Q & M Dental Group (Singapore) Limited operates dental clinics. The Company offers aesthetic, children’s and general dentistry; fits crowns, dentures and braces; and offers bleeding gum treatment, gum surgery and oral surgery; and treats snoring and teeth grinding.
Increased Profitability Outlook. The company reported a strong improvement in profitability, with net profit margin (NPM) rising by 18.0% to S$13.1 million in FY24. This was driven by cost-cutting initiatives, including the closure of underperforming clinics and the winding down of its medical laboratory business in September 2024 following the decline of COVID-related operations. Several expense categories declined year-over-year, reflecting the company’s effective streamlining efforts. We expect these efficiency gains to sustain profitability into the next financial year.
Expansion into New Markets with Additional AI Licenses. EM2AI has obtained regulatory licenses to sell and distribute its dental AI solutions in Thailand, the Philippines, Vietnam, and Indonesia, expanding beyond its existing presence in Singapore and Malaysia. These approvals enable EM2AI to broaden its market reach and capitalize on the growing demand for AI-driven dental solutions across Southeast Asia.
Strategic Partnership to Scale Regional Presence. Following its recent licensing approvals, EM2AI has actively pursued partnerships to accelerate market expansion. The company has signed a Memorandum of Understanding (MoU) with an established regional dental solutions provider, granting the partner a license to integrate EM2AI’s technology into its platform. This collaboration aligns with the company’s strategy to expand its business network and solidify its footprint in key regional markets. As a result, EM2AI is now set to provide its dental AI solutions to over 1,100 clinics across Singapore, Malaysia, Thailand, and Vietnam, reinforcing its growth trajectory and long-term value creation for shareholders.
FY24 financial results. Q & M Dental Group reported revenue of S$180.7mn for FY24, a 1.1% decline YoY, compared to S$182.7mn in FY23, mainly due to the cessation of the Group’s medical laboratory business. PATMI rose by 27.1% YoY to S$14.6mn in FY24, compared with S$11.5mn in FY23. EPS rose to 1.55 Singapore cents in FY24, compared to 1.22 Singapore cents in FY23. The Group also announced plans to carry out a share buyback of up to 50mn ordinary shares.
We have fundamental coverage with a BUY recommendation and a TP of S$0.35. Please read the full report here.
Market consensus
(Source: Bloomberg)
Sasseur REIT (SASSR SP): REIT-vitalisation of China’s economy
Sasseur Real Estate Investment Trust operates as a real estate investment trust. The Company invests in a diversified portfolio of retail real estate assets. Sasseur Real Estate Investment Trust serves customers in Asia.
Record high portfolio occupancy and resilient leasing demand. Sasseur REIT achieved a record-high occupancy rate of 98.9% in 4Q24, demonstrating strong tenant demand and effective asset management. While 2H24 outlet sales in RMB declined 3.9% YoY, the REIT has continued optimizing its tenant mix to sustain footfall and enhance rental revenue.
Strategic asset enhancements driving value. Recent asset enhancement initiatives (AEIs) at the Kunming and Hefei outlets, including improving retail layouts and adding parking spaces, have enhanced the shopping experience and increased foot traffic. Plans to install energy-efficient air-conditioning systems at the Chongqing Liangjiang Outlet between 2025-2027 are expected to improve operational efficiency and cost savings.
Favourable market positioning in China’s outlet mall industry. China’s recent fiscal stimulus measures, including the expansion of consumer trade-in schemes and increased government spending, aim to bolster domestic consumption and economic growth. These initiatives are expected to enhance consumer purchasing power, potentially leading to increased retail sales. For Sasseur REIT, which operates retail outlet malls in China, such measures could translate into higher foot traffic and sales, thereby positively impacting rental income and overall financial performance. However, the actual benefits will depend on the effective implementation of these policies and the broader economic environment.
