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SATS

SGX:S58
Snowflake Description

Flawless balance sheet second-rate dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
S58
SGX
SGD3B
Market Cap
  1. Home
  2. SG
  3. Transportation
Company description

SATS Ltd., an investment holding company, provides gateway services and food solutions in Singapore, Japan, and internationally. The last earnings update was 53 days ago. More info.


Add to Portfolio Compare Print
  • SATS has significant price volatility in the past 3 months.
S58 Share Price and Events
7 Day Returns
-9.7%
SGX:S58
-2.4%
Asia Infrastructure
-4.8%
SG Market
1 Year Returns
-45.1%
SGX:S58
-29.4%
Asia Infrastructure
-29%
SG Market
S58 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
SATS (S58) -9.7% -28.3% -43.4% -45.1% -41.1% -8.3%
Asia Infrastructure -2.4% -14.7% -23.7% -29.4% -26.4% -33.8%
SG Market -4.8% -20.7% -27.1% -29% -29.7% -33.9%
1 Year Return vs Industry and Market
  • S58 underperformed the Infrastructure industry which returned -29.4% over the past year.
  • S58 underperformed the Market in Singapore which returned -29% over the past year.
Price Volatility
S58
Industry
5yr Volatility vs Market

Value

 Is SATS undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of SATS to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for SATS.

SGX:S58 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 11 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 6.2%
Perpetual Growth Rate 10-Year SG Government Bond Rate 1.8%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for SGX:S58
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year SG Govt Bond Rate 1.8%
Equity Risk Premium S&P Global 5.4%
Infrastructure Unlevered Beta Simply Wall St/ S&P Global 0.67
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.669 (1 + (1- 17%) (9.49%))
0.813
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.81
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.75% + (0.813 * 5.44%)
6.17%

Discounted Cash Flow Calculation for SGX:S58 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for SATS is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

SGX:S58 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (SGD, Millions) Source Present Value
Discounted (@ 6.17%)
2020 217.00 Analyst x3 204.38
2021 182.73 Analyst x4 162.09
2022 213.63 Analyst x4 178.48
2023 226.79 Est @ 6.16% 178.46
2024 237.76 Est @ 4.84% 176.21
2025 247.05 Est @ 3.91% 172.45
2026 255.11 Est @ 3.26% 167.72
2027 262.28 Est @ 2.81% 162.41
2028 268.81 Est @ 2.49% 156.77
2029 274.91 Est @ 2.27% 151.01
Present value of next 10 years cash flows SGD1,709.00
SGX:S58 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= SGD274.91 × (1 + 1.75%) ÷ (6.17% – 1.75%)
SGD6,322.32
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= SGD6,322.32 ÷ (1 + 6.17%)10
SGD3,472.78
SGX:S58 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= SGD1,709.00 + SGD3,472.78
SGD5,181.78
Equity Value per Share
(SGD)
= Total value / Shares Outstanding
= SGD5,181.78 / 1,117.89
SGD4.64
SGX:S58 Discount to Share Price
Calculation Result
Value per share (SGD) From above. SGD4.64
Current discount Discount to share price of SGD2.89
= -1 x (SGD2.89 - SGD4.64) / SGD4.64
37.7%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price SATS is available for.
Intrinsic value
38%
Share price is SGD2.89 vs Future cash flow value of SGD4.64
Current Discount Checks
For SATS to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • SATS's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • SATS's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for SATS's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are SATS's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
SGX:S58 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in SGD SGD0.20
SGX:S58 Share Price ** SGX (2020-04-06) in SGD SGD2.89
Asia Infrastructure Industry PE Ratio Median Figure of 146 Publicly-Listed Infrastructure Companies 9.84x
Singapore Market PE Ratio Median Figure of 389 Publicly-Listed Companies 10.09x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of SATS.

