A 4 cents mid year dividends were declared, slightly lower as compared to the 5 cents paid last year. I think its parent semb corp would pay lower dividends this year too.
SMM paid 5 cents and 8 cents in the last 2 years, given the weakness... I'm expecting 4 cents and 6 cents for a total of 10 cents this year.
SCI paid 5 cents and 11 cents last year for a total of 16 cents in FY14, I'm expecting just 12-14 cents in total for FY15.
Looking at the trend... we might see only 400 to 500 mil in profits for the year 2015, so looking forward I'm expecting full year net profits to be down around 20%. The weakness could continue into 2016 before recovering in 2017. Shareholders of SMM and SCI will have to take a long term view.
You can either hold and ride out the downtrend, or cut loss and quickly move on.
Rigbuilding segment saw the biggest decline, this is because of the weak oil prices leading to less interest to increase capacity for drilling oil.
Contract wins for 2015 was very weak, with only 1.3bil worth of new contracts. I'm expecting just 2 billions worth of contracts for full year 2015 and maybe 3 billion going into 2016. This is much lower as compared to the 4bil each seen over the past 2 years.
|CapitaCommercial Trust||1.46||16%||17.0||5.9%||100%||Commercial Reit|
|OCBC||10.34||15%||11.5||3.5%||40%||Banking & Finance|
|Sembcorp Industries||3.75||5%||12.5||3.2%||40%||Marine & Utilities|
|UOB||22.95||16%||11.6||3.3%||38%||Banking & Finance|
|Total Weight||Portfolio PE||Portfolio Yield||Payout Ratio|
Note*** PE and Yield are based on my own estimates and may not be accurate