- APAC Realty (SGX:CLN) had a challenging FY23, with earnings declining sharply as Singapore residential market volumes eased. While residential market transactions should rebound slightly this year on higher supply, demand remains selective amid high interest rates.
- - Read this at SGinvestors.io -
FY23 PATMI plunged by 56% y-o-y
- APAC Realty’s FY23 PATMI plunged by 56% y-o-y, driven by lower volumes across all segments and losses at its overseas entities.
- See APAC Realty's dividends. Its total FY23 dividend of 2.5 cents reflects a 78% dividend payout ratio and ~6% yield, higher than the market average yield of ~5.7%, which we believe should support APAC Realty's share price.
FY24 transaction volumes expected to pick up slightly
- - Read this at SGinvestors.io -
- For 2024, we expect new private home sales (excluding executive condominiums) to grow 10-15% y-o-y, to 7,000- 7,500 units. Resale volumes, meanwhile, are expected to be similarly increase by 10-15% y-o-y amid more bargain-hunting and spill over demand from new launches.
- Note: gross profit margins are higher for new launches (i.e. in the low teens) compared to high-single digits for secondary property projects.
Focus on improving primary market share and agent count.
- Read more at SGinvestors.io.
Vijay Natarajan RHB Securities Research | https://www.rhbgroup.com/ 2024-03-08
Previous report by RHB:
2023-11-14 APAC Realty - A Muted Outlook.
Price targets by 2 other brokers at APAC Realty Target Prices.
Listing of research reports at APAC Realty Analyst Reports.
Relevant links:
APAC Realty Share Price History,
APAC Realty Announcements,
APAC Realty Dividends & Corporate Actions,
APAC Realty News Articles
