Singapore Exchange - RHB Invest 2024-08-12: Moderate Earnings Growth & Unexciting Yield

• Singapore Exchange (SGX)’s FY24 (Jun) core profit was ~5% above estimates due to better cost control and higher-than-estimated other income. It also paid a higher final dividend.
• We raise FY25-26 profit forecast for SGX by 5-6% to account for higher revenue and better margins. We see downside risks to our treasury income estimates amidst potentially lower interest rates.
• - Read this at SGinvestors.io -

Management guidance.

• SGX aims to grow revenue (excluding treasury income) at a 6-8% CAGR in the medium term. This will be driven mainly by low to mid-teen percentage growth in its over-the-counter (OTC) FX and exchange-traded derivatives businesses.
• - Read this at SGinvestors.io -
• SGX expects capex to remain below the historical average of 7% of revenue over the next cycle. It also reiterated its medium-term target to grow DPS at a mid-single-digit percentage CAGR.

Our estimates.

• Read more at SGinvestors.io.

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

Read also RHB's most recent report:
2026-01-12 Singapore Exchange - Marking To Market 1HFY26 Operating Data.

Previous report by RHB:
2026-01-06 Singapore Exchange - Strong 1HFY26 Earnings Outlook.

Price targets by 2 other brokers at SGX Target Prices.

Listing of research reports at SGX Analyst Reports.

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