2H24 financial results. Sasseur REIT’s EMA rental income remained stable at RMB 335.1 million, reflecting 0.8% YoY growth despite macroeconomic headwinds. In SGD terms, EMA rental income stood at S$62.2 million, with a slight 0.3% YoY decline due to unfavorable foreign exchange rates. Distributable income per unit (DPU) for 2H24 rose by 0.1% YoY to 2.929 Scts, primarily supported by the resilient EMA rental income.
We have fundamental coverage with a BUY recommendation and a TP of S$0.90. Please read the full report here.
Market consensus
(Source: Bloomberg)
Pop Mart International Group Ltd. (9992 HK): Labubu craze still strong
BUY Entry – 160 Target – 190 Stop Loss – 145
Pop Mart International Group Ltd is a China-based company mainly engaged in the provision of pop toy. intellectual property (IP) is at the core of its business. It has established an integrated platform covering the entire industry chain of pop toys, including artists development, IP operation, consumer access and pop toy culture promotion. The Company develops a broad array of pop toy products based on its IPs. Its Pop Mart brand products are primarily categorized into blind boxes, action figures, ball-jointed doll (BJDs) and accessories. The Company conducts its businesses within the China market and to overseas markets.
Record-Breaking Growth and Strong Financial Performance. Pop Mart International delivered an exceptional financial performance in 2024, with revenue soaring by 106.9% to 13bn.0 yuan and net profit surging 185.9% to 3.4 billion yuan. This explosive growth was primarily driven by the company’s plush toy category, which saw an unprecedented 1,289% increase in sales to 2.83 billion yuan. The popularity of its flagship IP, LABUBU, played a crucial role, with plush toy production capacity expanding from 300,000 units in early 2024 to 10 million units by year-end. In response to soaring demand, Pop Mart has prioritized strengthening its supply chain and investing in design, craftsmanship, and materials to sustain growth. As it looks ahead to 2025, the company targets a 50% year-on-year revenue increase to 20 billion yuan, further solidifying its position as a dominant player in the global trendy toy market.
Aggressive Global Expansion and Strategic Growth Plans. Pop Mart is aggressively expanding its international footprint, with overseas revenue skyrocketing 375.2% to 5.07 billion yuan in 2024. Southeast Asia and North America were key growth regions, experiencing revenue surges of 619% and nearly sixfold, respectively. The company expects its North American revenue alone to reach 2.513 billion yuan in 2025, a milestone equivalent to its total global revenue in 2020. The US market, in particular, has demonstrated remarkable momentum, exceeding its 2024 full-year revenue within the first quarter of 2025. To support its expansion, Pop Mart plans to open approximately 100 new overseas stores this year, including flagship locations in the US, Thailand, France, and Australia. Additionally, the company is diversifying its offerings by exploring new categories such as jewelry and investing in animation content featuring its most popular IPs, reinforcing its vision to become a world-class cultural and consumer brand.
China’s Pro-Consumption Policies. China’s newly unveiled 30-point policy package aims to boost consumer spending by increasing household incomes, reducing financial burdens, and stabilizing key markets like property and stocks. This initiative, which integrates fiscal and financial tools, seeks to enhance consumer confidence by addressing livelihood concerns such as childcare, education, and healthcare while also expanding domestic demand through trade-in subsidies for consumer goods. With China doubling its funding for consumer incentives to 300 billion yuan in 2025, the policy is expected to stimulate discretionary spending, benefiting brands like Pop Mart. As a leading cultural and consumer brand, Pop Mart stands to gain from increased disposable income and consumer confidence, particularly in categories like collectible toys and lifestyle products. The emphasis on stabilizing financial markets may also encourage investor sentiment, supporting Pop Mart’s stock performance and expansion plans. With strong government backing for consumption-driven growth, Pop Mart is well-positioned to capitalize on rising demand in both its core Chinese market and international expansion efforts.
