Target price : Bt39.25
Recommendation : BUY
Closing Price (27 Feb 09) : Bt28.75
4Q08 profit down but full-year 2008 profit up 25.9%
- Knocked-down furniture maker MODERN posted a 4Q08 net profit of Bt81.8m, down both YoY and QoQ. For the whole of 2008, profit however jumped as high as 25.9% YoY.
- We estimate 2009 net profit growth to be a mere 6.7%.
- We also expect MODERN to pay a 2H08 dividend yield of 6.1%. We keep a 'Long-Term BUY' rating on MODERN with a price target of Bt39.25/share.
4Q08 net profit of Bt81.8, down YoY and QoQ, but full-year 2008 profit up as high as 25.9% YoY
Knocked-down furniture maker MODERN reported 4Q08 sales of Bt647m, down 1.9% YoY and 5.7% QoQ. Fourth-quarter net profit came in at Bt81.8m, or Bt0.97 a share, off 20.4% YoY and 22.9% QoQ. The quarterly profit decline on both YoY and QoQ basis contributed to (i) a drop of 0.35% YoY and 1.7% QoQ in gross margin to 36.9%, (ii) a fall of 1.9% YoY and 5.7% QoQ in sales to Bt647m, and (iii) a rise of 14.6% YoY and 2.7% QoQ in SG&A expenses to Bt178m, accounting for 27.56% of sales, up 3.95% YoY and 2.26% QoQ. For the whole of 2008, MODERN reported sales of Bt2,676m, up 9.4% YoY. Full-year net profit jumped as high as 25.9% to Bt382m, or Bt4.60 a share. The impressive profit growth reflected (i) a 1.08% gain in gross margin to 38.24%, (ii) a 1.38% fall in the SG&A expenses to sales ratio to 26.4%, (iii) a rise of 13.6% YoY in profit contribution from affiliates to Bt115m, and (iv) a drop in effective tax rates to 20.6% from a year-ago level of 22.2%.
2009 net profit growth expected to be a mere 6.7%
We expect 2009 sales to grow by 6.7% to Bt2,856m. Our forecast assumes a drop in gross margin to 38% from a year-ago figure of 38.24%. We estimate 2009 net profit to be about Bt408m, or Bt4.91 a share.
Estimated dividend yield of 6.1% for 2H08; Long-Term BUY rating maintained
Our 2009 price target of Bt39.25/share is equivalent to a P/E multiple of 8x. We keep a 'Long-Term BUY' rating on MODERN. We also expect MODERN to pay a 2H08 dividend of Bt1.75/share, equivalent to an un-annualized yield of 5.88%, based on the latest closing price of Bt28.75.
By Phillip Securities (Thailand) Plc. on Mar 2, 2009
Top USA Cities
Oklahoma City Oklahoma ,Santa Ana California ,Omaha Nebraska,Fort Worth Texas ,Tulsa Oklahoma,New York New york,Anaheim California,Garland Texas,Oakland California,St. Paul Minnesota ,Stockton California,Austin Texas,Detroit Michigan,Akron Ohio,Tampa Florida,Corpus Christi Texas ,San Diego ,Baton Rouge Louisiana ,Fresno California,Memphis Tennessee,Riverside California,Dallas Texas ,Raleigh North Carolina ,Durham North Carolina ,Phoenix Arizona ,Pittsburgh Pennsylvania,Laredo Texas,Lexington-Fayette Kentucky,Henderson Nevada,Sacramento California,San Antonio Texas,Long Beach California ,Kansas City Missouri ,Philadelphia Pennsylvania ,Arlington Texas ,Chicago Illinois ,Charlotte North Carolina ,Plano Texas,Tucson Arizona,St. Louis Missouri ,Bakersfield California,Madison Wisconsin,Lincoln Nebraska,Boston Massachusetts,Orlando Florida,Jersey City New Jersey,Scottsdale Arizona,Modesto California,Atlanta Georgia,Greensboro North Carolina ,Milwaukee Wisconsin,Rochester New York ,Colorado Springs Colorado ,Nashville-Davidson Tennessee,Fort Wayne Indiana ,Washington District of Columbia,Glendale Arizona,Indianapolis Indiana,Birmingham Alabama,Los Angeles California,Hempstead New York ,Brookhaven New York ,Oyster Bay New York,Newark New Jersey ,New Orleans Louisiana ,Chula Vista California ,Cleveland Ohio,St. Petersburg Florida ,North Hempstead New York,Virginia Beach Virginia ,Anchorage Alaska,Jacksonville Florida,Seattle Washington,Miami Florida,Minneapolis Minnesota,Hialeah Florida,Islip New York ,Las Vegas Nevada ,Houston Texas ,Honolulu Hawaii,Reno Nevada,Chesapeake Virginia,Chandler Arizona,Denver Colorado,Buffalo New York ,Aurora Colorado,El Paso Texas ,Baltimore Maryland,Mesa Arizona,Portland Oregon ,Babylon New York ,Norfolk Virginia,Toledo Ohio,Columbus Ohio,San Jose California ,San Francisco California ,Cincinnati Ohio,Wichita Kansas ,Albuquerque New Mexico ,Lubbock Texas
ไม่มีความคิดเห็น:
แสดงความคิดเห็น