Popular

Popular: Swung to 2QFY15 net profit of $1.3m, while revenue fell 8% to $125.6m, attributed a 4.6% drop in retail and distribution sales due to the absence of the Singapore Gadget & Write Fair this year. On the property front, one unit of Ei8ght Raja sold for $2.5m, vs. 2 units of 18 Shelford last year. Gross margin held steady at 15.4%. Bottom line boosted by a one-off disposal gain from two commercial property units, and higher rental income. If Popular is unable to sell unsold property units by the time the Qualifying Certificate conditions expire, i.e. 28 May 2015 for the 21 unsold units of Ei8ght Raja, it would face escalating extension charges. Permai Residences, which should be completed by end 2015, could face the same situation if current situation persists over the medium term. Popular is trading at annualized 1HFY14 P/E of 9x.