Singapore, 7 May 2013 - Singapore Technologies Engineering Ltd (ST Engineering) today reported financial results with steady performance for its first quarter ended 31 March 2013 (1Q2013). First quarter revenue of $1.55b was comparable to the same period last year. Profit before tax (PBT) and Net Profit came in comparable with the corresponding quarter of 2012 at $162.1m and $134.0m respectively.
Commercial sales constituted 64% or $993m of the Group’s first quarter revenue. Order book grew to $13.0b from the $12.1b recorded in 31 December 2012. The Group expects to deliver $3.6b of the order book in the remaining months of 2013.
1Q2013 Sector Results
The Aerospace sector reported comparable revenue of $476m compared to 1Q2012. The higher revenue in the Aircraft Maintenance & Modification (AMM) business group was offset by the lower revenue in the Component/Engine Repair & Overhaul (CERO) and Engineering & Material Services (EMS) business groups.
Revenue for the Electronics sector at $424m was down by 6% or $28m year-on-year, mainly attributable to lower value project milestone completions in Communication & Sensor Systems Group (CSG).
The Land Systems sector’s revenue of $346m was 9% or $29m higher compared to 1Q2012, as a result of higher revenue in the Automotive (Auto) business group, partially offset by lower revenue in the Munitions & Weapon (M&W) and Services, Trading & Others (S&T) business groups.
Revenue for the Marine sector at $254m was comparable to the same period last year.
Cash position remains strong
The Group ended the first quarter with $2.5b in cash and cash equivalents including funds under management. Advance payments from customers stood at $2.0b.
“The Group's Revenue and Profits of 1Q2013 were comparable with the corresponding quarter of 2012.
The Group successfully secured new orders from our diverse range of customers to register a record order book of $13.0b at the end of the first quarter of 2013. We continue to build on the Group’s robust financial position with improved cash and cash equivalents including funds under management of $2.5b.
Barring unforeseen circumstances, the Group expects to achieve higher Revenue and PBT for FY2013 compared to FY2012.” ~ TAN Pheng Hock, President & CEO, ST Engineering
1Q2013 New Wins
In the first quarter, the Aerospace sector won $480m worth of contracts for airframe, component and engine maintenance, as well as engineering and development, which will be carried out through its global maintenance, repair and overhaul (MRO) network. The Electronics sector announced contracts worth $151m for rail electronics, satellite communications and smart utility projects. The Marine sector’s US shipyard received contracts to build two Articulated Tug Barge units for Bouchard Transportation Co. Inc, while its Singapore shipyard won a contract to design and build eight new naval vessels for the Republic of Singapore Navy.
ST Engineering (Singapore Technologies Engineering Ltd) is an integrated engineering group providing solutions and services in the aerospace, electronics, land systems and marine sectors. Headquartered in Singapore, the Group reported revenue of $6.38b in FY2012 and ranks among the largest companies listed on the Singapore Exchange. It is a component stock of the FTSE Straits Times Index, FTSE ASEAN 40 Index, MSCI Singapore and other indices. ST Engineering has more than 22,000 employees worldwide, and over 100 subsidiaries and associated companies in 23 countries and 41 cities. Please visit www.stengg.com.
SVP, Corporate Communications
Tel: (65) 6722 1883 / 9696 5453