SGX:D01

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Dairy Farm International Holdings

Executive Summary

Dairy Farm International Holdings Limited operates as a retailer in Asia.


Snowflake Analysis

Acceptable track record second-rate dividend payer.

Share Price & News

How has Dairy Farm International Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: D01 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

1.9%

D01

2.8%

SG Consumer Retailing

0.7%

SG Market


1 Year Return

-37.5%

D01

-27.4%

SG Consumer Retailing

-19.1%

SG Market

Return vs Industry: D01 underperformed the SG Consumer Retailing industry which returned -27.4% over the past year.

Return vs Market: D01 underperformed the SG Market which returned -19.1% over the past year.


Shareholder returns

D01IndustryMarket
7 Day1.9%2.8%0.7%
30 Day-9.5%-3.8%-3.0%
90 Day-9.2%-5.0%1.1%
1 Year-34.6%-37.5%-24.1%-27.4%-15.0%-19.1%
3 Year-35.4%-41.5%-23.2%-30.9%-15.3%-25.5%
5 Year-29.3%-39.5%-13.9%-26.9%-2.6%-20.0%

Price Volatility Vs. Market

How volatile is Dairy Farm International Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Dairy Farm International Holdings undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: D01 ($4.36) is trading below our estimate of fair value ($12.83)

Significantly Below Fair Value: D01 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: D01 is poor value based on its PE Ratio (22.6x) compared to the XA Consumer Retailing industry average (21.2x).

PE vs Market: D01 is poor value based on its PE Ratio (22.6x) compared to the SG market (12.7x).


Price to Earnings Growth Ratio

PEG Ratio: D01 is poor value based on its PEG Ratio (1.6x)


Price to Book Ratio

PB vs Industry: D01 is overvalued based on its PB Ratio (5.3x) compared to the SG Consumer Retailing industry average (0.7x).


Next Steps

Future Growth

How is Dairy Farm International Holdings forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

14.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: D01's forecast earnings growth (14.3% per year) is above the savings rate (2.2%).

Earnings vs Market: D01's earnings (14.3% per year) are forecast to grow slower than the SG market (16.3% per year).

High Growth Earnings: D01's earnings are forecast to grow, but not significantly.

Revenue vs Market: D01's revenue (3.6% per year) is forecast to grow slower than the SG market (5.3% per year).

High Growth Revenue: D01's revenue (3.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: D01's Return on Equity is forecast to be high in 3 years time (27.9%)


Next Steps

Past Performance

How has Dairy Farm International Holdings performed over the past 5 years?

-18.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: D01 has a large one-off gain of $68.1M impacting its June 30 2020 financial results.

Growing Profit Margin: D01's current net profit margins (2.4%) are higher than last year (0.7%).


Past Earnings Growth Analysis

Earnings Trend: D01's earnings have declined by 18.7% per year over the past 5 years.

Accelerating Growth: D01's earnings growth over the past year (201.9%) exceeds its 5-year average (-18.7% per year).

Earnings vs Industry: D01 earnings growth over the past year (201.9%) exceeded the Consumer Retailing industry 9.3%.


Return on Equity

High ROE: Whilst D01's Return on Equity (22.87%) is high, this metric is skewed due to their high level of debt.


Next Steps

Financial Health

How is Dairy Farm International Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: D01's short term assets ($1.4B) do not cover its short term liabilities ($4.1B).

Long Term Liabilities: D01's short term assets ($1.4B) do not cover its long term liabilities ($2.9B).


Debt to Equity History and Analysis

Debt Level: D01's debt to equity ratio (120.6%) is considered high.

Reducing Debt: D01's debt to equity ratio has increased from 65.6% to 120.6% over the past 5 years.

Debt Coverage: D01's debt is well covered by operating cash flow (79%).

Interest Coverage: D01's interest payments on its debt are not well covered by EBIT (2.3x coverage).


Balance Sheet


Next Steps

Dividend

What is Dairy Farm International Holdings's current dividend yield, its reliability and sustainability?

4.82%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: D01's dividend (4.82%) is higher than the bottom 25% of dividend payers in the SG market (2.63%).

