ST Engineering net profit soars 9% yoy on record revenues

RELATED QUOTES

SymbolPriceChange
S63.SI3.06-0.12

All sectors but one reported higher revenues.

Singapore Technologies Engineering Ltd (ST Engineering) reported in a release that all its sectors, excluding Land Systems, delivered higher revenues than the previous year leading to an almost double-digit growth in net profit.

For the financial year ended 31 December 2012 (FY2012), Group revenue achieved a new mark to hit $6.38b, a 6% growth year-on-year as all sectors reported higher revenue except for Land Systems sector which registered comparable revenue. Profit before tax (PBT) grew 10% to $723.1m, and Net profit after tax (Net Profit) rose 9% to $576.2m compared to the same period last year.

FY2012 revenues for the Aerospace, Electronics and Marine sectors were $2b, $1.6b and $1b respectively, a growth of between 5% and 15%. Revenue of $1.5b for Land Systems sector was comparable year-on-year.

In the fourth quarter ended 31 December 2012 (4Q2012), revenue contribution from all sectors rose between 6% and 28%, resulting in higher Group revenue of $1.7b, a 12% increase over 3Q2012. Compared to 3Q2012, PBT was comparable at $188.5m.

In the financial year, the Group achieved steady growth in its commercial sales with revenue of $4b, which accounted for 63% of Group revenue, compared to 59% a year ago. Revenue mix from the sectors to the Group remained steady, comprising 32% for Aerospace sector, 25% for Electronics sector, 24% for Land Systems sector and 16% for Marine sector.

These results continue to demonstrate the strength of the Group’s diversified business model, and the strong market positions of the four sectors.

Earnings per share (EPS) grew 9% to 18.76 cents, compared to 17.28 cents a year ago. Reflecting the strong cash generating capacity of the business throughout the economic cycle, the Group cash and cash equivalents stood at $2.1b, and advance payments from customers reached $1.7b as of 31 December 2012.

The Board of Directors proposes a final dividend of 13.80 cents per share, consisting of an Ordinary Dividend of 4 cents per share, and a Special Dividend of 9.80 cents per share. Together with the Interim Dividend of 3 cents per share paid to shareholders in September 2012, this brings the total dividend for the full year to 16.80 cents per share, an increase of 8% over FY2011. This translates to a dividend yield of 5.16%, computed using the average closing share price of the last trading day of 2012 and 2011.

“The Group Revenue grew 6% over FY2011 to $6.38b, with increased revenue from commercial customers contributing 63% of the Group Revenue. PBT improved by 10% and Net Profit grew by 9% respectively. Year-on-Year EBITDA growth of 7% reflected the Group’s continued efforts in developing new capabilities and achieving productivity improvements. The year ended with the Group’s order book at a healthy $12.1b and a stronger cash and cash equivalent balance of $2.1b.

Barring unforeseen circumstances, the Group expects to achieve higher Revenue and PBT in FY2013 compared to FY2012.” ~ TAN Pheng Hock, President & CEO, ST Engineering

ST Engineering expects to deliver $4.3b of the $12.1b order book in 2013, indicating a strong revenue visibility for the Group.



More From Singapore Business Review
 
Recent Quotes
Symbol Price Change % Chg 
Your most recently viewed tickers will automatically show up here if you type a ticker in the "Enter symbol/company" at the bottom of this module.
You need to enable your browser cookies to view your most recent quotes.
 
Sign-in to view quotes in your portfolios.

Market Data

  • Currencies
    Currencies
    NamePriceChange% Chg
    1.3576+0.0051+0.38%
    USDSGD=X
    1.5607+0.0054+0.35%
    EURSGD=X
    1.9684+0.0026+0.13%
    GBPSGD=X
    78.7957-0.3696-0.47%
    SGDJPY=X
    5.7174-0.0219-0.38%
    SGDHKD=X
    2.9649+0.0171+0.58%
    SGDMYR=X
    9,853.6045+44.3545+0.45%
    SGDIDR=X
    4.7840-0.0158-0.33%
    SGDCNY=X
    1.0128+0.0005+0.05%
    AUDSGD=X
  • Commodities
    Commodities
    NamePriceChange% Chg
    1,282.50-9.30-0.72%
    GCM16.CMX
    17.40-0.10-0.57%
    SIN16.CMX
    83.86-3.36-3.86%
    ^XAU
    2.19-0.03-1.42%
    HGN16.CMX
    43.86+0.21+0.48%
    CLM16.NYM
  • Bonds
    Bonds
    TreasuryYield (%)Yield Change
    1.24-0.02
    ^FVX
    1.78-0.02
    ^TNX
    2.64-0.02
    ^TYX

MARKET MOVERS

  • Most Actives
    Most Actives
    NamePriceChange% Chg
    0.425-0.005-1.16%
    N21.SI
    0.785-0.020-2.48%
    G13.SI
    3.76-0.07-1.83%
    Z74.SI
    0.385-0.005-1.28%
    E5H.SI
    0.730.000.00%
    Y92.SI
  • % Gainers
    % Gainers
    NamePriceChange% Chg
    0.48+0.08+20.00%
    BFK.SI
    0.194+0.019+10.86%
    D79.SI
    0.28+0.03+9.80%
    BHO.SI
    0.185+0.015+8.82%
    AYL.SI
    0.50+0.04+8.70%
    BQP.SI
  • % Losers
    % Losers
    NamePriceChange% Chg
    0.088-0.082-48.24%
    P74.SI
    0.30-0.09-23.08%
    Y06.SI
    0.125-0.027-17.76%
    5MQ.SI
    0.21-0.05-17.65%
    Y35.SI
    0.31-0.04-11.43%
    AWK.SI