Sapphire Corp

Sapphire Corp: Sias Research maintains Increase Exposure with $0.23 TP. Note that Sapphire Corporation reported gross profit of $6.9m for 4Q FY12, vs S$3.8m for 3Q FY12 and $2.9m for 4Q FY11. Adjusted EBIT rose to $3.1m vs S$0.7 in the previous qtr and -$1.5m a year ago. House encouraged by the stronger operating performance and are hopeful that the write offs that dragged overall profit into a net loss position will not be repeated in 2013.