Latest Quarterly Performance – Three Companies That Delivered Mixed Results

In the latest earning seasons, we have seen both the winners and the losers, amid the challenging economic conditions.

Examples of the former are Wilmar International Limited (SGX: F34), First Resources Ltd (SGX: EB5) and CapitaLand Limited (SGX: C31).

On the other hand, Hour Glass Ltd (SGX: AGS), Ezion (SGX: 5ME) and the telecoms, namely, Singapore Telecommunications Limited (SGX: Z74), StarHub Ltd. (SGX: CC3) and M1 Ltd (SGX: B2F), are examples of companies that announced weaker performances.

Yet, there is the third group that has not been covered by the above, namely, the mixed bag. These are the companies that cannot be categorised in the above two groups.

Singapore Technologies Engineering Ltd (SGX: S63) is an engineering conglomerate with various business interests, categorised under four separate groups, namely, – Aerospace, Electronics, Land Systems, and Marine.

Overall, the company delivered a strong performance with improvement in revenue in all segments. Nevertheless, net profit and earnings per share ( EPS) were lower due to a one-off impairment charge of S$61.1 million on JHK’s assets. JHK is a road construction equipment business in China that ST Engineering owns.

ST Engineering ended the third-quarter of 2016 with an order book of $11.4 billion, slightly lower $12.2 billion a year ago. Click here for an article on the company’s latest performances.

Some key numbers worth paying attention to are the 8% year-on-year growth in revenue, the 42% year-on-year decline in both net profit and EPS.

BreadTalk Group Limited (SGX: 5DA) has three main business segments: Bakery, Restaurant, and Food Atrium.

Overall, the company reported a mixed bag with lower revenue but higher profit. Of the three segments, only restaurants managed to grow its revenue in the latest quarter. On a positive note, consolidation, cost control and supply chain improvements contributed to better profitability.

Revenue fell by 2.7% year-on-year. Yet, profit attributable to shareholders surged 108.8% and EPS jumped by 108.5% year on year. For more information about the latest result, please click here.

Fraser and Neave Limited (SGX: F99) organises its business in into three buckets: Beverages, Dairies, and Printing & Publishing.

F&N recorded lower revenue for the full fiscal year. But, profit from continuing operations was healthy and increased by over 100%, mainly due to margin expansion.

The food and beverage outfit also generated positive free cash flow and maintained a strong balance sheet.

In term of the numbers, quarterly revenue was down 6.7% to S$1.98 billion. Yet, net profit was up by 101% to S$165.6 million. Consequently, earnings per share (EPS) grew 74.4% year-on-year to 7.5 cents.

In term of the outlook, the company said it is wary of the weaker economy outlook, weaker consumer sentiments, intensifying competition and rising raw material cost. Yet, F&N is confident of the overall prospects due to its leadership position in most markets.

If you like what you've seen, you can get even more investing insights and analyses from The Motley Fool's weekly investing newsletter Take Stock Singapore. It's FREE, so do check it out here.

Also, like us on Facebook to follow our latest news and articles. The Motley Fool's purpose is to help the world invest, better.

The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Lawrence Nga doesn’t own shares in any companies mentioned.