This post looks at the annual performance of ST Engineering for FY 2010 based on its Annual Report.
Net Profit after tax attributable to shareholders $491 million (11% increase over last year)
ROE 30.3% (increased 7%)
EPS 16.21 cents (increased 10%)
Total cash dividend per share, 14.55 cents (90% of EPS)
Dividend yield 4.66% (based on 18 March share price of $3.12)
Net Asset Value per share 53.38 cents
Price to Earnings ratio 19.2 times
Price to Book ratio 5.84 times
Gross Debt to equity 0.8 times
Cash & cash equivalent + short-term investments $1.79 billion (up $40m)
Share price as at 31 Dec 2010 is $3.42
Last traded share price was $3.12 (18 March)
Temasek Holdings held 51.3% interest in ST Engineering.
ST Engineering’s performance was better than 2009. Net profit attributable to shareholder increased by 11 per cent to $491 million. Its performance was comparable to 2007, the year before the global financial crisis hit in 2008 and 2009.
However, the comprehensive income was $390 million, which was lower than $422 million in 2009, due mainly to foreign currency translation of foreign operations of $87 million loss higher than previous year.
Total dividend proposed was 14.55 cents with a special dividend of 7.55 cents. This means that 90 per cent of earnings per share will be distributed as dividend. Dividend yield is 4.66 per cent based on last Friday’s closing share price.
The share price had since declined from the price traded on the last day of 2010. It declined 8.7 per cent from $3.42 to $3.12.
According to ST Engineering, they were pleased with order book of $11.5 billion as at 31 December 2010.
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