SGX Research: March Quarter STI Earnings Highlights and Schedule

• Five of the 30 STI constituents have released earnings over the first two weeks of April, while the remainder are expected to report their quarterly or FY results in the coming weeks.

• Of the six STI constituents that have reported their latest quarterly results, five achieved positive YoY percentage growth in quarterly net profits. They are Hutchison Port Holdings Trust, Ascendas REIT, CapitaLand Commercial Trust, SGX and Keppel Corp. SPH unveiled a YoY percentage decline in earnings for the fiscal quarter ended 28 February.

• In the 2018 year-to-date, the 30 STI constituents have averaged a total return of 0.9%, bringing their total return over the last 12 months to 11.9%.

Five of the 30 constituents of the benchmark Straits Times Index (STI) have released their earnings over the first two weeks of April, while the remainder are expected to report their quarterly or FY results in the coming weeks.

Of the six constituents that have reported their latest quarterly results, five achieved positive YoY percentage growth in quarterly net profits. They are Hutchison Port Holdings Trust, Ascendas REIT, CapitaLand Commercial Trust, SGX and Keppel Corporation. SPH, however, unveiled a YoY percentage decline in earnings for the fiscal quarter ended 28 February.

Investors can subscribe to the weekly Economic Calendar (click here) for confirmed schedules of other STI component stocks closer to the event.

The table below details the confirmed, estimated and released dates of earnings reports by STI constituent stocks, sorted by date.

Name	SGX Code	Date	Date Type	Period
SPH	T39	Tuesday, April 10, 2018	Released	Q2 18
Hutchison Port Hldgs Trust	NS8U	Friday, April 13, 2018	Released	Q1 18
Keppel Corp	BN4	Thursday, April 19, 2018	Released	Q1 18
CapitaLand Mall Trust	C38U	Friday, April 20, 2018	Released	Q1 18
Singapore Exchange	S68	Friday, April 20, 2018	Released	Q3 18
Ascendas REIT	A17U	Monday, April 23, 2018	Released	Y 18
CapitaLand Commercial Trust	C61U	Tuesday, April 24, 2018	Released	Q1 18
Venture Corp	V03	Wednesday, April 25, 2018	Confirmed	Q1 18
Jardine Cycle & Carriage	C07	Friday, April 27, 2018	Estimated	Q1 18
Yangzijiang Shipbuilding Hldgs	BS6	Friday, April 27, 2018	Estimated	Q1 18
DBS Group Hldgs	D05	Monday, April 30, 2018	Confirmed	Q1 18
CapitaLand	C31	Monday, April 30, 2018	Confirmed	Q1 18
United Overseas Bank	U11	Thursday, May 03, 2018	Confirmed	Q1 18
Sembcorp Industries	U96	Thursday, May 03, 2018	Confirmed	Q1 18
StarHub	CC3	Thursday, May 03, 2018	Confirmed	Q1 18
Oversea-Chinese Banking Corp	O39	Monday, May 07, 2018	Confirmed	Q1 18
Wilmar International	F34	Thursday, May 10, 2018	Confirmed	Q1 18
Genting Singapore PLC	G13	Friday, May 11, 2018	Estimated	Q1 18
UOL Group	U14	Friday, May 11, 2018	Estimated	Q1 18
Thai Beverage PCL	Y92	Friday, May 11, 2018	Estimated	Q2 18
City Developments	C09	Friday, May 11, 2018	Estimated	Q1 18
ST Engineering	S63	Friday, May 11, 2018	Estimated	Q1 18
ComfortDelGro	C52	Friday, May 11, 2018	Confirmed	Q1 18
Golden Agri-Resources	E5H	Tuesday, May 15, 2018	Estimated	Q1 18
Singtel	Z74	Friday, May 18, 2018	Estimated	Y 18
Singapore Airlines	C6L	Friday, May 18, 2018	Estimated	Y 18
SATS	S58	Friday, May 18, 2018	Estimated	Y 18

Source: Bloomberg & SGX StockFacts (Data as of 23 April 2018)

Performances of the STI Constituents

In the 2018 year-to-date, the 30 STI constituents have averaged a total return of 0.9%, bringing their total return over the last 12 months to 11.9%. They have also averaged a price-to-earnings ratio (P/E) of 17.6x, below their five-year average of 18.6x, and a dividend yield of 3.4%.

The table below shows the comparative performances of the STI constituents, sorted by market capitalisation.

