Haw Par

Haw Par: FY11 results, in line if not for one-off impairment.
Revenue at $132.7m, +2.2% yoy, as growth across the healthcare, leisure and property segments was largely flat.
However, net profit was $76.2m, -32.3% yoy, due to i) one off impairment loss of $12.6m of Chengdu Oceanarium, ii) lack of one-off gains on dilution in associates, iii) lack of fair value gains on invmt properties (FY11 nil vs FY10 $15.4m).
Nevertheless, operating cash flow remained healthy, and improved to $58m, +51.4% yoy, thanks to higher invmt income.

The group expanded its invmt portfolio in 2H11 with $30.5m purchases of available-for-sale (AFS) financial assets, vs nil purchases in 2010 and 1H11.
NAV/sh fell to $8.95 from $9.81 in FY10, due to dividends distributed ($0.20/sh) as well as mark-to-market valuation of its AFS portfolio.

The group declared 14cts final div, and together with 6cts interim div, brings the full yr div to 20cts. This translates to 3.4% yield on the counter’s last traded at $5.95.

The stock trades at 15.5x P/E, 0.66x P/B.