King Wan Corporation Ltd’s (King Wan) profit came in at S$1.42m on revenue of S$13m in 1Q FY13. During the quarter, associate profits also came in at S$0.43m. Based on our estimates, core PBT has improved to S$1m in the quarter, compared to small losses in 4Q FY12. Cash flow remain strong with a net increase of S$7.6m cash, mainly from operating activities and dividends received from associates. Financial position remained healthy with S$32m of net cash at group level. At company level, King Wan is sitting on S$15.5m of cash with no debt as of 30th June 2012. We are of the view that King Wan will still be able to maintain a stable dividends payout in FY13F on the back of strong cash balance. Maintain Increase Exposure with an Intrinsic Value of S$0.250 per share.

Q&M had just released its 2Q FY12 results this morning. Total revenue grew 19.5% YoY to S$13.7m in 2Q FY12 on the back of existing dental outlets as well as contributions from new dental outlets in Singapore and Malaysia. On QoQ basis, total revenue also grew by 5% in 2Q FY12. PBT declined by 13.6% YoY in 2Q FY12 as consumables costs edged up by 36%. That said, PBT has grown by 6.1% QoQ to S$1.22m in the quarter. We maintain our forecast as 2Q results were generally in line with our expectation. We continue to look forward to higher revenue in the subsequent quarters, especially in 4Q FY12 when seasonal demand for dental services will drive up revenue. Maintain Increase Exposure with an Intrinsic Value of S$0.50.

Petra Foods Limited (Petra) delivered another satisfactory set of results in 2Q FY12 despite the challenging operating environment in cocoa grinding business. EBITDA from the Branded Consumer division grew by 36.2% YoY in 1H FY12 to US$39.6m on the back of strong growth in its key markets. EBITDA yield at Cocoa Ingredients division declined to US$226/MT in 1H FY12 as a result of excess capacity. Despite the challenging operating environment, Petra was still able to deliver 14% net profit growth in 1H FY12. Besides, Petra also increased its proposed interim dividend by 13% to 2.11 US cents per share to reward shareholders. We maintain our ‘Fairly Valued’ rating with an intrinsic value of S$2.23 per share on the strong performance in the Branded Consumer division.

Olam  International’s (Olam) share price  performance  has been disappointing after its 3Q FY12 results missed analysts’ estimates. We  recommend  a “Take Profit” rating  on Olam and  value  it  at S$1.50,  based  on  1.1x  Price-to-Adjusted Book  Value,  given  (1)  aggressive  accounting  (2)  poor earnings  quality  (3)  highly-geared  balance  sheet  and  (4) expected earnings drag from Industrial Raw Materials (IRM) and Commodity Financial Services (CFS) divisions in FY12. 

AIMS  AMP  Capital  Industrial  REIT’s  (AA  REIT) 1Q  FY13 results  were  generally  in  line  with  our  expectations. Gross revenue was flat in 1Q FY13 at S$20.9m while net property income  grew  by  3.9%  to  S$14.9m  as  compared  to  the previous  corresponding  quarter. We raised our  net  property income  and  dividend  payout  forecast  in  FY13F to FY15F following  (1) lease  renewals  at  27  Penjuru  Lane and  (2) higher  contribution  from  positive  rental  reversion at  8 &  10 Pandan  Crescent  and  other  properties.  As  such,  we increase our intrinsic value to S$1.41, or 1x P/B in FY12F. Maintain ‘Invest’ rating.