SGX:S58 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= SGX:S58 Share Price ÷ EPS (both in SGD)

= 2.89 ÷ 0.20

14.39x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • SATS is overvalued based on earnings compared to the Asia Infrastructure industry average.
  • SATS is overvalued based on earnings compared to the Singapore market.
Price based on expected Growth
Does SATS's expected growth come at a high price?
Raw Data
SGX:S58 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 14.39x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 11 Analysts
9.1%per year
Asia Infrastructure Industry PEG Ratio Median Figure of 49 Publicly-Listed Infrastructure Companies 1.05x
Singapore Market PEG Ratio Median Figure of 128 Publicly-Listed Companies 0.95x

*Line of best fit is calculated by linear regression .

SGX:S58 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 14.39x ÷ 9.1%

1.59x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • SATS is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on SATS's assets?
Raw Data
SGX:S58 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in SGD SGD1.45
SGX:S58 Share Price * SGX (2020-04-06) in SGD SGD2.89
Asia Infrastructure Industry PB Ratio Median Figure of 160 Publicly-Listed Infrastructure Companies 0.79x
Singapore Market PB Ratio Median Figure of 614 Publicly-Listed Companies 0.58x
SGX:S58 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= SGX:S58 Share Price ÷ Book Value per Share (both in SGD)

= 2.89 ÷ 1.45

2x

* Primary Listing of SATS.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • SATS is overvalued based on assets compared to the Asia Infrastructure industry average.
X
Value checks
We assess SATS's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Infrastructure industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Infrastructure industry average (and greater than 0)? (1 check)
  5. SATS has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is SATS expected to perform in the next 1 to 3 years based on estimates from 11 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
9.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is SATS expected to grow at an attractive rate?
  • SATS's earnings growth is expected to exceed the low risk savings rate of 1.8%.
Growth vs Market Checks
  • SATS's earnings growth is expected to exceed the Singapore market average.
  • SATS's revenue growth is positive but not above the Singapore market average.
Annual Growth Rates Comparison
Raw Data
SGX:S58 Future Growth Rates Data Sources
Data Point Source Value (per year)
SGX:S58 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 11 Analysts 9.1%
SGX:S58 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 11 Analysts 3.9%
Asia Infrastructure Industry Earnings Growth Rate Market Cap Weighted Average 11.5%
Asia Infrastructure Industry Revenue Growth Rate Market Cap Weighted Average 8.9%
Singapore Market Earnings Growth Rate Market Cap Weighted Average 4.7%
Singapore Market Revenue Growth Rate Market Cap Weighted Average 4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
SGX:S58 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below
All numbers in SGD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
SGX:S58 Future Estimates Data
Date (Data in SGD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2025-03-31 2,289 332 2
2024-03-31 2,224 309 2
2023-03-31 2,141 285 2
2022-03-31 1,950 296 250 9
2021-03-31 1,715 264 217 11
2020-04-06
2020-03-31 1,939 281 206 10
SGX:S58 Past Financials Data
Date (Data in SGD Millions) Revenue Cash Flow Net Income *
2019-12-31 1,980 275 225
2019-09-30 1,898 279 234
2019-06-30 1,854 284 239
2019-03-31 1,828 296 248
2018-12-31 1,780 284 264
2018-09-30 1,756 258 262
2018-06-30 1,737 290 268
2018-03-31 1,725 246 261
2017-12-31 1,727 282 263
2017-09-30 1,728 294 261
2017-06-30 1,732 270 251
2017-03-31 1,729 309 258

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • SATS's earnings are expected to grow by 9.1% yearly, however this is not considered high growth (20% yearly).
  • SATS's revenue is expected to grow by 3.9% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
SGX:S58 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below

All data from SATS Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SGX:S58 Future Estimates Data
Date (Data in SGD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2025-03-31
2024-03-31
2023-03-31
2022-03-31 0.22 0.29 0.16 8.00
2021-03-31 0.19 0.26 0.11 9.00
2020-04-06
2020-03-31 0.18 0.20 0.17 8.00
SGX:S58 Past Financials Data
Date (Data in SGD Millions) EPS *
2019-12-31 0.20
2019-09-30 0.21
2019-06-30 0.21
2019-03-31 0.22
2018-12-31 0.24
2018-09-30 0.23
2018-06-30 0.24
2018-03-31 0.23
2017-12-31 0.24
2017-09-30 0.23
2017-06-30 0.22
2017-03-31 0.23

