ST Engineering’s FY15 profits dip 0.5% to $529m

Blame it on weak performance from its marine sector.

Bruised slightly by an underperforming marine division, ST Engineering’s FY15 net profit dipped 0.5% YoY to $529m.

According to the company’s media release, revenue slipped 3.1% YoY to around $6.34m during the year, despite marginal increases in most of its segments during the year.

Revenue and PBT for STE’s aerospace arm stood ar $2.09b and $290.6m respectively. Revenue for its electronics segment was up 8% YoY at $1.71b from $1.58b in FY14 with PBT remaining roughly the same at $191m. The land systems division posted a comparable revenue of $1.4b, while PBT jumped 16% YoY to $65m.

Meanwhile, STE’s marine sector posted revenue of $96m, reflecting a 29% YoY plunge from $1.43b. Further, weak shipbuilding performance from both Singapore and US operations weighed PBT by 28% YoY to $88.3m, from $122.8m in FY14.

The company also reports that its orderbook stood at a solid $11.7b, with $3.8b of it slated for delivery this year.

For FY16, STE expects revenue to show improvement, but PBT to remain at around the same level as in FY15.