KUALA LUMPUR, Dec 5 (Bernama) -- Bursa Malaysia closed lower on Friday amid mixed regional market performance as investors turned cautious over a possible rate hike by the Bank of Japan (BOJ) and upcoming US economic data that may influence the Federal Reserve’s (Fed) interest rate decision next week. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) pared most earlier losses to settle 4.55 points easier, or 0.28 per cent, to 1,616.52 from Thursday’s close of 1,621.07. The benchmark index, which opened 0.37 of-a-point lower at 1,620.70, moved between 1,609.67 and 1,621.25 throughout the day. The broader market was negative, with decliners outpacing advancers 604 to 439. A total of 550 counters were unchanged, 1,151 untraded, and 18 suspended. Turnover declined to 3.17 billion units worth RM2.24 billion from 4.48 billion units worth RM2.75 billion yesterday. Rakuten Trade Sdn Bhd vice-presiden...
Shares of ST Engineering Ltd surged as much as 3.5% on Thursday after the Singapore-based technology and defense group posted a 9% rise in revenue for the first nine months of 2025 and unveiled a record S$32.6 billion order book, easing investor concerns over a major impairment at its satellite-communications unit.
The stock, one of Singapore’s best performers this year, is now up over 86% year-to-date.
Group revenue reached S$9.1 billion for the January–September period, driven by double-digit growth in Commercial Aerospace and resilient demand across Defence & Public Security, as well as Urban Solutions & Satcom.
The company secured S$14 billion in new contracts, reinforcing visibility for multi-year earnings and further solidifying its standing as one of the region’s largest engineering groups.
Divestments Unlock Cash; Special Dividend Proposed
ST Engineering announced that divestments completed so far this year generated S$594 million in cash proceeds and S$258 million in post-tax gains.
The firm proposed a S$0.05 special dividend, equivalent to S$156 million, bringing its total FY2025 payout to S$0.23 per share.
“The divestments have unlocked value and improved our cash position,” CEO Vincent Chong said. “We remain financially strong to reinvest for growth as we execute our mid-term plans.”
iDirect Impairment Weighs, but Strategic Review Underway
Despite the upbeat operational metrics, the group booked a S$667 million non-cash impairment on iDirect Group, its satellite-communications subsidiary.
The write-down reflects:
A weaker competitive landscape driven by rapid NGSO expansion
Fewer GEO satellite launches
Slower customer adoption of its next-gen Intuition platform
Limited traction from existing turnaround plans
iDirect’s revenue fell 9%, while EBITDA dropped 22% in the first nine months of 2025. The segment recorded an Ebit loss of S$89 million in FY2024.
ST Engineering said it is evaluating strategic options for iDirect, though no decisions have been made.
Key Takeaways
Stock up as much as 3.5% after strong 9M revenue and record order book.
Revenue +9% YoY to S$9.1B, led by Commercial Aerospace (+11%).
S$14B in new contracts boosts order book to S$32.6B, highest on record.
S$594M divestment proceeds enable special dividend of S$0.05.
S$667M impairment on iDirect highlights structural pressure in the satcom market.
Company exploring strategic alternatives for iDirect amid slower-than-expected turnaround.
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