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Sembmarine

Vested yesterday @1.38

SembCorp Marine (BUY/S$1.38/Target: S$2.03)

2008: Higher operating earnings due to a larger orderbook and improved

margins. Strong balance sheet with a net cash balance of S$1.8b.

 

Even if one did not hold Sembcorp Marine shares last September but now, the 6c final dividend is already giving a yield of 4.35% at today's price.

Trying every effort to stablise the share price?

 

The Board of Directors of Sembcorp Marine has recommended a final one-tier tax-exempt dividend of 6.00 cents per share to be paid on 13 May 2009. This is in addition to the interim one-tier tax-exempt dividend of 5.00 cents per share paid on 1 September 2008. Total dividend in absolute terms for FY 2008 will be 11.00 cents per share, an increase of 26% as compared with the 8.73 cents per share paid in FY 2007.

Dividend per share (cents)                           
Year ended 31 December      2008       2007
Final one-tier tax-exempt       6.00        5.16
Interim one-tier tax-exempt     5.00       3.57
Total Dividend                    11.00      8.73

A year ago, when Sembcorp Marine was trading at $3.80, the dividend yield was 2.30%

Today, when it is trading at $1.38, the dividend yield is 7.97%!

 

still waiting for $1.00

 

D div payout date is 13 May 09. XD would be 2 to 3 weeks b4. No hurry, just watch out for the official announcement of XD on papers n teletext loh.

Ironstarz      ( Date: 24-Feb-2009 20:01) Posted: base on previous payout, i guess XD somewhere between 25 april - 3rd May

 

base on previous payout, i guess XD somewhere between 25 april - 3rd May

 

ic, thanx guys,

btw when is the Ex date of Sembmar ?

trader88.sg      ( Date: 24-Feb-2009 18:29) Posted: No need to hold till official payout date. As long as you hold till Ex date, you are entitled liao, meaning u can sell on Ex date onwards. Ex-date is usually much earlier than the official payout date.

 

No need to hold till official payout date. As long as you hold till Ex date, you are entitled liao, meaning u can sell on Ex date onwards. Ex-date is usually much earlier than the official payout date.

 

Hi guys,

sorrie, a question from newbie,

 if now SembMar declared dividend, meaning i must hold its share til its official pay out date ??

or i can sell b4 the payout date and still get the dividend ?

 

 

At least a good news, but bad market causes share price to still drop today.

 

RESULT OUT

Group operating profit at $501.8 million was 44% higher than FY 2007’s $349.0 million.

Dividends 6 cents

Outlook & Prospects
While the financial turmoil has a damaging impact on the world economy and the
current oil prices, the Group is confident that the long-term fundamentals and outlook
for the marine and offshore industry continue to be positive in the light of continued
global reliance on oil and gas and accelerating depletion of oil and gas reserves.
3
The Group has a net order book of S$9.0 billion, comprising rig building, ship
conversion and offshore projects of which S$5.7 billion were secured in FY 2008.
These projects will keep the Group’s shipyards busy with a sufficient base-load.
For ship repair, the Group’s strategic alliances and partnerships with long-term
customers for synergistic benefits and “win-win” solutions should provide the Group
with a stable base load. It should also cushion the Group from the impact arising
from the current financial turmoil.
Market for the large FPSO (floating production storage offloading) units and
production platforms is expected to remain strong based owners’ long-term
commercial viability of the projects. Such projects have longer gestation period and
constitute part of the owners’ investment portfolio designed to provide future output
to replace depleting reserves.
The immediate economic outlook is uncertain. However, with our strong net cash
and balance sheet position, the Group is well-positioned to ride out the challenges of
the year ahead.
“FY 2008 was another record year with solid operational growth for the Group.
Despite the current financial turmoil and its impact on the world economy, our
strong net order book of $9.0 billion comprising rig building, ship conversion
and offshore projects will keep our shipyards busy with progressive
completion and deliveries from 2009 to 2012.
We remain committed in executing and delivering our projects on time or
ahead of schedule. Our focus on increasing operational efficiency through
innovation, production process improvements and repeat customer orders
have paid off with operating margin increasing from 5.9% in 2005 to 9.9% in
2008. We will continue to further enhance our operational effectiveness and
competitive edge and to build our order book during these difficult times.”
Mr Tan Kwi Kin
Group President and CEO





Congrats to all who vested

 

wow 1B in cash? then ur name shd be on the top few of the list of millionaires in SG liao wat...

 

Wah, you so rich ah. Got 1B in cash waiting to deploy.

des_khor      ( Date: 19-Feb-2009 00:56) Posted: I bought semcorp as got 1B in cash !!

 

just loaded some at 1.37... hope for the best tonite!

