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The Week Ahead: ComfortDelGro, ThaiBev And ST Engineering

David Kuo
Numbers on calendar

The Singapore earnings season will draw to a close for the blue chips this week after six more Straits Times Index (SGX: ^STI) companies step forward with results.

Thai Beverage (SGX: Y92) posted a 12% drop in bottom-line profit in May. That was due to a poor performance in its spirts and food businesses in the second quarter. The focus in the third quarter could be the performance of its recently acquired Saigon Beer Alcohol Beverage Company (Sabeco).

Defence contractor, ST Engineering (SGX: S63) kicked off its financial year in May with an 11% jump in first-quarter net profit to S$131 million. Revenue was up 5% thanks to a strong performance in aerospace and land systems.

ComfortDelGro (SGX: C52) registered a 7.8% rise in revenue for the first three months of the year, which helped to drive a 6% rise in earnings. The transportation company said last year’s acquisitions have started to bear fruit.

There are also results form a couple of farmers, namely Wilmar International (SGX: F34) and Golden Agri-Resources (SGX: E5H) and industrial conglomerate Sembcorp Industries (SGC: U96).

On the economic front, the US is expected to say that the rate of inflation for July is broadly unchanged. The core inflation rate should be around 2.1%, while the headline inflation rate might have edged up from 1.6% to 1.7%.

China could say that retail sales moderated from 9.8% in June to 8.2% in July. In June, sales were boosted by automobiles, garments and cosmetics.

Singapore’s balance of trade is expected to be stable at around S$2.5 billion in July. Meanwhile, Malaysia is expected to say that retail sales crept up from 7.8% in May to 8.1% in June.

Malaysia might also say that its economy grew 4.1% in the second quarter, which would be slightly lower than the 4.5% in the first three months of the year, while Thailand could say that its economy grew at an annualised rate of 2.5% in the second three months of the year.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore Director David Kuo own shares in Thai Bev.

Motley Fool Singapore 2019