These 11 Straits Times Index Constituents Have Seen Their Businesses Shrink Lately

The last few weeks have been a busy period for many investors as it was the earnings season.

As the dust settled around the earnings season, a question floated into my head: How did Singapore’s largest companies, the 30 constituents of the Straits Times Index (SGX: ^STI), perform?

So, I decided to create three buckets to house the 30 companies: (1) Those that delivered growth in both revenue and profit, (2) those with mixed results, and (3) those that saw declines in both their top-line and bottom-line.

This article will focus on the third group. To find out more about the first and second group, you can head here and here, respectively.

(It’s worth noting that Hongkong Land Holdings Limited (SGX: H78) and Jardine Matheson Holdings Limited (SGX: J36) are not found in any of the three groups. That’s because both of them only report their results on a half-yearly basis, and so, did not participate in the latest earnings season.)

With that, the companies that experienced revenue and profit declines in their latest quarterly earnings are the following 11 (presented in no particular order):

  1. Singapore Airlines Ltd (SGX: C6L)
  2. Singapore Telecommunications Limited (SGX: Z74)
  3. StarHub Ltd (SGX: CC3)
  4. Singapore Press Holdings Limited (SGX: T39)
  5. Sembcorp Industries Limited (SGX: U96)
  6. Keppel Corporation Limited (SGX: BN4)
  7. SIA Engineering Company Ltd (SGX: S59)
  8. Yangzijiang Shipbuilding Holdings Ltd (SGX: BS6)
  9. United Overseas Bank Ltd (SGX: U11)
  10. Hutchison Port Holdings Trust (SGX: NS8U)
  11. Singapore Exchange Limited (SGX: S68)

Here’s a table showing how the 11 stocks’ latest quarterly revenue and earnings per share numbers have changed compared to a year ago:

Source: Stocks’ earnings releases and S&P Global Market Intelligence

Given that (1) only nine of the 30 companies in the Straits Times Index have delivered growth in their latest quarterly earnings, (2) eight of the 30 have delivered a mixed bag of results, and (3) 11 of the 30 have seen both their revenue and profit decline, it’s clear that Singapore’s largest stocks are – in aggregate – facing a tough business environment.

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