half year results

Very good half year result!

Not much of a surprise though when you consider the net asset backing per share is $2.56 versus the share price of $0.68 per the results and $1.10 after.

UOS is afterall a property developer in Kuala Lumpur - you would expect it to trade at a reasonable (25% +) discount to net assets. (Why? double discount for Asia and being a property developer.) But as they realise their property developments in a strong KL property market considerable profits are released. The present market discount is imho actually a fantastic buying opportunity for the patient investor.

For my fellow patient investors remember that the net assets are in the balance sheet at at cost. There is plenty more profit already there to be realised.

I've been in since the float at $0.81. Not a big holding but I'm happy to wait it out a few more years. The management have a proven track record and have survived and prospered through the Asian property cycles.

For you traders, imho this is a hard one due to the lack of liquidity, but at least the long-term trend should be up. Stockbrokers don't want to know it because they can't make a buck out of it.

Good investing !