REG,SINI,SINS

shan · 1 REG,SINI,SINS Thu Feb 24, 2011 1:03 am

shan

Senior Manager - Equity Analytics

Posts : 354
Equity Stars : 5461
Reputation : 52
Join date : 2011-01-27

SINGER GROUP still not come financial report i think this week will come with announcement may be good news for investers.

tubal · 2 Re: REG,SINI,SINS Thu Feb 24, 2011 5:54 am

tubal

Vice President - Equity Analytics

Posts : 1047
Equity Stars : 6274
Reputation : 243
Join date : 2011-01-27

shan wrote:SINGER GROUP still not come financial report i think this week will come with announcement may be good news for investers.

It's rather worrying that Singer which used to be rather good at compliance has delayed their interim financial statement release beyond the feb 15 deadline.

cse.alpha · 3 Re: REG,SINI,SINS Thu Feb 24, 2011 8:59 am

cse.alpha

Senior Manager - Equity Analytics

Posts : 336
Equity Stars : 5414
Reputation : 112
Join date : 2011-01-28

Singer group companies (REG, SINI & SINS) are all December year end companies - so they have time until 28 Feb to release their final quarter results. The 45 day rule only applies for non-final quarters, and even then a few days grace is normal.

The Singer group should report strong 2010 results, but with share prices having already moved up sharply, to what extent are 'good' results already priced in? Investors should look at valuations before investing, as some of these shares are illiquid and can be easily manipulated.

A quick snapshot:

Code (Price) - Normalised 9mth EPS upto 30.9.2010- Book value per share (30.9.2010)
* SINS (Rs210) - Rs7 - Rs54
* REG (Rs241) - Rs10 - Rs78
* SINI (Rs180) - Loss - Rs212

SINI reported a non-cash non-recurring gain on mark to market valuations of its SINS shares, boosting reported 9mth EPS to Rs41, which also boosted book value.

The recent import duty cuts and lower hire purchase rates would have boosted sales, but Abans is a strong competitor and Softlogic is also looking to strengthen its presence in sector. The price differential between some of Singer's locally assembled products and directly imported products from LG, Samsung, Panasonic etc may even have reduced with duty cuts, thus being disadvantageous to Singer.

More so, the recent floods will hurt the Singer group's rural sales (where Singer is particularly strong), and has to be factored in.

Both SINS and REG have capacity to pay reasonable dividends.

Any company can give share split, with only a Board Resolution and shareholder approval required to do so - but share splits do not change the fundamentals of the business.

tubal · 4 Re: REG,SINI,SINS Tue Mar 01, 2011 9:29 am

tubal

Vice President - Equity Analytics

Posts : 1047
Equity Stars : 6274
Reputation : 243
Join date : 2011-01-27

I did say in this forum that if you are buying Singer family shares SINS is the one to pick and SINI is the least attractive. Well the results are out. You can compare for yourself and judge whether I was right or wrong:

http://www.cse.lk/cmt/upload_report_file/772_1298951380.pdf
http://www.cse.lk/cmt/upload_report_file/686_1298886653202.pdf
http://www.cse.lk/cmt/upload_report_file/682_1298886539862.pdf