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Hong Leong Asia Last:1.09

+0.01

Hong Leong Asia

HL Asia Commentary:       ( 'o') ( 'o') ( 'o') WoW! ('o' ) ('o' ) ('o' )
In summary, barring unforeseen circumstances and any adverse change in business climate, the Group expects to continue to operate
profitably in the next quarter and next twelve months.

As part of the Group’s efforts to grow its businesses and enhance shareholders’ value, the Group will continue to explore investment
and divestment opportunities. In particular the Group is considering the sale of Karimun quarry. As and when these opportunities materialize,
appropriate announcements will be made.

1. Hong Leong Asia Ltd

Unaudited 9 Months Financial Statement For The Period Ended 30 September 2009
Revenues:       S$3.5billion   <-------     79% of CIMB's FY2009F S$4.45billion    <------- (", )
Net profit:       S$157.4mln <-------    125% of CIMB's FY2009F S$125.1mln      <------- Wow! ('o' )('o' )('o' )

Source: SGX & CIMB-GK Research, Bloomberg   22Jan 2010

2. Henan Xinfei (Hong Leong Asia Ltd holdings 90% shares)

Henan Xinfei’s 9M09 Revenue and Pretax Profit contributions
Revenues:         2009's 9 mths S$850mlns   vs   2008 Full yr S$953mlns <--- 89.2% of FY2008!   (", )
Pretax Profits:   2009's 9 mths   S$82mlns   vs   2008 Full yr   S$97mlns <--- 84.5% of FY2008!   (", )

Source: CIMB-GK Research, Bloomberg   22Jan 2010

3. China Yuchai International Limited (Hong Leong Asia Ltd holdings 26.7% shares); NYSE symbol “CYD”

China Yuchai's For 9 Months Ended Sept 30, 2009
Revenues:    RMB 9.86billions
Net income: RMB 532.5mlns vs 2008 Full year est.RMB 252.4mlns <--- Wow! Only 9 mths has more than 2008's full year +110%! ('o' )

Source: http://www.cyilimited.com/home/ir.html & http://finance.yahoo.com/q/pr?s=CYD

I still remembered i got this at IPO price 60 cts in the 90s... sigh... another example of long term investing..

About China Yuchai Group (China’s largest independent diesel engines manufacturer);

China Yuchai International Limited or CYI is a subsidiary of Hong Leong Asia Ltd (“HLA”) which indirectly holds 26.7%
of its outstanding ordinary shares as well as one special share.

The common stock of CYI is traded on the New York Stock Exchange under the symbol “CYD”.

Quick Financial Synopsis
BRIEF: For the nine months ended 30 September 2009, China Yuchai International Limited's revenue totaled RMB9.86B,
up from RMB1.44B. Net income totaled RMB532.5M, up from RMB78M. Revenues reflect an increase in sales of the
Company products. Net income also reflects an increase in gross margins and higher other income. The Company engages
in the manufacture, assembly & sale of a wide array of light-duty, medium-sized & heavy-duty diesel engines.

CHINA YUCHAI INTERNATIONAL LIMITED
UNAUDITED CONSOLIDATED INCOME STATEMENTS For the period ended September 30, 2009

For Quarter Ended Sept 30, 2009
Revenues: RMB 3.49billions
Net income: RMB 248.5mlns

For 9 Months Ended Sept 30, 2009
Revenues: RMB 9.86billions
Net income: RMB 532.5mlns vs 2008 Full year est.RMB 252.4mlns <--- Wow! Only 9 mths has more than 2008's full year +110%! ('o' )

http://www.cyilimited.com/home/ir.html
http://finance.yahoo.com/q/pr?s=CYD

Hong Leong Asia Ltd

Unaudited 9 Months Financial Statement For The Period Ended 30 September 2009 SGD$

Revenue $3.5billion <------- 79% of CIMB's 2009 full year forecast <------- (", )

Net profit $157.4mln <------- 125% of CIMB's 2009 full year forecast <------- Wow! ('o' )('o' )('o' )

site: SGX

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

22 Jan 2010

Source: Company, CIMB-GK Research, Bloomberg

Hong Leong Asia Ltd

Maintain Outperform; Higher target price of S$6.33 (prev S$3.98)

Financial summary: FY Ended Dec ( SGD$ ) Actual and Forecast

Revenue     FY2007A $3.23billion     FY2008A $3.62billion     FY2009F $4.45billion   <------- (", )
EBITDA    FY2007A $289.5mln       FY2008A $257.4mln      FY2009F $309.1mln
Net profit    FY2007A $95.4mln        FY2008A $42.0mln        FY2009F $125.1mln   <------- (", )

yipyip ( Date: 30-Jan-2010 17:33) Posted:

Indeed, HL Asia's Xinfei having a very good valuations!

