Saturday, June 29, 2013

SMRT predicted to suffer weekly earnings impact of $2m amidst haze | Singapore Business Review

SMRT predicted to suffer weekly earnings impact of $2m amidst haze | Singapore Business Review:

SMRT predicted to suffer weekly earnings impact of $2m amidst haze

ComfortDelGro will also suffer.
According to Maybank Kim Eng, for the land transport stocks, analysts estimate SMRT and ComfortDelGro would suffer a weekly earnings impact of SGD2m and SGD1.4m (or 2.0% and 0.5% of annual profit) respectively for every 15% reduction in fare revenue.
"SIA and SIAEC too would be exposed as Singapore is their main operating base, but it is not possible to assess the impact on aviation stock earnings, as there
are too many moving parts. Inbound traffic could be hit but this could be compensated for by more outbound traffic," Maybank Kim Eng said.

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