BBR Holdings

[RBM]

If today's SGX trading in BBR shares is any guide, I believe that Mr. Market viewed Andrew's appropriately sober SGX announcement as a positive. A ~ 7% increase in BBR's share price was seen today. Andrew has always struck me as a carefully balanced diligent sort and I do wonder if the BT Report fairly reported what he said. Any way ........... it seems that no harm has been done.

Vested,
RBM

[RBM]

BBR announced its FY 2011 results this evening. Upfront, I should declare a bias since I have been vested for some time in BBR - it is one of my favourites.

I believe these are a very solid set of financials. Summarising into three positives and one not-so-positive:
+ Revenue doubled. Building construction revenue was up ~ 70%. Singapore revenue streams were particularly strong.
+ EPS up ~ 3% to S$cents 6.57.
+ Dividend increased by one third to S$ cents 0.8 per share, putting BBR on a more respectable ~ 3.6 % dividend yield.
- Gross Profit Margin down by a third - CEO Andrew refers to a change in the "project mix" in his press release.

Looking forward, CEO Andrew talks about a S$ 590 Million order book with work stretching out until 2015. It appears BBR's diversification has paid and is paying off. The challenge will be to eek out a decent margin on this volume in a highly competitive construction environment.

BBR's NAV now stands at S$ 0.32 per share, over 40% more than its S$ 0.225 closing share price today. I believe BBR has proven itself to be reliable earner over the years, including when the going gets tough, as it did in 2H 2011. It will be interesting to see in the coming months if Mr. Market will reward this well managed and highly diligent company with a closing of the gap between its share price and NAV.

Just my two cents worth - I hope I have been balanced in my summary............ even though I am .............
Vested,

[dydx]

Today (2Mar12) OSK/DMG issued an update report on BBR based on the latest FY11 (ended 31Dec11) full-year results, and re-affirmed their 'BUY' call and previous Target Price of $0.38.....
http://www.remisiers.org/cms_images/rese...020312.pdf

BBR's latest FY11 results (released on 28Feb12 after market closed).....
http://info.sgx.com/webcoranncatth.nsf/V...200368C7F/$file/BBR_FY2011_profit_announcement.pdf?openelement [result announcement]
http://info.sgx.com/webcoranncatth.nsf/V...200368C7F/$file/BBR_FY2011_press_release.pdf?openelement [press release]

Yesterday (1Mar12), BBR has also resumed buying back its own shares from the open-market, by buying 200 lots at $0.225/share.....
http://info.sgx.com/webcorannc.nsf/Annou...endocument

[memphisb]

$0.225

[RBM]

Thank you for sharing the OSK-DMG Analyst Report on BBR dydx - this analyst is consistent. One thing or rather one question strikes me for this well managed company - why does its (undemanding) multiple trail that of its construction peers, and by such a wide gap?? BRR's P/E is about half that of its peers. Last years financials and dividend were positive, the Company is buying its own shares and it has a healthy orderbook out to 2015.

Lets see if Mr. Market allows it to catch-up on its peers in the not-too-distant future.

Vested

[dydx]

Today (5Mar12), BBR bought back another 100 lots and paid $0.23/share.....
http://info.sgx.com/webcorannc.nsf/Annou...endocument

Against BBR's latest (as at 31Dec11) NAV/share of $0.3173, the latest buy-back purchase is at a 27.5% discount. Buying back shares at such a low price will raise the EPS and NAV/share of the remaining outstanding shares. I like it!

[dydx]

Today (6Mar12), BBR bought back another 100 lots and paid $0.23/share.....
http://info.sgx.com/webcorannc.nsf/Annou...endocument

[dydx]

SGX made some queries on BBR's FY11 full-year result announcement and, in response, CEO Andrew Tan provided a lot of additional useful information.....
http://info.sgx.com/webcoranncatth.nsf/V...9004422E6/$file/BBR_FY2011results_queries.pdf?openelement

After reading, I feel even more strongly about BBR's professional management team and proper financial controls.

[RBM]

Good one dydx - I 100% agree with you regarding the professionalism and robustness of BBR's management,

Two other points if I may:

A. BBR only received the SGX queries on their FY 2011 return during the day of 6th March 2012 ............ yet they were able to issue and disclose a quality well written, non-defensive and non-evasive, detailed response shortly after the SGX closing on the same day. I believe that also brings home the message that BBR's management team is very much on top of its stuff.

B. Some 233,000 BBR shares were traded during today's SGX session - all at a price of S$ 0.225. After some "bottom-fishing" bids of S$ 0.210 then S$ 0.215 then S$ 0.220 per share - all of which failed to attract a single seller - a single 250,000 share bid of S$ 0.225 per share came in mid-morning and was nibbled at by sellers throughout the course of the day. I wonder if that was BBR buying back its own stock again ? We should be able to find out tomorrow.

I like BBR.

Vested - and yes............. I was one of today's (failed) bottom-fishermen!

[dydx]

Yesterday (14Mar12), BBR bought back another 50 lots at a higher price of $0.24/share.....
http://info.sgx.com/webcorannc.nsf/Annou...endocument