Stocks to watch: DBS, SATS, CapitaLand, CMT, Singapore Press Holdings, Suntec Reit

THE following companies saw new developments that may affect trading of their securities on Monday:

DBS: The bank on Thursday reported a 29 per cent fall in first-quarter net profit from a year ago that brought its earnings to its lowest level since 2017, with DBS already setting aside a large allowance to prepare for hits from the global pandemic. It guided for credit costs over the next two years to be "comparable" to past crises levels, and disclosed that its oil-and-gas (O&G) portfolio makes up the largest chunk of its lending to industries made vulnerable by the Covid-19 pandemic.

It added in response to shareholder queries for its virtual annual general meeting that chief executive Piyush Gupta will remain in his position "for the foreseeable future". Shares of DBS closed S$0.76 or 4 per cent higher on Thursday at S$19.96 after the announcement.

SATS: In a profit guidance on Thursday, the gateway services provider said it expects its profit to decline by 60 to 70 per cent year on year for the fourth quarter ended March, resulting in a fall of up to 25 per cent for the full year. SATS added that it expects a loss of between S$50 million and S$70 million in Q1 FY2021, after accounting for government grants. Shares of SATS closed at S$3.28, up S$0.21, on Thursday before the announcement. 

CapitaLand: The property giant's lodging business saw fee income drop 9 per cent year on year to S$54.2 million in the first quarter of this year. Revenue per available unit fell 22 per cent to S$84 from S$108 in the year-ago period, according to the group's business update on Monday. This comes amid a standstill in travel as a result of the global Covid-19 pandemic. CapitaLand shares closed at S$3.01 on Thursday, up S$0.04 or 1.4 per cent.

CapitaLand Mall Trust (CMT): CMT on Thursday said it had entered cash-conservation mode amid the volatility of Covid-19, leading to a 70.5 per cent fall in distribution per unit (DPU) to 0.85 cents for the first quarter ended March. Gross revenue for the quarter inched up 6 per cent to S$204.3 million, thanks to the June 2019 opening of Funan Mall, but this was offset by the amortisation of rental rebates granted to tenants affected by Covid-19. Units of CMT closed at S$1.89 on Thursday, up S$0.07 or 3.9 per cent before the announcement.

GET BT IN YOUR INBOX DAILY

Start and end each day with the latest news stories and analyses delivered straight to your inbox.

Sign UpVIEW ALL

Singapore Press Holdings (SPH): SPH confirmed in a Sunday bourse announcement that its Malaysian magazine subsidiary, Blu Inc Holdings Malaysia (BIHM) Group, had ceased operations from Thursday. SPH's magazines business in Malaysia operated independently under BIHM Group and accounted for a small part of SPH's overall business. SPH owns 70 per cent of BIHM Group, which published titles in Malaysia including Cleo, Cosmopolitan and Harper's Bazaar. Shares of SPH finished flat at S$1.52 on Thursday.

Suntec Real Estate Investment Trust (Suntec Reit): Suntec Singapore is extending its temporary suspension of operations up to Aug 2, the manager of Suntec Reit, ARA Trust Management, announced in a bourse filing on Thursday. This is because restrictions on large gatherings are likely to remain in force after Singapore's "circuit-breaker" measures, which last till June 1, are lifted, ARA Trust said. Units of Suntec Reit closed at S$1.40 on Thursday, up S$0.05, before the announcement.

iFast Corporation: Its chief executive Lim Chung Chun told The Business Times that investors seem to be buying more across all its platforms, compared to in previous downturns, as prices are low and perhaps because people expect a quicker recovery. Shares of iFast closed S$0.01 or 1 per cent lower at S$1.03 on Thursday.

Oxley Holdings: The real estate developer will see S$2.2 billion of revenue flow into the group from its Singapore and overseas projects as construction progresses, it said in an update on Saturday. Oxley chief executive Ching Chiat Kwong said the company is on track to redeem its S$150 million worth of bonds due May 18, 2020. Shares in Oxley closed at 23 Singapore cents on Thursday, up 0.5 cent.

Lippo Malls Indonesia Retail Trust (LMIRT): LMIRT on Thursday posted a 78.2 per cent drop in its distribution per unit to 0.12 Singapore cent for the first quarter ended March 31. The distribution represents 24.1 per cent of the amount available for distribution of S$14.6 million. The decision to withhold the remaining income is a "prudent contingency" against the impact of Covid-19, given the loss of rental income with the closure of all its retail malls and spaces in Indonesia. Units of LMIRT closed at 14.5 Singapore cents on Thursday, up 0.4 cent or 2.8 per cent before the announcement.