Singapore's Hong Leong Asia 1H revenue rises on powertrain demand

Hong Leong Asia

12/08/2026 10:29

Overview
Singapore diversified industrial's 1H 2026 revenue rose 17.6% yr/yr to S$3.1 bln
Net profit attributable to shareholders climbed 64.1% yr/yr to S$91.9 mln
Company raised interim dividend 50% yr/yr to S$0.03/share

Outlook
Company expects continued growth in China, driven by advanced engine and export demand
BMU in Singapore expects healthy growth in precast, ready-mix concrete and architectural products
Company expects performance for 2H and full-year 2026 to be satisfactory barring unforeseen events

Result Drivers
POWERTRAIN DEMAND - Strong sales growth and improved margins in China, driven by higher unit sales and improved sales mix for powertrain units
BUILDING MATERIALS GROWTH - Robust demand and improved pricing in Singapore and Malaysia, supported by strong construction activity and operational efficiencies
ACQUISITION IMPACT - Newly-acquired Yong Tai Loong expanded building materials portfolio and positioned group for further growth in Singapore

Company press release: ID:nSN9zGhbH

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
H1 Revenue
 
S$3.13 bln
 
H1 Net Income
 
S$198.35 mln
 
H1 Net Income Attributable
 
S$91.91 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the auto, truck & motorcycle parts peer group is "buy"
Wall Street's median 12-month price target for Hong Leong Asia Ltd is S$4.40, about 42.9% above its August 11 closing price of S$3.08
The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 15 three months ago

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Aug 10 - UK's Marshalls H1 revenue falls, keeps FY profitability view

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)