>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>.

Henan Xinfei’s Revenue and Pretax Profit contributions:

Revenue            FY2007 S$845mlns          FY2008 S$953mlns          FY2009 S$????mlns
pretax profits      FY2007 S$76mlns           FY2008 S$97mlns            FY2009 S$???mlns

From: CIMB-GK Research 22.01.2010

>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>

Hong Leong Asia has under its Consumer Products, Diesel Engines and Industrial Packaging arms,
three leading China-based manufacturing businesses, namely;

1. Henan Xinfei (China’s second largest manufacturer of refrigerators and freezers, produces more
    than 200 models of direct-cooled and frost-free refrigerators, 100 models of freezers and 40 models
    of air-conditioners),
2. China Yuchai Group (China’s largest independent diesel engines manufacturer), and.....

Name of significant subsidiaries:
Henan Xinfei Electric Co., Ltd.                                     Effective equity interest 90%
Henan Xinfei Household Appliance Co., Ltd.                 Effective equity interest 90%
Henan Xinfei Refrigeration Appliances Co., Ltd.            Effective equity interest 90%

http://www.hlasia.com.sg/uploads/HLA_AR2008.pdf

>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>

Hong Leong Asia Ltd

Value redefined; OUTPERFORM; raised to target price of S$6.33

• Potential listing of Xinfei?
While we reiterate that a stake sale in Xinfei could bring
good value to shareholders, we explore the possibility of listing Xinfei as an
alternative that could achieve the same results and more. We performed a scenario
analysis on the likely outcome of any potential stake sale or listing. Our results show
that our target price has the potential to reach S$9.17, in a blue-sky scenario,
depending on the actual transaction price. In addition, we see the possibility of
shareholders rewarded with special dividends ranging from S$0.71 to S$3.16/share.

• Maintain Outperform;
higher target price of S$6.33 (from S$3.98). Recent strong
performances by Xinfei and Yuchai prompt us to raise our FY09 core EPS estimate
for HLA by 10%, after factoring in higher gross-margin expectations of 22% (from
21.7%).

CIMB Jan 2010

Wow! +0.09 ('o' )

--> CIMB raises Hong Leong Asia (H22.SG) target price to S$6.33 from S$3.98;

--> HLA may give special dividend of S$0.71-S$3.16/share if it decides to sell its 90% stake in Xinfei or list unit. Keeps Outperform call

susan66 ( Date: 24-Jan-2010 21:16) Posted:

Hi Simplyenjoy, Smiley

For your info, this might be the reason :

CIMB raises Hong Leong Asia (H22.SG) target price to S$6.33 from S$3.98, based on sum-of-parts valuation, to reflect higher valuation multiples for units China Yuchai, Henan Xinfei; "with HLA's China businesses growing at a rapid pace, we believe that its Hong Kong and China-listed peers now provide a better benchmark for valuing HLA (than Singapore peers)." Notes HLA's 9M09 core net profit more than doubled vs entire FY08 profit due to higher contributions from Xinfei, Yuchai. Says Xinfei traditionally strong in rural China, which expected to drive bulk of growth in Chinese domestic demand going forward. Expects Yuchai's two new JVs in 2009 to help raise contributions to HLA by 60% by FY11. Adds HLA may give special dividend of S$0.71-S$3.16/share if it decides to sell its 90% stake in Xinfei or list unit. Keeps Outperform call.

This is good Chinese New Year Discounts.

Wow, many of you are quite smart to buy HLA. Long term, think will have a hand with other associates on developing Iskandar projects. I want to wait for news first.

Someone is shorting tis counter.It slide down to $3.65.

