SG Morning Call｜STI Up 0.1%; Samudera Shipping fell 14.57% As H1 Profit Down 68.7% while Sheng Siong Rose 1.3% As H1 Net Profit Up 7%

Market Snapshot

Singapore stocks opened higher on Tuesday. STI rose 0.1%, Samudera Shipping fell 14.57%, Sheng Siong rose 1.3%, Lippo Malls fell 5%.

Stocks to Watch

Keppel Real Estate Investment Trust : Its manager on Tuesday announced a 3.4 per cent year-on-year decrease in distribution per unit (DPU) of S$0.028 for the half year ended June. Distributable income for the period dropped 1.9 per cent to S$106.9 million, despite net property income rising 7.7 per cent to S$96.8 million on the year. The counter closed Monday up 0.6 per cent or S$0.005 at S$0.88.

Sheng Siong : The supermarket chain posted a 7 per cent increase in net profit to S$69.9 million for the first half ended Jun 30, from S$65.4 million the year before. Revenue grew 3.4 per cent year on year to S$714.2 million, driven by a longer sales period before Chinese New Year, Sheng Siong said on Monday. Shares of Sheng Siong closed flat at S$1.50 before the announcement.

CapitaLand India Trust : The trust’s distribution per unit increased 8.3 per cent to S$0.0364 for the half year ended Jun 30, thanks to growing rental income and occupancy. Its total property income rose 23.2 per cent to S$136.1 million, while net property income was up 20.9 per cent at S$103.5 million. Income to be distributed increased 10.7 per cent to S$48.7 million. Units of Clint ended Monday at S$1.06, up S$0.02 or 1.9 per cent.

Far East Hospitality Trust (FEHT): The hospitality stapled group’s distribution per stapled security inched up 2.1 per cent year on year to S$0.0196 for the first half ended June. Distribution to stapled security holders rose 2.7 per cent year on year to S$39.5 million. On Tuesday, its manager attributed this to higher net property income and distribution of other gains. Stapled securities of FEHT closed 1.6 per cent or S$0.01 higher at S$0.635 on Monday.

CDL Hospitality Trusts(CDLHT): The group’s net property income for the first half of the financial year ended Jun 30, 2024, rose 5.9 per cent to S$66.5 million, from S$62.9 million in the year-ago period. Higher interest costs weighed on the group’s distribution per stapled security, which remained flat year on year. Units of CDLHT ended 0.5 per cent or S$0.005 higher at S$0.975 on Monday.

CapitaLand China Trust(CLCT): The real estate investment trust’s distribution per unit (DPU) slid 19.5 per cent to S$0.0301 for the first half ended Jun 30, from S$0.0374 in the corresponding year-ago period. This was due to refuced revenue from its logistics park portfolio ad lower contribution from the divested CapitaMall Shuangjing. Units of CCT ended flat at S$0.68 on Monday.

Starhill Global Real Estate Investment Trust : It posted a distribution per unit of S$0.0185 in the second half ended Jun 30, down 6.6 per cent from the same period the year before. The manager on Monday attributed the drop to weaker foreign currencies, higher net finance costs and taxes, as well as a one-off leasing commission fee for its master lease with Toshin Development Singapore at Ngee Ann City. Units of Starhill Global Reit closed flat at S$0.49 on Monday.

Samudera Shipping: The mainboard-listed container shipping company on Monday posted a 68.7 per cent drop in net profit to US$20.9 million for its first half ended Jun 30, from US$66.7 million in the corresponding year-ago period. Revenue sank 27.1 per cent to US$223 million, the company said on Monday. The company’s shares closed at S$0.995 on Monday, down S$0.005 or 0.5 per cent.

Lippo Malls Indonesia Retail Trust(LMIRT): The trust posted a 9.2 per cent drop in net property income to S$29.4 million for the second quarter ended Jun 30, amid a challenging interest rate and foreign exchange rate environment. The trust also withheld distributions to unitholders and perpetual securities holders in the quarter, as it has done in recent quarters. Units of LMIRT ended flat at S$0.02 on Monday.

SG Local News

MAS likely to keep restrictive slope amid rising imported inflation

An economist expects the Monetary Authority of Singapore (MAS) to keep its restrictive slope settings for a while longer due to an uptick in imported and external inflation in recent months.

Jester Koh, UOB associate economist, underscored that any reacceleration of imported inflation, “particularly in the ‘food and live animals’ component could slow the progress of disinflation given food has a significant weight of 21.1% in the overall Consumer Price Index (CPI) basket.”

1 in 5 Singaporean employees are unhappy at work; over 25% find job hunting more challenging than finding a romantic partner

A new survey by Jobstreet and Jobsdb by SEEK, involving over 5,000 workers across Southeast Asia, reveals that Singaporean employees are the most dissatisfied in the region. The survey, conducted in May 2024, shows that 19% of Singaporean employees are unhappy at work, the highest rate compared to Malaysia (12%), The Philippines (11%), Hong Kong (9%), Thailand (9%), and Indonesia (4%). The survey also found that over 25% Singaporean employees look at finding the right job more challenging than finding a romantic partner.

The primary cause of dissatisfaction in Singapore is inadequate salary and benefits, cited by 53% of respondents. In addition, 36% mentioned a lack of recognition as a contributing factor. Despite these issues, only 15% of Singaporean employees are willing to accept a high-paying job that does not align with their career goals or skill sets, compared to a regional average of 24%.