FY24 results review. Revenue increased by 106.9% YoY to RMB13.0bn in FY24, compared with RMB6.30bn in FY23. Net profit rose by 203.9% to RMB3.31bn in FY24, compared to RMB1.09bn in FY23. Basic EPS increased to RMB2.36 in FY24, compared to RMB0.81 in FY23.
Market consensus.
(Source: Bloomberg)
Hong Kong Exchanges and Clearing Ltd. (388 HK): Expecting increased trading activities
Hong Kong Exchanges and Clearing Limited (HKEX) is principally engaged in the operation of stock exchanges. The Company operates through five business segments. The Cash segment includes various equity products traded on the Cash Market platforms, the Shanghai Stock Exchange and the Shenzhen Stock Exchange. The Equity and Financial Derivatives segment includes derivatives products traded on Hong Kong Futures Exchange Limited (HKFE) and the Stock Exchange of Hong Kong Limited (SEHK) and other related activities. The Commodities segment includes the operations of the London Metal Exchange (LME). The Clearing segment includes the operations of various clearing houses, such as Hong Kong Securities Clearing Company Limited, the SEHK Options Clearing House Limited, HKFE Clearing Corporation Limited, over the counter (OTC) Clearing Hong Kong Limited and LME Clear Limited. The Platform and Infrastructure segment provides users with access to the platform and infrastructure of the Company.
Major IPO to Boost Trading Activity. Contemporary Amperex Technology Limited (CATL), the world’s largest EV battery producer, has received regulatory approval to launch its first share offering in Hong Kong. While CATL has yet to disclose pricing, its filing indicates plans to sell up to 220.17 million shares. Media reports suggest the IPO could raise at least US$5 billion, making it Hong Kong’s largest since Kuaishou Technology’s US$6.2 billion offering in January 2021. This landmark listing is set to revitalize HKEX’s IPO market, drive increased trading activity, and support higher trading revenues.
Supportive Monetary Policy. People’s Bank of China (PBOC) Deputy Governor Zou Lan recently reaffirmed that China’s monetary policy remains accommodative and relatively loose. With potential interest rate and reserve requirement ratio (RRR) cuts on the horizon, liquidity conditions are expected to improve. A supportive monetary environment would benefit HKEX by lowering financing costs, stimulating economic activity, and strengthening investor confidence—all of which could lead to higher trading volumes and an uptick in new listings.
Launch of Single Stock Leveraged Products. HKEX has introduced Single Stock Leveraged and Inverse (L&I) Products, becoming the first exchange in Asia to list such instruments. Developed in partnership with CSOP Asset Management, these products offer +2x leveraged and -2x inverse exposure to highly liquid overseas stocks, including Tesla, NVIDIA, Coinbase, Berkshire Hathaway, and MicroStrategy. This expansion provides investors with new tactical tools for risk management and short-term trading strategies. The launch is expected to attract active traders and institutional investors, further broadening market depth and enhancing HKEX’s role as a global financial hub.
FY24 results review. Revenue increased by 12.3% YoY to HK$17.3bn in FY24, compared with HK$15.4bn in FY23. Net profit increased by 9.8% to HK$13.2bn in FY24, compared to HK$12.0bn in FY23. Basic EPS increased to HK$10.32 in Fy24, compared to HK$9.37 in FY23.
Market consensus.
(Source: Bloomberg)
Celsius Holdings Inc. (CELH US): Fuelling female consumer expansion
BUY Entry – 35 Target – 39 Stop Loss – 33
Celsius Holdings, Inc. operates as a holding company. The Company, through its subsidiaries, provides thermogenic calorie-burning beverages. The Company markets its beverages multiple channels including grocery, drug, convenience stores, gyms, and nutrition stores. Celsius Holdings serves clients in the United States.
Low beta stock. The beverage industry is a relatively defensive sector with low correlation to the overall market. The company’s product market positioning is in the niche market of functional beverages, with 94.7% of its revenue coming from the North American market, making it less affected by tariff policies.
