Stocks to watch: OCBC, CDL, SingPost, Food Empire, SingLand, Aztech Global
THE following companies saw new developments that may affect trading of their securities on Wednesday (Feb 26):
OCBC: The lender on Wednesday reported a net profit of S$1.69 billion for the fourth quarter ended December, up 4 per cent from S$1.62 billion in the previous corresponding period. This fell short of the S$1.78 billion consensus forecast in a Bloomberg survey of five analysts. The lender has proposed a slightly lower final dividend of S$0.41 per share for the half-year period. A special dividend of S$0.16 per share has also been recommended. This is part of OCBC’s plans to return S$2.5 billion of capital to shareholders over two years via special dividends and share buybacks. Shares of OCBC closed S$0.09 or 0.5 per cent lower at S$17.60 on Tuesday.
City Developments Limited (CDL): The property giant on Wednesday reported a net profit of S$113.5 million for the second half ended Dec 31, down 54.7 per cent from S$250.8 million in the previous corresponding period. Revenue was 23.6 per cent lower at S$1.7 billion compared with S$2.2 billion previously. This brought its profit for FY2024 to S$201.3 million, down 36.6 per cent from S$317.3 million in the year-ago period. Shares of CDL ended Tuesday 0.4 per cent or S$0.02 lower at S$5.12. It called for a trading halt on Wednesday morning, pending the release of an announcement.
Singapore Post (SingPost): The postal-service provider on Wednesday said it will hold an extraordinary general meeting (EGM) to seek shareholders’ approval for the proposed divestment of its Australia business, Freight Management Holdings. The EGM will be held on Mar 13 at 3.30 pm. The transaction represents an enterprise value of A$1.02 billion (S$867 million), and is expected to generate a gain on disposal of around S$289.5 million. Shares of SingPost closed flat at S$0.55 on Tuesday.
Food Empire: The food and beverage company reported on Tuesday that net profit fell 3.2 per cent to US$28.9 million for the second half ended Dec 31, from US$29.8 million in the same period the year before. Meanwhile, revenue rose 10.4 per cent to US$251.1 million from US$227.5 million. The group proposed a dividend per share of S$0.08, comprising a final dividend of S$0.06 and a special dividend of S$0.02. Shares of Food Empire closed 1 per cent or S$0.01 lower at S$0.975, before the announcement.
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