These are companies that have enjoyed many years of growth and amassed an impressive track record.The COVID-19 pandemic has caused major disruptions to supply chains and suppressed demand for products and services.
Though net profit increased by 20% year on year to S$193.8 million, the group reduced its final dividend by 37.5% to S$0.05 from S$0.08 a year ago.SIAEC started seeing a significant slowdown in March, when the number of flights handled at its Singapore base fell to only about 50% of its usual workloadFleet management revenue was also impacted as this is based on flying hours.
The plunge in flights for April and most of May will have an adverse impact on SIAEC’s financial performance. For FY 2020, Singapore Post announced a slight year on year dip of 0.7% for its total revenue, while operating profit declined by 21.3% year on year.The group declared a lower final dividend of S$0.012, down 40% from last year’s S$0.02.
Letter volumes continue to decline at a double-digit percentage, while border closures and the grounding of airlines will add to freight costs and terminal dues. Story continuesThe current quarter will turn out to be even harsher than the previous, as the full impact of the pandemic will be felt.