ST Engineering - OCBC Investment 2023-09-15: Continues On The Recovery Path

• Underlying operations strong in both ST Engineering (SGX:S63)'s Commercial Aerospace and Defence & Public Security, while Urban Solutions & Satellite Communications (Satcom) still weak but outlook improving.

Outperformed market since the start of the year

• - Read this at SGinvestors.io -
• Following healthy 1H23 operational trends, we are encouraged by ST Engineering management’s efforts to mitigate risk factors, including
  1. - Read this at SGinvestors.io -
  2. capital recycling to manage gearing levels, and
  3. driving operational leverage and margin improvement in core businesses.
• Having surpassed pre-pandemic revenue levels in 1H23, commercial aerospace is well-positioned to capitalise on the last leg of recovery, with its strategic hangar capacity expansion supporting higher MRO demand from the resumption of China's outbound tourism in full.

Segmental updates

• Read more at SGinvestors.io.

Above is an excerpt from a report by OCBC Investment Research.
Clients of OCBC Securities may be the first to access the full PDF report @ https://www.iocbc.com/.

Read also OCBC's most recent report:
2025-11-14 ST Engineering - Unlocking Value.

Previous report by OCBC:
2025-10-07 ST Engineering - Defence Is The Best Offence.

Price targets by 2 other brokers at ST Engineering Target Prices.

Listing of research reports at ST Engineering Analyst Reports.

Relevant links:
ST Engineering Share Price History,
ST Engineering Announcements,
ST Engineering Dividend Payout Dates & Corporate Actions,
ST Engineering News