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • SATS is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess SATS's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Asia market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Asia market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
SATS has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has SATS performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare SATS's growth in the last year to its industry (Infrastructure).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • SATS's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.
  • SATS's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • SATS's 1-year earnings growth is negative, it can't be compared to the Asia Infrastructure industry average.
Earnings and Revenue History
SATS's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from SATS Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SGX:S58 Past Revenue, Cash Flow and Net Income Data
Date (Data in SGD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 1,979.62 224.61 100.04
2019-09-30 1,898.02 234.21 103.94
2019-06-30 1,853.72 239.21 109.24
2019-03-31 1,828.02 248.41 113.24
2018-12-31 1,779.98 263.87 109.27
2018-09-30 1,755.78 261.57 105.97
2018-06-30 1,737.48 268.07 103.07
2018-03-31 1,724.58 261.47 103.47
2017-12-31 1,726.87 262.74 106.69
2017-09-30 1,727.97 261.24 108.29
2017-06-30 1,731.67 251.14 109.59
2017-03-31 1,729.37 257.94 109.59
2016-12-31 1,721.15 241.99 104.43
2016-09-30 1,721.25 237.49 105.13
2016-06-30 1,705.45 235.09 105.63
2016-03-31 1,698.15 220.59 108.13
2015-12-31 1,705.68 221.50 115.08
2015-09-30 1,715.38 214.60 119.78
2015-06-30 1,734.88 202.00 123.48
2015-03-31 1,753.18 195.70 124.98
2014-12-31 1,762.69 186.69 125.82
2014-09-30 1,777.49 175.89 126.42
2014-06-30 1,787.39 177.49 126.72
2014-03-31 1,786.69 180.39 124.92
2013-12-31 1,801.09 200.77 125.28
2013-09-30 1,806.19 204.87 126.58
2013-06-30 1,815.59 206.47 128.08

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • SATS has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • SATS used its assets more efficiently than the Asia Infrastructure industry average last year based on Return on Assets.
  • SATS's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess SATS's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Infrastructure industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
SATS has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is SATS's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up SATS's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • SATS is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • SATS's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of SATS's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 6.5x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from SATS Company Filings, last reported 3 months ago.

SGX:S58 Past Debt and Equity Data
Date (Data in SGD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 1,803.00 103.60 212.40
2019-09-30 1,805.60 99.90 223.60
2019-06-30 1,876.70 98.00 401.70
2019-03-31 1,817.12 95.44 349.86
2018-12-31 1,742.60 96.40 270.70
2018-09-30 1,742.10 96.40 281.70
2018-06-30 1,829.80 106.10 439.70
2018-03-31 1,766.62 105.88 373.28
2017-12-31 1,678.70 102.10 426.60
2017-09-30 1,681.00 103.90 471.40
2017-06-30 1,743.90 105.70 544.60
2017-03-31 1,691.18 107.48 505.80
2016-12-31 1,622.20 106.40 424.80
2016-09-30 1,604.80 119.70 452.70
2016-06-30 1,635.40 119.80 563.80
2016-03-31 1,565.11 109.58 489.86
2015-12-31 1,541.60 107.30 416.80
2015-09-30 1,526.40 108.60 402.90
2015-06-30 1,553.30 100.80 467.60
2015-03-31 1,517.55 104.96 410.91
2014-12-31 1,468.30 101.50 358.30
2014-09-30 1,503.80 109.50 338.40
2014-06-30 1,551.60 113.80 395.10
2014-03-31 1,514.37 113.47 340.81
2013-12-31 1,467.30 113.10 354.70
2013-09-30 1,484.40 123.50 395.80
2013-06-30 1,559.30 123.90 492.20
  • SATS's level of debt (5.7%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (6.9% vs 5.7% today).
  • Debt is well covered by operating cash flow (265%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 1724.7x coverage).
X
Financial health checks
We assess SATS's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. SATS has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is SATS's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
6.57%
Current annual income from SATS dividends. Estimated to be 6.26% next year.
If you bought SGD2,000 of SATS shares you are expected to receive SGD131 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • SATS's pays a higher dividend yield than the bottom 25% of dividend payers in Singapore (3.28%).
  • SATS's dividend is below the markets top 25% of dividend payers in Singapore (7.15%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
SGX:S58 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below
Asia Infrastructure Industry Average Dividend Yield Market Cap Weighted Average of 126 Stocks 3.5%
Singapore Market Average Dividend Yield Market Cap Weighted Average of 318 Stocks 5.7%
Singapore Minimum Threshold Dividend Yield 10th Percentile 1.8%
Singapore Bottom 25% Dividend Yield 25th Percentile 3.3%
Singapore Top 25% Dividend Yield 75th Percentile 7.1%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

