Assessing Pacific Century Regional Developments Limited’s (SGX:P15) past track record of performance is a useful exercise for investors. It allows us to understand whether the company has met or exceed expectations, which is a great indicator for future performance. Below, I assess P15’s latest performance announced on 30 September 2017 and evaluate these figures to its historical trend and industry movements. Check out our latest analysis for Pacific Century Regional Developments
Commentary On P15’s Past Performance
To account for any quarterly or half-yearly updates, I use data from the most recent 12 months, which either annualizes the most recent 6-month earnings update, or in some cases, the most recent annual report is already the latest available financial data. This blend allows me to examine many different companies in a uniform manner using the latest information. For Pacific Century Regional Developments, the most recent bottom-line is SGD107.4M, which compared to last year’s level, has jumped up by 25.59%. Given that these figures are relatively short-term thinking, I’ve estimated an annualized five-year value for Pacific Century Regional Developments’s net income, which stands at SGD88.6M. This shows that, generally, Pacific Century Regional Developments has been able to consistently improve its profits over the past couple of years as well.
What’s the driver of this growth? Let’s take a look at if it is only a result of an industry uplift, or if Pacific Century Regional Developments has seen some company-specific growth. The ascend in earnings seems to be driven by a solid top-line increase overtaking its growth rate of expenses. Though this has caused a margin contraction, it has made Pacific Century Regional Developments more profitable. Scanning growth from a sector-level, the SG diversified financial industry has been growing its average earnings by double-digit 15.33% in the previous year, and 11.16% over the past five years. This suggests that whatever uplift the industry is profiting from, Pacific Century Regional Developments is capable of amplifying this to its advantage.
What does this mean?
While past data is useful, it doesn’t tell the whole story. Companies that have performed well in the past, such as Pacific Century Regional Developments gives investors conviction. However, the next step would be to assess whether the future looks as optimistic. You should continue to research Pacific Century Regional Developments to get a better picture of the stock by looking at: