Market Snapshot

Singapore stocks opened lower on Friday. STI down 0.4%; YZJ Shipbldg up 2%; Olam fell 10%; DBS fell 1%.

Stocks to Watch

IHH: The integrated healthcare operator on Thursday announced net profit of RM732 million (S$221 million) for the quarter ended Dec 31, up 1 per cent from RM728 million in the corresponding year-ago period. This translated to earnings per share (EPS) of RM0.0831, compared to RM0.0826 in the fourth quarter of 2023. The group declared a final dividend per share of RM0.055, to be paid on Apr 28. Shares of IHH Healthcare declined 2.3 per cent or S$0.05 to S$2.15, before the announcement.

Jardine C&C: It posted a 4.4 per cent rise in its underlying profit of US$602 million for the six months ended Dec 31. This came as revenue for the period rose 9 per cent to US$11.6 billion. But its full-year underlying profit was down 5 per cent at US$1.1 billion due to foreign exchange differences. Jardine C&C ended Thursday at S$26.72, up 0.2 per cent or S$0.06, before the announcement.

Olam Group: The agribusiness giant on Friday reported a net profit of S$38.4 million for the second half ended Dec 31, down 83.4 per cent from S$230.8 million in the previous corresponding period. This translated to EPS of S$0.0058 for the half-year period, down from S$0.0567 the previous year. Revenue for the period, however, rose 24 per cent to S$29.2 billion from S$23.6 billion. Olam’s board proposed a final dividend of S$0.03 per share, taking the full-year dividend to S$0.06 per share. Shares of Olam closed 4.6 per cent or S$0.05 lower at S$1.04 on Thursday.

ComfortDelGro: It reported a 12.9 per cent year-on-year rise in earnings to S$115.2 million for the second half of FY2024 ended December. H2 revenue was up 16.9 per cent at S$2.4 billion, from S$2 billion in the corresponding year-ago period. In particular, revenue from its public transport business was 3.1 per cent higher. Shares of ComfortDelGro closed up 1.4 per cent or S$0.02 at S$1.41 on Thursday, before the financial results were made public.

Sheng Siong: The supermarket operator delivered a 1 per cent lower year-on-year net profit of S$67.6 million for the second half of FY2024 ended December. The operator posted a revenue of S$714.5 million for H2, up 5.5 per cent on the year. But administrative expenses, selling and distribution expenses, as well as finance expenses recorded higher increases during the period, outstripping the rise in revenue. Shares of Sheng Siong closed Thursday up 1.2 per cent or S$0.02 higher at S$1.65, before the financial results were published.

First Resources: The palm oil producer on Friday reported a 91.9 per cent increase in net profit to US$141.8 million for the second half ended Dec 31, from US$73.9 million in the previous corresponding period. Sales rose 9.4 per cent to US$581.5 million from US$531.8 million, driven by stronger palm oil prices. A final dividend of S$0.063 per share was proposed, bringing the full-year dividend to S$0.098 per share. Shares of First Resources closed 0.7 per cent or S$0.01 lower at S$1.43 on Thursday.

Yanlord Land: The group’s loss in the second half of FY2024 widened to 2.9 billion yuan (S$538.4 million) from two billion yuan in the year-ago period, weighed down by the dismal Chinese property market. The group’s revenue for the period declined 42 per cent to 16.4 billion yuan, from 28.6 billion yuan in 2023. Yanlord Land shares closed 1.6 per cent or S$0.01 lower at S$0.605 on Thursday, before the financial results were published.

Zheneng Jinjiang: The waste treatment group on Friday (Feb 28) posted a net profit of 411.6 million yuan for the second half ended Dec 31, rising to more than 26 times the 15.3 million yuan it posted the prior corresponding period. Its EPS stood at 0.2838 yuan versus 0.0105 yuan previously. Zheneng Jinjiang Environment shares fell 1.2 per cent or S$0.005 to S$0.43 on Thursday.

SG Local News

Singapore Billionaire’s Son Denies Board Coup, Blames Aide

The scion of Singapore’s richest family denied his father’s claim that he was leading a boardroom coup, saying the primary reason for the family dispute lies with a key adviser to the billionaire patriarch.

“There has been no attempt by us to oust the chairman,” Sherman Kwek, chief executive officer of CityDev, said in a statement late Thursday referring to his father. “The chairman’s claim that there is an ‘attempted coup’ by the majority directors to consolidate control of CDL’s board is not only incorrect, it distracts from the nub of the issue.”

Sherman Kwek’s response escalates the feud that’s roiled the family after his father Kwek Leng Beng filed a lawsuit claiming his son and other directors were leading a boardroom coup and accused them of serious lapses in corporate governance.

Singapore Hedge Fund With 33% Gain Bets Big on Suzuki Motor

A Singapore-based hedge fund that beat the market with a 33% return last year said Suzuki Motor Corp.’s robust India strategy will help shelter its portfolio from global trade risks.

The Japanese automaker’s limited US and China exposure means it will probably weather the 25% tariffs that US President Donald Trump vowed to implement, according to Yu Liu, chief investment officer at Kings Court Capital Pte. It is also likely to avoid the price war fueled by the rise of Chinese electric vehicle leaders like BYD Co. that has pressured many carmakers around the world.

Kings Court Capital, which manages $400 million and employs a long-short equity strategy, invests about 70% of its portfolio in Japanese stocks and 15% in China. Suzuki, Sony Group Corp. and Hikari Tsushin Inc. have remained unchanged as the fund’s top-three long holdings over the last two years.

Its 33% return last year compares with a 9.6% gain in the MSCI AC Asia Pacific Net Total Return USD Index, which it uses as a benchmark for performance. Suzuki’s shares have more than doubled since a 2022 low, beating the MSCI world auto benchmark’s 2.9% rise.