- ST Engineering (SGX:S63)’s 1Q24 revenue rose 18% y-o-y, led by double-digit growth in the commercial aerospace and defence, and public security businesses.
Growing order book and top line
- - Read this at SGinvestors.io -
- Overall, there was a steady pace of execution, which should result in a forecasted ~15% EPS CAGR and ~5% dividend yield.
- Maintain BUY on ST Engineering with a higher DCF-based target price of S$4.30.
Aerospace and defence underpin growth
- ST Engineering reported 1Q24 revenue of S$2.703b, +18% y-o-y. This was driven by 32% growth in commercial aerospace (CA) revenue to S$1.152b (+8% q-o-q) and 14% growth in defence and public security (DPS) revenue to S$1.123b (-3% q-o-q). Revenue from the Urban Solutions and SATCOM (USS) business was -1% y-o-y.
- - Read this at SGinvestors.io -
- DPS registered growth in all sub-segments.
- USS revenue was hindered by the ongoing SATCOM business transformation. TransCore revenue grew above 10% y-o-y.
Strong order book,
- Read more at SGinvestors.io.
Above is the excerpt from report by Maybank Research.
Clients of Maybank Securities may be the first to access the full report in PDF @ https://www.maybanktrade.com.sg/.
Krishna Guha Maybank Research | https://www.maybank-ke.com.sg/ 2024-05-14
Read also Maybank's most recent report:
2024-08-15 ST Engineering - Good Execution.
Previous report by Maybank:
2024-06-26 ST Engineering - Deepening Data Centre Footprint; Building New 7.5MW DC.
Price targets by 5 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 Dividends & Corporate Actions,
ST Engineering News Articles
