Singamas Container (716) H2 2024 earnings summary

Executive summary

• Revenue increased 52% year-over-year to US$582.8 million, driven by strong container demand and expanded manufacturing and leasing performance.

• Net profit attributable to owners rose 76% to US$34.1 million, including a one-off land disposal gain and fair value losses on investment properties.

• Basic EPS reached US1.43 cents, up 74% year-over-year.

• Manufacturing and leasing accounted for 95% of total revenue, with logistics services delivering steady growth.

• Final dividend of HK5 cents per share proposed, total annual payout ratio at 72%.

Financial highlights

• Revenue: US$582.8 million (2024), up 52% from 2023.

• Net profit: US$34.1 million (2024), up 76% from 2023, including a US$5.9 million one-off land disposal gain and US$5.5 million fair value losses.

• Gross profit: US$92.8 million (2024); gross margin: 15.9%.

• Net asset value per share as of 12/31/2024 was US$23.16–23.47 cents.

• Basic EPS: US1.43 cents (2024) vs US0.82 cent (2023).

Outlook and guidance

• New container production expected to decline sharply in 2025 to 2.5 million TEUs due to easing Red Sea crisis, normalized rerouting, and new US tariffs.

• Lease rates for dry freight equipment expected to decline in 2025, with initial cash returns easing but remaining above 9% through 2028.

• Company to focus on cost control, cautious capital expenditures, and expansion into customized containers, automation, and new markets.

• Customised and ESS container demand projected to grow, with Green Tenaga positioned as a new growth engine.

• Focus on efficiency, productivity, and business diversification to sustain momentum.