Name	SGX Code	Market Cap S$B	23 April Closing Price	Total Return YTD %	Total Return 12M %	Dvd Ind Yld %	P/E (x)	5 Year Avg P/E (x)
DBS Group Hldgs	D05	76.0	29.670	19.2	62.7	3.1	17.3	11.7
Jardine Matheson Hldgs*	J36	59.2	61.120	2.3	-2.7	2.6	6.1	10.0
Oversea-Chinese Banking Corp	O39	57.3	13.650	10.6	47.7	2.7	14.1	11.2
Jardine Strategic Hldgs*	J37	55.9	37.950	-4.0	-8.5	0.8	5.4	8.8
Singtel	Z74	55.8	3.410	-4.2	-3.2	5.1	9.9	16.6
United Overseas Bank	U11	49.2	29.580	12.0	40.3	2.7	14.6	11.7
Hongkong Land Hldgs*	H78	22.2	7.080	2.5	-4.6	2.8	3.0	7.9
Wilmar International	F34	20.4	3.220	4.2	-6.3	3.1	12.5	13.5
Thai Beverage PCL	Y92	20.2	0.830	-10.6	-11.7	3.4	16.1	N/A
CapitaLand	C31	15.8	3.720	6.2	6.4	3.2	10.3	12.5
Keppel Corp	BN4	15.0	8.260	12.8	30.3	2.7	51.2	20.5
Genting Singapore PLC	G13	14.5	1.190	-8.4	14.6	2.9	24.0	49.5
Jardine Cycle & Carriage	C07	13.8	34.880	-14.1	-23.7	3.2	12.9	13.9
Singapore Airlines	C6L	12.7	10.730	0.9	8.0	1.9	22.2	31.1
City Developments	C09	11.5	12.590	1.3	25.1	0.6	21.9	13.6
ST Engineering	S63	11.3	3.500	11.0	-0.6	4.1	22.0	19.9
Singapore Exchange	S68	8.2	7.620	4.1	6.9	3.7	22.6	23.2
Ascendas REIT	A17U	7.9	2.680	-0.4	9.5	6.6	16.5	15.5
CapitaLand Mall Trust	C38U	7.5	2.080	0.0	10.9	5.3	11.2	12.0
Venture Corp	V03	7.3	23.870	24.9	127.2	2.1	19.3	18.0
UOL Group	U14	7.3	8.650	-1.7	23.7	2.0	8.0	10.3
CapitaLand Commercial Trust	C61U	6.6	1.800	-3.6	20.6	4.7	9.7	12.5
SATS	S58	6.1	5.360	4.4	15.1	3.1	23.0	18.8
Sembcorp Industries	U96	5.7	3.210	6.3	6.6	1.6	30.6	15.1
ComfortDelGro	C52	4.7	2.180	10.6	-15.1	4.6	15.7	17.7
Yangzijiang Shipbuilding Hldgs	BS6	4.7	1.200	-19.0	11.8	3.6	7.5	7.8
Golden Agri-Resources	E5H	4.5	0.350	-5.4	6.7	2.4	46.3	82.9
SPH	T39	4.3	2.710	2.3	-16.1	3.3	12.3	17.4
StarHub	CC3	4.0	2.270	-18.9	-13.1	6.9	16.3	18.0
Hutchison Port Hldgs Trust*	NS8U	3.8	0.330	-17.9	-12.8	7.9	24.4	N/A
Average		0.0		0.9	11.9	3.4	17.6	18.6

*SGD equivalents shown for Jardine Matheson Holdings, Jardine Strategic Holdings, Hongkong Land Holdings and Hutchison Port Hldgs Trust traded in USD.

Source: SGX StockFacts & Bloomberg (Data as of 23 April 2018).

Earnings Highlights of STI Constituents

The three largest STI constituents by market capitalisation that have reported their full-year and/or quarterly results are as follows:

Keppel Corp

On 19 April, 2018, Keppel Corp reported 1QFY18 net profit of S$337 million, up 34% YoY, driven by contributions from its property division, which recorded a 298% YoY increase in earnings for the first three months of 2018. Group revenue for the quarter grew 18% YoY to S$1.47 billion, mainly due to higher Property and Infrastructure revenues. Keppel Corp CEO Mr Loh Chin Hua noted that the Group’s resilient outlook is underpinned by its multi-business strategy, and that it aims to pursue new markets to build stable and recurring incomes.

For the full financial results, click here.

Singapore Exchange

On 20 April, 2018, Singapore Exchange reported a 3QFY18 net profit of S$100 million, up 21% YoY and hitting new 10-year record. Revenue grew 10% YoY to S$222 million, reaching the highest level since its public listing in 2000. Looking ahead, SGX CEO Loh Boon Chye highlighted that SGX would continue to build on its multi-asset offering and increase servicing and marketing efforts across its domestic and international client base. It would also strengthen its network of strategic partnerships and alliances globally.

For the full financial results, click here.

Ascendas REIT

On 23 April, 2018, Ascendas REIT reported a distribution per unit (DPU) of 16.0 Singapore cents for the financial year ended 31 March 2018, up 1.6% YoY. Net property income rose 3.0% to S$629.4 million, while gross revenue gained 3.8% to S$862.1 million. Looking ahead, the trust highlighted that the global outlook is still subjected to downside risks, including growing trade tensions between US and China. Despite volatile market conditions, Ascendas REIT will continue to adopt a prudent capital management strategy to achieve an optimal financial position and mitigate impact of rising interest rates.

For the full financial results, click here.