SGX:S58 Future Dividends Estimate Data
Date (Data in SGD) Dividend per Share (annual) Avg. No. Analysts
2025-03-31
2024-03-31
2023-03-31
2022-03-31 0.19 8.00
2021-03-31 0.17 10.00
2020-04-06
2020-03-31 0.16 11.00
SGX:S58 Past Annualized Dividends Data
Date (Data in SGD) Dividend per share (annual) Avg. Yield (%)
2019-07-18 0.190 4.163
2018-06-20 0.180 3.585
2017-06-22 0.170 3.340
2016-06-20 0.150 3.096
2015-06-23 0.140 3.598
2014-11-13 0.130 4.194
2014-06-26 0.130 4.230
2014-02-11 0.150 4.845
2013-11-05 0.150 4.722
2013-05-15 0.150 4.624
2013-01-30 0.260 8.616
2012-05-14 0.260 9.489
2011-11-10 0.110 4.627
2011-05-16 0.110 4.612
2010-11-02 0.130 4.787
2010-05-06 0.130 4.712
2009-10-22 0.110 4.224

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of SATS's earnings are paid to the shareholders as a dividend.
  • Dividends paid are not well covered by earnings (1.1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.1x coverage).
X
Income/ dividend checks
We assess SATS's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can SATS afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. SATS has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of SATS's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Alex Hungate
COMPENSATION SGD3,336,800
AGE 52
TENURE AS CEO 6.3 years
CEO Bio

Mr. Alexander Charles Hungate, also known as Alex, has been the Chief Executive Officer and President of SATS Ltd., since January 1, 2014 and has been its Executive Director since July 27, 2011. Mr. Hungate served as the Chief Executive Officer of Singapore at The Hongkong and Shanghai Banking Corporation Ltd. Mr. Hungate served as the Chief Executive Officer of HSBC (Singapore) Ltd. since September 2010. He served as the Global Head of Personal Financial Services & Marketing and Group Managing Director of HSBC Holdings plc since September 03, 2007 and served as its Member of Group Management Board. He served as the President of Focus Group Accounts of Thomson Reuters UK Limited since September 2001 and its Managing Director of Asia since 2006. He served as Group Managing Director PFS & Marketing at HSBC Bank Egypt S.A.E. Mr. Hungate served as Chief Marketing Officer of Thomson Reuters UK Limited., from September 2001 to 2005 and served as its Managing Director of Asia Pacific Region from 2002 to 2006. He was Chairman of Factiva and HSBC Bank Turkey A.S. He served as Co-Chief Executive Officer of Reuters America and was responsible for sales to the Americas based Global Accounts, Finance, Marketing, Human Resources, Legal, Editorial operations and Latin America. He served as Co-Chief Operating Officer of Reuters America since January 2000 and was jointly responsible for the Americas operations. From 2001 to 2003, Mr. Hungate held responsibility for the relationships between Reuters and its largest customers. Mr. Hungate served senior sales and marketing positions in the Americas. He is Chairman of Asia Airfreight Terminal Company Limited, Food and Allied Support Services Corporation Pte. Ltd. and SATS BRF Food Pte. Ltd. He is Director at Air India SATS Airport Services Private Limited, Mumbai Cargo Services Centre Airport Private Limited, SATS (India) Co. Private Limited, SATS Investments Pte. Ltd., SATS Investments (II) Pte. Ltd., SATS Yihai Kerry Kunshan Food Co., Ltd., SATS Food Turkey Gida Hizmetleri Anonim Sirketi and SATS Investments Turkey Havacilik Yatirimlari Anonim Sirketi. He served as a General Manager of Reuters Marketing Information from 1996 to 1998. In 1994, he helped to found Reuters NewMedia in New York in the early days of the World Wide Web. He joined Reuters in 1993. Mr. Hungate served on strategy projects of Booz Allen & Hamilton in the United States, Europe and the Far East and as a strategy consultant, he advised clients in the media and high technology industries. During his 14 years at the news services group he was based in the UK, Hong Kong and the USA, holding positions including Director of Factiva, the web-based business news and information service. He serves as Chairman of TFK Corporation. He served as the Chairman of HSBC Futures (Singapore) Pte Ltd., HSBC Institutional Trust Services (Singapore) Limited, HSBC Global Asset Management (Singapore) Limited and HSBC Trustee (Singapore) Limited since September 15, 2010. He served as the Chairman of HSBC Bank A.S., a subsidiary of HSBC Holdings plc. since January 6, 2009. He has been an Independent Non-Executive Director of United Overseas Bank Limited since July 27, 2017. He is Member of Singapore Economic Development Board. He serves as a Non-Executive Director of HSBC Global Asset Management (Singapore) Limited. He has been a Director of HSBC Securities Services (Transfer Agency) Pte. Limited, HSBC Securities (Singapore) Pte Limited, Hang Seng Asset Management Pte Ltd., HSBC (Singapore) Nominees Pte Ltd., HSBC Fund Services (Singapore) Ltd. and HSBC Insurance (Singapore) Pte. Limited since September 2010. He served as a Director of HSBC Bank Egypt S.A.E. until September 2010. He served as a Non-Executive Independent Director of SATS Ltd. from July 27, 2011 to July 2013. He has been a Council Member of The Association of Banks in Singapore since September 2010 and Member of National Youth Achievement Award Association since January 19, 2011. Mr. Hungate holds an M.A. in Engineering, Economics and Management from Oxford University and an M.B.A. (Baker Scholar), from Harvard Business School in 1993.