High Dividend: D01's dividend (4.82%) is low compared to the top 25% of dividend payers in the SG market (5.99%).


Stability and Growth of Payments

Stable Dividend: D01's dividend payments have been volatile in the past 10 years.

Growing Dividend: D01's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (101%), D01's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: D01's dividends in 3 years are forecast to be covered by earnings (70.9% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.8yrs

Average management tenure


CEO

Ian James McLeod (61 yo)

2.92yrs

Tenure

Mr. Ian James Winward McLeod is Director of Yonghui Superstores Co., Ltd. Mr. McLeod has been Group Chief Executive and Director at Dairy Farm International Holdings Limited since September 18, 2017. Mr. M ...


Leadership Team

NamePositionTenureCompensationOwnership
Ian James McLeod
Group Chief Executive & Director2.92yrsno datano data
Clem Constantine
CFO, Director of Property & Store Development and Director0.75yrno datano data
Charlie Wood
Group Counsel13.58yrsno datano data
Sam Kim
CEO of Health & Beauty and Chief Marketing & Business Development Officer1yrno datano data
Judith Nelson
Group Human Resources Director2.08yrsno datano data
Peng Chee Choo
Chief Executive Officer of North Asia & Group Convenience2.25yrsno datano data
John Witt
MD & Non-Executive Director4.33yrsno datano data
Marcus Spurrell
Chief Digital Officer1.83yrsno datano data
Chris Bush
Chief Executive Officer of South East Asia Food Business1yrno datano data
Wei Kuo Wu
Chairman & MD of Maxim's Caterers Ltd and Director of Dairy Farm Managementno datano datano data
Jonathan Lloyd
Company Secretaryno datano datano data

1.8yrs

Average Tenure

57.5yo

Average Age

Experienced Management: D01's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Ian James McLeod
Group Chief Executive & Director2.92yrsno datano data
Clem Constantine
CFO, Director of Property & Store Development and Director0.75yrno datano data
John Witt
MD & Non-Executive Director4.33yrsno datano data
Wei Kuo Wu
Chairman & MD of Maxim's Caterers Ltd and Director of Dairy Farm Managementno datano datano data
Edward Percy Keswick Weatherall
Director20.58yrsno data0.015%
$ 876.3k
Mark Greenberg
Non-Executive Director14.17yrsno datano data
James Meyer Sassoon
Non-Executive Director7.58yrsno datano data
Anthony John Nightingale
Non-Executive Director14.33yrsno data0.0025%
$ 149.9k
Adam Phillip Charles Keswick
Director8.33yrsno datano data
Benjamin Keswick
Chairman7.25yrsno datano data
George Ho
Director22.58yrsno datano data
Jeremy Parr
Non-Executive Director5yrsno datano data

7.6yrs

Average Tenure

58yo

Average Age

Experienced Board: D01's board of directors are considered experienced (7.6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Dairy Farm International Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Dairy Farm International Holdings Limited
  • Ticker: D01
  • Exchange: SGX
  • Founded: 1886
  • Industry: Food Retail
  • Sector: Consumer Retailing
  • Market Cap: US$5.925b
  • Shares outstanding: 1.35b
  • Website: https://www.dairyfarmgroup.com

Number of Employees


Location

  • Dairy Farm International Holdings Limited
  • Devon House
  • 11th Floor
  • Quarry Bay
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DFIL.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDFeb 1992
DFIJLSE (London Stock Exchange)YesOrdinary SharesGBUSDFeb 1992
DFIBLSE (London Stock Exchange)YesOrdinary SharesGBUSDFeb 1992
DFILSE (London Stock Exchange)YesOrdinary SharesGBUSDFeb 1992
D01SGX (Singapore Exchange)YesOrdinary SharesSGUSDFeb 1992
DFA1DB (Deutsche Boerse AG)YesOrdinary SharesDEEURFeb 1992
DFIH.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDNov 2004

Biography

Dairy Farm International Holdings Limited operates as a retailer in Asia. It operates through five segments: Food, Health and Beauty, Home Furnishings, Restaurants, and Other Retailing. The company operate ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/07 12:33
End of Day Share Price2020/08/07 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.