Brand expansion. In February 2025, Celsius announced the acquisition of its competitor Alani Nu for US$1.8bn in cash and stock. Alani Nu, founded by fitness influencer Katy Hearn in 2018, has quickly gained popularity among young women through social media marketing and low-calorie, health-oriented products. This acquisition is expected to expand Celsius’s market reach, particularly among female consumers, and is expected to significantly drive the company’s growth. According to its 2024 financial report, the company’s market share slightly increased by 1.6%, reaching 11.8%.
4Q24 results. Revenue decreased by 4.3% YoY to US$332mn, exceeding expectations by US$5.18mn. Non-GAAP earnings per share were US$0.14, exceeding expectations by US$0.04.
Market consensus
(Source: Bloomberg)
Allstate Corp (ALL US): Active management amid tariff impact
The Allstate Corporation provides property-liability insurance solutions. The Company sells private passenger automobile and homeowners insurance through independent and specialized brokers, as well as life insurance, annuity, and group pension products through agents. Allstate serves customers in the United States and Canada.
Tariffs to benefit. Allstate Protection Auto Insurance continues to strengthen margins, with earned premiums rising 9.1% YoY, driven by rate increases. The auto combined ratio improved to 93.5 in 4Q24, reflecting higher premiums and better loss performance. Trump’s 25% auto tariffs, effective 2 April, and auto parts tariffs by 3 May, alongside existing steel and aluminium tariffs, could further benefit Allstate by raising vehicle prices, leading to higher insured values and premiums. With insurance costs already up 11% YoY in February and projected to rise 19%, Allstate is well-positioned for further profitability. Additionally, as consumers hold onto older vehicles longer, insurers will adjust rates to cover rising repair costs, further contributing to Allstate’s profitability in the auto insurance sector.
Increased concerns about a U.S. recession benefiting defensive sectors. Recent U.S. macroeconomic data shows that inflation remains high, while the labour market is beginning to cool, and consumer spending and confidence are declining. Trump’s tariff policy has triggered a global trade war, and the U.S. stance on the Russia-Ukraine issue has been questioned by its allies. With the concentration of negative factors, the market is averse to uncertainty, so major growth sectors have seen significant corrections, and funds have rotated to stronger defensive sectors.
Unlocking value. Allstate continues to optimize its portfolio by divesting non-core businesses and adjusting insurance pricing. The company announced estimated catastrophe losses of US$1.08bn for January, largely due to California wildfires. To streamline operations, Allstate has agreed to sell its Group Health business to Nationwide for US$1.25bn, marking another step in its plan to exit non-core segments. Combined with the earlier sale of Employer Voluntary Benefits, total expected proceeds from these divestitures will reach US$3.25bn, generating an estimated US$1bn financial book gain in 2025. Meanwhile, Allstate is actively adjusting insurance pricing to mitigate risk exposure and improve profitability. In California, homeowners insurance rates rose by an average of 34% in November, with another 30% increase for condo insurance planned in April. Similarly, Illinois homeowners saw about a 14% premium hike in February. These rate adjustments will help Allstate navigate increasing claims costs while bolstering its financial position.
4Q24 results. Revenue rose 11.3% YoY to US$16.51 billion, beating expectations by US$280 million. Non-GAAP earnings per share were US$7.67, beating expectations by US$1.39. The board of directors approved a quarterly common stock dividend of US$1.00, an increase of US$0.08 or 8.7% per share compared to the previous quarter. Additionally, they also authorised a US$1.5bn share repurchase program of outstanding common stock, which will remain in effect through 30 September 2026.
Trading Dashboard Update: Take profit on Singapore Telecommunication Ltd (ST SP) at S$3.50. Add Hong Kong Exchanges and Clearing Ltd (388 HK) at HK$350 and DoorDash Inc (DASH US) at US$188. Cut loss on Meituan (3690 HK) at HK$158 and DoorDash Inc (DASH US) at US$178.
