Centurion Club: HOLDING COMPANIES + INDUSTRIAL & COMMERCIAL SERVICES + INDUSTRIAL GOODS
Australia-listed engineering Civmec P9D has emerged as the winner for best returns to shareholders for the Centurion industry sector of Holding Companies + Industrial and Commercial Services + Industrial Goods. For the three years under consideration for this year’s awards, Civmec managed a return to shareholders of 10.1%. In addition, with a strong showing in other metrics, it was named the overall winner of this sector as well.
The company, dual-listed on the Australian and Singapore exchanges, serves customers in the energy, resources, infrastructure, and marine and defence sectors, giving it a diversified customer base to capture.
The company is in growth mode, as seen by its ongoing moves to expand its capacity to take on more contracts. As indicated by Civmec in its results announcement for FY2024 ended June 30, it recently bought an adjoining workshop next to one of its own premises in Gladstone, Central Queensland. Numerous new contracts were won in the quarter to June 30 as well, with order book reaching A$853 million ($743 million) as at June 30.
Indonesia-based Sinarmas Land A26 won the growth in profit after tax category for this industry sector. The entity listed on the Singapore Exchange S68 functions more like a holding company, as it operates mainly through three publicly listed Indonesia subsidiaries, PT Bumi Serpong Damai, PT Duta Pertiwi and PT Puradelta Lestari, with a combined market capitalisation of approximately $4.1 billion as at Dec 31, 2023. In addition, PT Bumi Serpong Damai is the largest shareholder of Dana Investasi Real Estat Simas Plaza Indonesia, the biggest listed REIT by market capitalisation on the Indonesia Stock Exchange.
See also: PropNex soars, capturing greater market share amid challenging real estate climate
For the three years under consideration, Sinarmas Land’s earnings grew by a CAGR of 39.4%. For the most recent FY2023 ended December 2023, earnings came in at $272.5 million, down from $343.6 million recorded in FY2022, when it celebrated its Golden Jubilee. However, the FY2022 numbers showed a big jump of 135.8% from FY2021’s $145.7 million due to higher commercial and industrial land parcel sales and increased revenue from residential units and commercial shophouses in Indonesia.
Vicom, which topped the industry sector for a weighted ROE of 20.8%, describes itself as Singapore’s leading inspection and technical testing services provider. It offers various inspection and testing services in vehicle and non-vehicle testing fields, including mechanical, biochemical and civil engineering. Vicom WJP is also a separately listed subsidiary of land transport giant ComfortDelGro C52 Corp, which picked up this year’s overall sector winner in the automobiles & auto parts + transportation industry category and is the winner for growth in profit after tax (PAT) and weighted return on equity (ROE).
As it reported better earnings for FY2023 over FY2022, Vicom expects demand for vehicle testing and related work is expected to be strong, as it is one of the authorised partners for the installation of On-Board Units (OBU) in the Electronic Road Pricing (ERP) 2.0 exercise. Demand for non-vehicle testing is seen to grow, which is in line with more activities in the manufacturing sector. “Barring unforeseen circumstances arising from global geopolitical tensions or headwinds, the group expects satisfactory performance in the year ahead,” says Vicom.
