ST Engineering second-half earnings down 83.6% on off-items, operating profit up 22.5%
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Net earnings included one-off impairment losses related to the iDirect group and Jet-Talk.
ST PHOTO: CHONG JUN LIANG
Chloe Lim
SINGAPORE – ST Engineering on Feb 27 reported a second-half net profit of $59.9 million, an 83.6 per cent decline from $365.7 million a year earlier.
The figure includes gains on the divestments of subsidiary LeeBoy, as well as shareholding interests in CityCab, SPTel and STARCO, along with one-off impairment losses related to the iDirect group and Jet-Talk.
Its operating profit for the second half ended Dec 31, however, stood at $448 million, an increase of 22.5 per cent from $365.7 million a year before.
Revenue rose 12 per cent to $6.43 billion, from $5.76 billion in the same period a year earlier.
Cost of sales also widened during the period to $5.4 billion, up 16.5 per cent year on year from $4.6 billion.
The board has proposed a final dividend of six cents per share and a special dividend of five cents per share, subject to shareholder approval at the annual general meeting on April 23. Including the interim dividend of 12 cents per share, full-year dividends total 23 cents per share.
Net profit for the full year fell 34.1 per cent to $462.8 million, from $702.3 million in 2024. One-off impairment losses of $689 million for the year were partially offset by divestment gains of $301 million.
Revenue rose 9.5 per cent to $12.34 billion, from $11.28 billion in the previous fiscal year.
Mr Vincent Chong, group president and chief executive, said: “Looking ahead, supported by strong growth momentum and a robust order book, the group is well positioned to deliver on its strategic objectives and 2029 targets.”
ST Engineering shares were trading down 25 cents, or 2.5 per cent, at $9.77 at 9.36am after its results announcement. THE BUSINESS TIMES