 

Well, it reached 1.2 something once already, 28th Oct last year (a day which I will remember well). I think most will agree that that was no where near the bottom. Not really worried, though.

monstar83      ( Date: 19-Feb-2009 00:47) Posted: Pray hard it doesnt reach that range, everyone is having a difficult time right now with all the negative news and retrenchment Hope the recession will pass soon and everyone will make it thru. Thanks for all the info guys, Hope u all are holding strong ... Chewbacca      ( Date: 18-Feb-2009 14:58) Posted: Yeah, I think SembMarine is stable enough for long term investment. I'm holding 5 lots @ 1.59. Just wait. Still got a lot to cast into the wind. I'll only do that if it really, really falls, something like 1.30.

 

I bought semcorp as got 1B in cash !!

 

Pray hard it doesnt reach that range,

everyone is having a difficult time right now with all the negative news and retrenchment

Hope the recession will pass soon and everyone will make it thru.

Thanks for all the info guys,

Hope u all are holding strong ...

Chewbacca      ( Date: 18-Feb-2009 14:58) Posted: Yeah, I think SembMarine is stable enough for long term investment. I'm holding 5 lots @ 1.59. Just wait. Still got a lot to cast into the wind. I'll only do that if it really, really falls, something like 1.30. monstar83      ( Date: 18-Feb-2009 12:48) Posted: yah lor, bought 5 lots at $1.65, haiz, should have waited alittle longer. but worst come to worst will leave it there as long term investment, feel that tis counter have the potential. wat u guys tink ?

 

Yeah, I think SembMarine is stable enough for long term investment.

I'm holding 5 lots @ 1.59. Just wait. Still got a lot to cast into the wind. I'll only do that if it really, really falls, something like 1.30.

monstar83      ( Date: 18-Feb-2009 12:48) Posted: yah lor, bought 5 lots at $1.65, haiz, should have waited alittle longer. but worst come to worst will leave it there as long term investment, feel that tis counter have the potential. wat u guys tink ? des_khor      ( Date: 18-Feb-2009 12:34) Posted: U bought @ 1.65

 

DJ MARKET TALK: S'pore O&M Solid; SembMarine Top Pick-BNP Paribas # 18 February 2009 12:35 ShareThis[?] Print This Page 0433 GMT [Dow Jones] Singapore offshore & marine plays mixed as investors await further cues on outlook, have had respite recently from order cancellations but retreating oil price negative for sentiment; Keppel Corp. (BN4.SG) +1.5% at S$4.12, SembMarine (S51.SG) down 2.0% at S$1.45. BNP Paribas says rigbuilders' fundamentals intact especially for deepwater oil exploration as deepwater drilling infrastructure likely insufficient, tightness in supply for rigs should remain for next 5 years. Says while negative newsflow due to clients facing financial difficulties may weigh on rigbuilders' shares, earnings impact should not be significant. "Our view is that risks are already priced in, and we view any negative reactions to weakness in the E&P sector as opportunities for accumulation." Rates both Keppel and SembMarine Buy with target prices of S$5.00 and S$2.23 respectively, but says SembMarine top pick for purer offshore exposure, strong balance sheet. (KIG)

 

FROM OCBC 11 FEB REPORT:

 

By Kelly Chia
Wed, 11 Feb 2009, 09:33:47 SGT Summary: Recent reports that oil majors are continuing their venture into deepwater exploration should bode well for Singapore rig manufacturers, KepCorp and Sembcorp Marine (SMM). Oil majors like Chevron and BP have reportedly been locked into high rig-charter rates during the boom days when oil was at US$140/barrle and contract terminations would mean high cancellation costs of up to US$219m each. Greater clarity on business directions of the oil companies have also helped to abate a previous flurry of rig cancellation/postponement news flow. With the sustained push into deepwater, demand for newer generation of deepwater capable offshore support vessels will also likely remain elevated. In this O&M space, we prefer SMM (FV: S$2.00) and Ezra (FV: S$1.09) in view of undemanding valuations and the purer play on the O&M sector. While KepCorp will benefit from this development, we think its property sector will continue to be a drag on its share price in the medium term. As such, we keep our HOLD rating on KepCorp (FV: S$4.40). (Kelly Chia)

 

yah lor, bought 5 lots at $1.65,

haiz, should have waited alittle longer.

but worst come to worst will leave it there as long term investment, feel that tis counter have the potential.

wat u guys tink ?

des_khor      ( Date: 18-Feb-2009 12:34) Posted: U bought @ 1.65? monstar83      ( Date: 18-Feb-2009 12:31) Posted: anyone knows whats happening to tis counter ? tis few days like going down down and down ? Dont noe when will come back to $1.65 range ?