BOUSTEAD PROJECTS LIMITED (SGX:AVM)
Boustead Projects Limited - Earnings Visibility With S$660m Order Book
- BOUSTEAD PROJECTS LIMITED (SGX:AVM) is an industrial real estate design and build solutions provider.
- Its order book, which stood at S$660m at end-Mar 2019, is likely to keep the group busy.
- The company stated that it would consider a REIT listing of its portfolio to unlock value.
Industrial real estate design and build specialist
- Established in 1996, BOUSTEAD PROJECTS LIMITED (SGX:AVM) is an industrial real estate solutions provider in Singapore, with core engineering expertise in the design-and-build and development of industrial facilities for multinational corporations and local enterprises.
- From inception to 23 May 2019, Boustead Projects had constructed and developed more than 3,000,000 sq m of industrial real estate in Singapore and the Asian region (China, Malaysia and Vietnam).
Able to execute construction contracts of unlimited value
- Boustead Projects’ wholly-owned subsidiary (Boustead Projects E & C Pte Ltd) is approved by Singapore’s Building & Construction Authority to execute building construction contracts of unlimited value. It has in-depth experience in designing and constructing custom-built facilities, covering the aerospace, business park and commercial, food, healthcare and pharmaceutical, high-tech manufacturing, info-communications, lifestyle, logistics, oil & gas, precision engineering, research & development, technology and waste management industries.
- On 30 Apr 2015, Boustead Projects was listed on the Singapore Exchange (SGX) Mainboard.
S$660m order book as at end-Mar 2019
- Boustead Projects’ order book backlog stands at a record-high level of approximately S$660m at end- FY19 (unrecognised project revenue remaining at the end of FY19 plus the total value of new orders secured since then). This includes the sizeable contracts for the JTC Multi-Storey Recycling Facility and Surbana Jurong Campus.
- Boustead Projects’ FY18 and FY19 revenue was S$170m and S$234m, respectively.
Current trading multiples
- As at end-Mar 2019, Boustead Projects trades at a land for development. Boustead Projects revealed in its accounting policy is to depreciate its investment properties. See Boustead Projects' announcements.
- Based on the company’s disclosure in the FY18 Annual revalued, Boustead Projects’s end-Mar 2018 revalued book value per share could be S$1.17, above the reported book value per share of S$0.79.
- See Boustead Projects Share Price | Boustead Projects Dividends History | Boustead Projects Latest News.
William TNG CFA
CGS-CIMB Research
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https://research.itradecimb.com/
2019-06-20
SGX Stock
Analyst Report
99998
SAME
1.040
