Shares of Sats up over 5% after posting rise in Q4 earnings

[SINGAPORE] Shares of Sats on Tuesday (May 26) morning were trading more than 5 per cent higher, after the company posted a 31 per cent year-on-year rise in net profit to S$50.7 million for the fourth quarter ended Mar 31.

The counter opened just over 2 per cent higher at S$3.47, before hitting S$3.55 at 9.16 am, up 5.3 per cent. It later eased to S$3.51, still trading S$0.14 or 4.2 per cent higher, after 7.1 million securities changed hands at 9.32 am.

Sats was the largest gainer on the Straits Times Index in the morning.

The company said that conflict in the Middle East, which escalated in the final month of Q4, “weighed on revenue, costs, operating profit and associates and joint ventures’ earnings”, reported The Business Times previously.

That said, revenue for the period still came in at S$1.6 billion, up 9.8 per cent year on year from S$1.5 billion.

Its final dividend proposed stands at S$0.05 a share, an increase from S$0.035 a year before.