BUY: Deutsche Bank - Apr 14, 2005 (BT)

BackApr 14, 2005

Brokers' Take

BUY: Deutsche Bank

S'pore Press Holdings April 13 close : $4.56

Apr 14, 2005
The Business Times


Deutsche Bank

2Q05 ad revenue affected by cessation of Streats newspaper: SPH's 2Q revenue of $234.9 million was in line with our expectations. Net profit of $97.6 million was 15 per cent above our expectations, mainly due to higher-than-expected investment income. Display ad revenue saw a marginal 1.6 per cent decrease due to the cessation of Streats.

Management has guided that March ad revenue has picked up from February's seasonal low. SPH declared 3.75 cents interim and five cents special dividends per share. We believe FY05's overall outlook still looks positive and it continues to be a good defensive yield play. Price target revised at $4.90.


Compiled by R SIVANITHY