The Straits Times Index (SGX: ^STI) extended last Friday’s gains with a slight 0.1% uptick to 3,017 points today. 16 of the index’s 30 constituents had ended the trading session with gains to help edge it higher while 11 others had made losses. Even though the Straits Times Index had rather anaemic growth in price today, the same can’t be said for other shares in our local market. Let’s take a look at some shares that did better than the index. Brooke Asia (SGX: 5OY) surged 36.6% to S$0.28. The tiny company, with a market capitalisation of…
The Straits Times Index (SGX: ^STI) extended last Friday’s gains with a slight 0.1% uptick to 3,017 points today. 16 of the index’s 30 constituents had ended the trading session with gains to help edge it higher while 11 others had made losses.
Even though the Straits Times Index had rather anaemic growth in price today, the same can’t be said for other shares in our local market. Let’s take a look at some shares that did better than the index.
Brooke Asia (SGX: 5OY) surged 36.6% to S$0.28. The tiny company, with a market capitalisation of around $65m, had just realised its half-year results last Friday. For the six months ended 31 Dec 2013, Brooke Asia had no revenue, but saw a 156% year-on-year increase in profits to S$17.6m.
The company does have not have any sales coming in from continuing operations as it has sold almost all its operating businesses and subsidiaries to its parent company, Latitude Tree Holdings Berhad. The profits of the sold businesses are classified as “profit from discontinuing operations” and that was what’s reported in Brooke Asia’s half-year results.
According to the company’s earnings release, it is “currently considering various options and will be actively pursuing the acquisition of new operating business(es) and assets with proven track record and/or good growth potential to satisfy [Singapore Exchange’s] requirements for a new listing.”
Brooke Asia would be updating its shareholders in due course if any new developments along those lines surface.
Property developer Oxley Holdings (SGX: 5UX) rose 6.3% to S$0.68. The company’s half-year results, released last Saturday on 8 Feb 2014, saw tremendous jumps in both its top and bottom-line. Sales for the six months ended 31 Dec 2013 grew 709% year-on-year to S$888m while profits actually jumped more than 10 fold – 1,433% to be exact – to S$276m.
The company’s huge growth in sales was mainly due to it recognising revenue from a number of its projects, which includes the Oxley Bizhub (a 728-unit industrial development), The Commerz@Irving, Viva Vista, RV Point, Loft@Holland, and Vibes@Kovan amongst others. Oxley Holdings’ profits thus grew correspondingly based on the revenue gains.
Genting Singapore (SGX: G13) climbed 1.8% to S$1.415. The casino and resort operator had revealed last Friday that it would be entering into a joint venture with Hong Kong-listed property developer Landing International Development to “develop and operate an integrated resort” in Jeju Island, Korea.
The project is estimated to cost around US$2.2b and would take place on 2.3 million square metres of land that was acquired for S$160m. The plot of land was bought over from Jeju Free International City Development Centre in 2013 “with the intention to build a global standard tourism destination.”
The propose integrated resort in Jeju Island would be jointly owned, managed, and operated by both Genting Singapore and Landing International Development. The resort would be the island’s largest tourism resort to date and contain luxury hotels, shopping malls, gaming entertainment, a theme park, villas and apartments, as well as other forms of leisure and entertainment facilities.
This would be Genting Singapore’s first major integrated resort project after it brought Resorts World Sentosa to life in Singapore and based on its share price climb today, it seems that the market likes what it sees.
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