Aztech Global - UOB Kay Hian 2025-02-26: 2024 Results Slightly Below Expectations; Outlook Remains Uncertain

Aztech Global - 2024 Results Slightly Below Expectations; Outlook Remains Uncertain

Published:
Aztech (SGX:8AZ) | SGinvestors.io
  • Aztech’s 2024 earnings of S$71m (-30% y-o-y) missed our expectations by 2%. Amid rising geopolitical uncertainties, Aztech is facing some demand volatility from customers.

2024 earnings slightly below expectations.

  • - Read this at SGinvestors.io -
  • The impact of lower revenue and higher depreciation was partly offset by higher interest income, net fair value gain on foreign exchange contracts and lower tax expense with a one-time deferred tax provision of S$7m in the prior year.

No orderbook figures were provided for the first time.

  • - Read this at SGinvestors.io -
  • To recap, the last orderbook figure given was S$142m as of 1 Oct 24. Since Aztech has booked in S$81m revenue for 4Q24, the orderbook brought forward from last year is roughly S$61m, excluding new order wins in 4Q24 and 1Q25.
  • Special and final dividend totalling 10 cents per share proposed, comprising a final ordinary dividend of 3 cents per share totalling S$23m and a special dividend of 7 cents per share totalling S$54m. Including the interim dividend of 5 cents per share, the total ordinary dividend declared for the year is 8 cents per share (2023: 8 cents). The proposed final ordinary and special dividends lift the total Aztech's dividends declared for 2024 to 15 cents per share, an increase of 88% y-o-y which translates to a payout ratio of 164%.

Expect demand volatility.

  • Read more at SGinvestors.io.



Above is an excerpt from a report by UOB Kay Hian Research.
Clients of UOB Kay Hian may be the first to access the full PDF report @ https://www.utrade.com.sg/.



John Cheong UOB Kay Hian Research | Heidi Mo UOB Kay Hian Research | https://research.uobkayhian.com/ 2025-02-26



Previous report by UOB:
2024-10-30 Aztech Global - 3Q24 Misses Expectations; Outlook Appears Unexciting.

Price targets by 3 other brokers at Aztech Target Prices.

Listing of research reports at Aztech Analyst Reports.

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





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