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LATEST COMPANY ANNOUNCEMENT
SATS LTD - Singapore Airport Terminal Services.
SG1I52882764
Q2 FY24/25
03 February 2025
Associate: Anne Ching
MEDIA RELEASE
SATS POSTS 2Q NET PROFIT OF S$69.7 MILLION
- 2Q revenue grew 14.1% YoY to S$1.45B, driven primarily by continuing growth in
air cargo volumes and aviation meals
- 2Q EBITDA reached S$265.7M, expanding YoY margin from 15.2% to 18.3%
- Secured S$68M of the targeted annualised run rate of S$100M EBITDA
integration synergies
- SATS declares an interim dividend of 1.5 cents (S$) per share
Singapore, 7 November 2024 - SATS Ltd. (SATS) today reported its unaudited results for the six months ended 30 September 2024 (1H FY25).
HIGHLIGHTS OF THE GROUP'S UNAUDITED RESULTS:
Notes: (1) FY25 refers to the financial year from 1 April 2024 to 31 March 2025 (2) 1H FY24 figures were restated retrospectively to reflect discontinued operation due to the disposal of a subsidiary in March 2024 (3) D&A refers to depreciation and amortisation (4) EBITDA refers to earnings before interest, tax, depreciation and amortisation (5) SoAJV refers to the share of associates/joint ventures, net of tax (6) n.m. - not meaningful
GROUP EARNINGS
2Q FY25 (1 July 2024 to 30 September 2024)
In 2Q FY25, SATS Group's revenue increased by 14.1% to S$1.45 billion compared to the same period last year due to business volume growth, rate increases and a three-month revenue catch up recorded in 2Q FY25 upon finalisation of a contract renewal.
Revenue for Gateway Services increased by 10.3% YoY to S$1.10 billion as the cargo market growth was supported by increasing e-commerce demand and continued disruption to sea freight from the Red Sea crisis.
Food Solutions' revenue increased by 28.0% to S$352.8 million as compared to prior year fuelled by the increased demand for inflight meals as travel recovers.
The Group's expenditure (excluding depreciation and amortisation) increased by 9.9% to S$1.18 billion YoY, in line with the increase in business volume. Included in 2Q FY25 expenditure was an unrealised foreign exchange loss of S$21.6 million, mainly due to translation of USD and Euro intercompany loan balances at the end of the second quarter.
In 2Q FY25, SATS operating profit doubled to S$127.2 million from S$64.1 million.
Operating profit margin also improved from 5.0% to 8.8% driven by operational...