on one of its office buildings.
CapitaLand Chairman Richard Hu told investors that its '08 earnings were unlikely to match last year's $2.8 billion due to the absence of revaluation gains.
About $1.1 billion of CapitaLand's profit last year was from gains in the value of properties and investments. The other $1.7 billion came from selling apartments, trading properties, rent and managing real estate funds.
Residential profits in S'pore slumped 30% to add $39 million in pretax earnings in Q1, but this was offset by an 81% jump in residential profits from China, which contributed $65 million. Australia and CapitaLand's other foreign residential markets improved 9% to contribute S$48 million.
"Market sentiment in the property market is expected to remain cautious until a sustained recovery in the financial markets and economic conditions can be foreseen," it said.
"Nevertheless, the group is confident that it will be profitable in 2008," said the group.
S'pore property firms have reported disappointing earnings for the quarter ended Mar '08, partly due to slower sales in the domestic market. No. 3 developer Keppel Land posted a 3.5% fall in net profit, while GuocoLand and Allgreen suffered earnings declines of 93% and 65%, respectively.
Negative impact on sentiment??? Anyway, result will be out tom...
Number of US homes facing foreclosure jumps 112 percent in first quarter from 2007
http://biz.yahoo.com/ap/080429/foreclosure_rates.html
15cts on XD 7 May, good deal as compares with other high div payout coys,such as Kepld, its price seems steady over the past weeks. But it had cheong quite a substantial amount already. The so-called div forbial syndrome may fall on it as well. AK view loh.
The populations of these developing Asian countries are extremely house-proud once they've got the means. It's a insatiable desire.........in due course they will also want Daniel Linbeskind-designed condos. From mass mkt to DL, there is at least a 10 year period of opportunities. That's why I have been loading up all the big prop stocks with strong overseas legs.
So Cheong all the way till result announcement....
A large swathe of Asian populations are now middle and upper middle class now. Prop counters are now good plays as long as they have overseas legs. I particularly like CapitaLand as the team is very strong, focused and innovative. I think its price has passed its bottom in this subprime crisis.
too early to consider
I am also eyeing this stock. Is it too late to consider?
Cheong passed $7 and U turn ....more upside???
Dow is up as of now... 12,749.00 +28.82... Will it remains uptrend tomorrow? Hope, it will...
Share your sentiment...
L..... ( Date: 19-Apr-2008 15:51) Posted:
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stay with office prop counters instead of residential propo counters
i.e. for the short term. Long term , according to figures, my choices r in this order: HO BEE, CAPITALAND, CDL.
agree with L ....
Watch this counter. This stock has lots more upside. It's a must-have in unit trust funds.
i still wary of putting $$ into property counters. look at kep land, drop like close to 1 dollar for past week or so..
still clear of them for now.. capitalland too high to buy now la
Good prospect....too bad it did not spike down, but like I said...cheers to all vested.
Yes, 1Q 2008 results to be announced on 30 April 2008.
29 April, Tuesday, AGM/EGM at 1000 at CapitaLand Towers.
This counter will cheong. The management has something up its sleeves..........venturing futher into Indian and most likely make forays into Russia.