ST Eng’g revenue up 18% to S$2.7b in Q1

It has an order book of S$27.7b as of 31 March 2024.

ST Engineering has recorded a Q1 revenue of S$2.7b, 18% higher than the same period in 2023, its latest market update report showed.

The commercial aerospace and the defence & public security business segments all reported higher revenue during the quarter, whilst the urban solutions & satcom segment fell by 1% during the same period.

An interim dividend of 4 cents per share has been announced 

The commercial aerospace segment rose to S$1.2b, 32% higher than a year ago, on broad-based growth and the strong growth of engine MRO, ST Engineering said in a bourse filing.

ST Engineering notably expects narrowbody aircraft production to become stronger over the next 10 years. By 2034, narrowbody aircrafts will reportedly make up 73% of the global fleet, with the A320 family having the largest share.

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The defence & public security segment saw revenue rise by 14% to S$1.1b in Q1, recording growth in all sub-segments. Its digital business (cloud, AI, analytics, cyber) are poised to exceed the 2026 revenue target, ST Engineering said.

The urban solutions & satcom segment, however, logged a 1% dip in revenue, earning $429m in Q1.

Group-wide, ST Engineering inked S$3b new contrast for Q1, with a bulk (S$1.65b) in the defence & public security. 

Overall, ST Engineering has an order book of S$27.7b as of 31 March 2024, with S$6.5b expected to be delivered for the rest of 2024.