1) All the top management in SPH are top scholars.
2) The CEO is granted 4 million ordinary shares accumulatively
3) Retained profit is 2 billion, cash holding is 312 million, investment property is 4 billion, net asset is 4 billion
4) Borrowings to be paid in one year, is 1 billion
5) The share price on Apr 27 is $2.76, net value per share is $2.5
6) The fcfe is 450 million, pbt is 430 million, ocf is -19 mil (after dividends and income tax).
Conclusion: The fcfe is positive. The share price is close to navps. The ocf before income tax and dividends is 355 million. The ocf is negative, because the dividends payment of 300 million is included in the calculation of net cash used in operating activities. The bank borrowing is 275 million.
So the bank borrowing is used to support dividends payment and income tax payment.
