We will be celebrating our nation’s 52 years of independence on 9 August 2017.
In view of that, for this week, let’s take a look at three well-known companies started in Singapore that will be going ex-dividend in the next few days. In other words, you need to own them before a particular date to receive their dividends.
Let’s dive straight in.
1. Tuesday, 8 August 2017
On Tuesday, Old Chang Kee Ltd (SGX: 5ML) will be going ex-dividend. Old Chang Kee, as many Singaporeans will be familiar with, is a food and beverage chain that specialises in curry puffs and other local snacks. It was established in 1956 and has a total of 89 outlets in Singapore, as at 31 March 2017.
The firm is dishing out 1.5 Singapore cents per share for the fourth quarter.
For the full year ended 31 March 2017, revenue grew 6.1% year-on-year to S$78.3 million on the back of good performance from both its business segments – retail outlets and other services (which includes delivery and catering services).
Retail outlets, which contributed to the bulk of the revenue, saw “revenue contribution from new outlets, partially offset by lower revenue from existing outlets, and absence of revenue from temporary closure of outlets due to mall revamps.”
Old Chang Kee’s signature puff products remained the major contributor to its sales, accounting for around 31.8% of the firm’s revenue for the year.
Even though top line went north, net profit turned south to S$1.7 million, a decline of 64.9%. This was mainly due to higher selling and distribution expenses, administrative expenses, and other expenses for the year. Other expenses increased due to revaluation deficit for the firm’s factory buildings in Singapore and Malaysia, foreign exchange losses, and allowance for doubtful debts.
Old Chang Kee’s shares are now going at S$0.81. This translates to a historical price-to-earnings (PE) ratio of around 56 and a dividend yield of 3.7%.
2. Thursday, 10 August 2017
One day after National Day, Sheng Siong Group Ltd (SGX: OV8) will be going ex-dividend. The company is one of the largest supermarket chains in Singapore, with 42 outlets located mainly in the heartlands. These stores are designed to provide its patrons with both “wet and dry” shopping options.
The supermarket chain is giving out 1.55 Singapore cents per share for the second quarter.
For the quarter ended 30 June 2017, revenue went up by 6.8% year-on-year to S$201.5 million while net profit increased 6.1% to S$16.1 million. Out of the 6.8% sales growth, 5.2% was contributed by new stores, 0.9% by comparable same store sales and 0.7% by the stores at Loyang Point and The Verge.
Sheng Siong is now going at S$0.94, giving a PE ratio of 22 and a yield of 3.6%.
3. Friday, 11 August 2017
On the last trading day of the week, Neo Group Ltd (SGX: 5UJ) will be going ex-dividend. The company prides itself on being “Singapore’s leading catering group backed by an integrated value chain and strong track record accumulated over 22 years”.
The firm is paying out 1.0 Singapore cents per share for the fourth quarter.
For the full year ended 31 March 2017 (FY2017), Neo Group saw a 29.2% growth in revenue to S$162.0 million, but net profit fell 46.2% to S$3.3 million.
Top line grew due to improved revenue contribution from all its four business segments, especially the Supplies and Trading segment. The decline in net profit for FY2017 was partly due to the decrease in other income.
Other income tumbled 31.6% to S$4.4 million due to an absence of a one-off provisional gain from bargain purchase on acquisition of S$3.5 million last year, offset by a S$1.2 million increase in gain on disposal of assets held for sale in FY2017.
Shares of the food and beverage firm are going at S$0.67. This gives a PE ratio of close to 30 and a yield of 1.5%.
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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Sudhan P doesn’t own shares in any companies mentioned.