Singapore's Seatrium H1 profit surges on higher contribution from higher revenue recognition

Seatrium

31/07/2026 24:15

Overview
Singapore offshore engineering firm's H1 revenue rose 4.7% yr/yr to S$5.62 bln
Profit for the period increased to S$370 mln from S$142 mln a year ago
Basic EPS rose to 11.01 Singapore cents from 4.26 cents

Outlook
Seatrium expects H1's key margin drivers to sustain in H2
Company expects FY26 profit to be materially higher than FY25
Company focused on growing order book, strengthening its margin profile

Result Drivers
HIGHER NET PROFIT - Net profit for 1H 2026 increased mainly due to higher contribution from higher revenue recognition, higher gains from sale of non-core assets, lower net finance costs, offset by higher tax expense
REVENUE INCREASED - Revenue for 1H 2026 increased mainly due to strong execution and achievement of production milestones for projects

Company press release: ID:nSN17DRfg

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
H1 Revenue
 
S$5.62 bln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", no "hold" and 2 "sell" or "strong sell"
The average consensus recommendation for the shipbuilding peer group is "buy"
Wall Street's median 12-month price target for Seatrium Limited is S$2.70, about 27.5% above its July 30 closing price of S$2.12
The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 16 three months ago

Reuters Recommended Reads
July 30 - Keppel's H1 profit jumps 25% as core businesses power growth
July 29 - Italy's Fincantieri H1 profits nearly triple, driven by underwater business 
July 30 - Luxembourg's Subsea 7 Q2 revenue rises, lifts FY adjusted EBTIDA margin forecast

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(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.)