Dont know whether is it gd time to buy in now??

Ya risktaker,

Don't distub us leh, just add in more position today. Isn't this a strong counter? So far it's quite stable, nice pattern.

risktaker,

Give chance give chance, don't short hor, buy up can Smiley Just entered recently, don't make me lose money so fast Smiley

risktaker ( Date: 25-Jan-2010 12:30) Posted:

I was about to short this baby but lol my friend told me dont distrub.

des_khor ( Date: 25-Jan-2010 12:26) Posted:

Hahaha... MFT !! talk without the eye open..

This stock is pretty strong today.

Congrats to those who brought.

I missed this boat. Have to catch some other boat liao. Smiley

I was about to short this baby but lol my friend told me dont distrub.

des_khor ( Date: 25-Jan-2010 12:26) Posted:

Hahaha... MFT !! talk without the eye open...

susan66 ( Date: 24-Jan-2010 21:16) Posted:

Hi Simplyenjoy, Smiley

For your info, this might be the reason :

CIMB raises Hong Leong Asia (H22.SG) target price to S$6.33 from S$3.98, based on sum-of-parts valuation, to reflect higher valuation multiples for units China Yuchai, Henan Xinfei; "with HLA's China businesses growing at a rapid pace, we believe that its Hong Kong and China-listed peers now provide a better benchmark for valuing HLA (than Singapore peers)." Notes HLA's 9M09 core net profit more than doubled vs entire FY08 profit due to higher contributions from Xinfei, Yuchai. Says Xinfei traditionally strong in rural China, which expected to drive bulk of growth in Chinese domestic demand going forward. Expects Yuchai's two new JVs in 2009 to help raise contributions to HLA by 60% by FY11. Adds HLA may give special dividend of S$0.71-S$3.16/share if it decides to sell its 90% stake in Xinfei or list unit. Keeps Outperform call.

Hahaha... MFT !! talk without the eye open...

susan66 ( Date: 24-Jan-2010 21:16) Posted:

Hi Simplyenjoy, Smiley

For your info, this might be the reason :

CIMB raises Hong Leong Asia (H22.SG) target price to S$6.33 from S$3.98, based on sum-of-parts valuation, to reflect higher valuation multiples for units China Yuchai, Henan Xinfei; "with HLA's China businesses growing at a rapid pace, we believe that its Hong Kong and China-listed peers now provide a better benchmark for valuing HLA (than Singapore peers)." Notes HLA's 9M09 core net profit more than doubled vs entire FY08 profit due to higher contributions from Xinfei, Yuchai. Says Xinfei traditionally strong in rural China, which expected to drive bulk of growth in Chinese domestic demand going forward. Expects Yuchai's two new JVs in 2009 to help raise contributions to HLA by 60% by FY11. Adds HLA may give special dividend of S$0.71-S$3.16/share if it decides to sell its 90% stake in Xinfei or list unit. Keeps Outperform call.

Go cheong ba - understood liao

i suggest dont touch this baby :) If not after Dividend u will be crying :P

simplyenjoy ( Date: 24-Jan-2010 22:03) Posted:

Thanks Susan66,

Sounds like very positive news ! May load up at the next breakout. vested...

Hi Simplyenjoy, Smiley

For your info, this might be the reason :

CIMB raises Hong Leong Asia (H22.SG) target price to S$6.33 from S$3.98, based on sum-of-parts valuation, to reflect higher valuation multiples for units China Yuchai, Henan Xinfei; "with HLA's China businesses growing at a rapid pace, we believe that its Hong Kong and China-listed peers now provide a better benchmark for valuing HLA (than Singapore peers)." Notes HLA's 9M09 core net profit more than doubled vs entire FY08 profit due to higher contributions from Xinfei, Yuchai. Says Xinfei traditionally strong in rural China, which expected to drive bulk of growth in Chinese domestic demand going forward. Expects Yuchai's two new JVs in 2009 to help raise contributions to HLA by 60% by FY11. Adds HLA may give special dividend of S$0.71-S$3.16/share if it decides to sell its 90% stake in Xinfei or list unit. Keeps Outperform call.

Dear friends,

Anybody know why HL Asia holding well and running up when broad market is down? Thks in advance.

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