Pruksa Real Estate

Pruksa Real Estate Plc (PS)

Despite being hit hard by the floods, PS’s results for both 4Q11 and FY11 were better than expected thanks to condo transfers, sustainable high gross margins and lower normalised SG&A. We see a promising FY12 recovery and continued growth in FY13. FY11 net profit was slightly better than expected at 103% of our estimate. We trim both our FY13 EPS and target price, still based on 8x CY13 P/E (1 STDV below historical benchmark). Catalysts include a faster-than-expected presales/sales recovery. Maintain Outperform.