Broker Name: CGS International
Date of Report: December 2, 2025
Excerpt from CGS International report.
Report Summary
- Frasers Property Limited (FPL) continues to focus on its strategy of creating, sustaining, and unlocking value, with 86% of FY25 profits before interest and tax (PBIT) from recurring sources, indicating a resilient income base.
- The industrial and logistics (I&L) segment in Thailand shows robust demand, especially at the ARAYA – Eastern Gateway project, while residential remains challenged due to weak economic conditions.
- FPL is actively recycling capital and targeting business owners and senior executives for residential sales, while the One Bangkok development and Ritz Carlton Hotel are seeing strong occupancy and F&B revenues.
- FY25 net profit rose 17.8% year-on-year to S\$243.1m, mainly due to one-off tax reversals; excluding these, underlying profit would have declined 50% year-on-year.
- The group declared a final dividend of 4.5 Singapore cents and maintains a 45% discount to RNAV, with a target price of S\$1.41 (current price S\$1.05), and a potential upside of 34.2%.
- Key risks include a high net debt-to-equity ratio (0.89x) and potential delays in unlocking value due to macroeconomic uncertainties.
- FPL scored a B in LSEG’s ESG ratings, with strong performance in resource use and emissions, and continues to pursue sustainability goals, including net zero carbon by 2050 and green certification for its properties.
Above is an excerpt from a report by CGS International. Clients of CGS International can be the first to access the full report from the CGS International website: https://www.cgs-cimb.com/
