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Introduction to QAF
QAF Limited is a leading multi-industry food company listed in Singapore. Its core businesses are bakery, primary production, trading and logistics. 

The QAF Group has an extensive network of operations across the Asia-Pacific region including Singapore, Malaysia, the Philippines, Australia and China.

The principal activities are:

Bakery Operations: 
QAF manufacture and distribute packaged loaf bread, pastries and bakery products in Singapore, Malaysia, the Philippines, Australia and China.

Pork production, processing and distribution 
QAF is the largest producer of pork meat in Australia.

The feed mills in Australia manufacture pelleted stockfeed for a broad range of livestock.

Food trading and distribution 
QAF imports and distribute a wide range of liquor and food products.

Food manufacturing 
QAF produces own proprietary brands of food and beverage products.

Warehousing and logistics operations 
QAF operates a comprehensive logistics operation including warehousing and distribution.

Key Brands

Tan Kong King is the Group Managing Director, he has worked for a number of years with an international accounting firm before joining QAF in his current role. In 1996, he streamlined and refocussed the QAF group’s business expanding in existing bakery segment, disposing of non-food related operations. He is not related to the Chariman Mr Didi Dawis. The day to day management of the Group is through Mr Tan and assisted by Deputy Group Managing Director and other executives.

In 2015, Mr Tan is drawing a salary of about 2m. 

The directors’ fees are nominal and interestingly none of the immediate family member’s remuneration exceeds $50,000 for the year 2015. They own shares of the company and are remunerated through dividends. Their interest is aligned with shareholders.

High-level Financial Reviews

From Thomson Reuters, it shows that net profit margin for Sep 16 increases to 8.98% compared to 2015 5.48%. Return on equity increases from 12.52% to 16.7% in Sep 16. Price to Cash Flow is 6.85 and is lower than 15.57%. Long Term Debt to Equity Ratio is very low at 7.6. Receivable Turnover is excellent at 10.06 compared to the industry norm of 29.09.

Net Income is a constant upward trend. Gross Profit is a constant upward trend. (In future, I will show a graph, I am going out in a while to visit my friends for CNY). 

Retained earnings are increasing steadily over the years.

The Free Cash Flow is still positive over the years and constantly paying down the debts.

The dividend history has been consistently rising since 2008. 


I will not provide my estimated price for the company. Definitely, this company is added into my watch list. When the opportunity comes, I will acquire shares of this company.

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