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Bookmark this page   Saturday, 26 Jul 2008

Today's Headlines Chartered Semiconductor: 2H08 likely to be mired by challenges Chartered Semiconductor today reported a healthy set of 2Q08 results, with revenue up 41.1% YoY and 17.9% QoQ to US$457.6m, primarily due to strength in the communications sector. Its net income, on the other hand, came in about US$41m (after accretion of pref shares), mainly due to a tax benefit of US$48.7m arising from a retroactive charge for Fab 7. While Chartered has been seeing higher shipments and lower cost of wafer in 2Q08, it is currently experiencing moderating growth in 3Q08. Moreover, the group has guided a likely drop in gross margin in 4Q08 by about 5ppt compared to its 2Q08 figure, due to higher input costs and energy costs. We have revised our FY08F sales upwards by 2.3% to reflect an expected recovery of the ASP and a slightly higher utilization rate of 84%, which is turn offset by higher energy costs. However, our FY08F net profit now sinks into the red with a US$9.9m loss, in contrast with our previous net profit estimate of US$2.7m. Nevertheless, we are maintaining our HOLD rating and fair value of S$0.72 based on 1.1x FY08F NTA. Previous Headlines >>     Market Pulse M1, Soil Build and Chartered (25 Jul 2008) Defensive and SAR (24 Jul 2008) PST, FSLT and Soil Build (23 Jul 2008) Market Pulse: Bright World (22 Jul 2008) Noble Group (21 Jul 2008) Semiconductor Industry (18 Jul 2008) Furniture & Karin Tech (17 Jul 2008) Property Sector and Unisteel (16 Jul 2008) Soilbuild, ST Eng & Koda (15 Jul 2008) SPH (14 Jul 2008) more >>   Research Chartered Semiconductor: 2H08 likely to be mired by challenges Chartered Semiconductor today reported a healthy set of 2Q08 results, with revenue up 41.1% YoY and 17.9% QoQ to US$457.6m, primarily due to stren ... MobileOne Ltd: Another decent set of results MobileOne (M1) posted another decent quarter of results, with 2Q08 operating revenue up 2.8% YoY (+0.7% QoQ) at S$205.3m, while net profit rose 1. ... Soilbuild Group Holdings Ltd- Officially awarded the Woodlands site URA yesterday officially awarded the tender for the site at Woodlands Industrial Park E5 to Soilbuild. To recap, Soilbuild put in a bid of S$13.6m ... Straits Asia Resources: Investing in energy Summary: The recent interest in global coal mining IPOs is a good indication of the continued focus on the energy market, especially the coal sect ... First Ship Lease Trust – Acquisitions bump up 2Q First Ship Lease Trust (FSLT) ) posted a strong set of 2Q results, largely in line with our estimates, driven by the acquisition and delivery of f ... Pacific Shipping Trust – Acquisitions help increase DPU Pacific Shipping Trust (PST) enjoyed a great 2Q, bringing home US$10m in revenue, up 16.6% YoY and 13.4% QoQ. Earnings were boosted by the two new ... more >>    Strategy Strategy: Resilient Singapore Sevens Summary: The industrialized western world is displaying slowing economic growth and relatively high unemployment, a time of stagnation, accompanie ... Infrastructural Sector: Building blocks for growth Summary: Singapore’s construction sector is booming again after years of languishing at below S$12b contract level. Since 2004, the total contract ... Budget 2008 – Surplus of S$6.4b; goodies for individuals and corporates Summary: On Friday, the Finance Minster Tharman Shanmugaratnam unveiled a fairly pro-individual budget. As expected, there was a slant towards the ... more >>

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