CEO Compensation
  • Alex's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Alex's remuneration is lower than average for companies of similar size in Singapore.
Management Team Tenure

Average tenure and age of the SATS management team in years:

6.5
Average Tenure
59.5
Average Age
  • The average tenure for the SATS management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Alex Hungate

TITLE
President
COMPENSATION
SGD3M
AGE
52
TENURE
6.3 yrs

Manfred Seah

TITLE
Chief Financial Officer
AGE
58
TENURE
2.6 yrs

Pauline Tan

TITLE
Senior Vice President of Technology
TENURE
5.7 yrs

Prema Subramaniam

TITLE
Senior VP of Legal & Secretariat
TENURE
7.8 yrs

Carolyn Khiu

TITLE
Vice President of Public Affairs & Branding

Bob Chi

TITLE
Senior Vice President of Sales & Marketing
TENURE
4.3 yrs

Li Tan

TITLE
Chief Human Capital Officer
TENURE
8 yrs

Chuan Lye Tan

TITLE
Chairman of Food Solutions
COMPENSATION
SGD1M
AGE
69
TENURE
20.2 yrs

Yacoob Bin Ahmed Piperdi

TITLE
Chief Executive Officer of Gateway Services
AGE
61
TENURE
13.3 yrs

Helen Chan

TITLE
Senior Vice President of Integrated Supply Chain
TENURE
6.5 yrs
Board of Directors Tenure

Average tenure and age of the SATS board of directors in years:

3.8
Average Tenure
62.5
Average Age
  • The tenure for the SATS board of directors is about average.
Board of Directors

Euleen Goh

TITLE
Non-Executive Chairman
AGE
64
TENURE
3.8 yrs

Alex Hungate

TITLE
President
COMPENSATION
SGD3M
AGE
52
TENURE
8.8 yrs

Chee Meng Yap

TITLE
Independent Non Executive Director
AGE
64
TENURE
6.5 yrs

Soo Nan Tan

TITLE
Independent Non-Executive Director
AGE
70
TENURE
4 yrs

Michael Kok

TITLE
Independent Non-Executive Director
AGE
67
TENURE
5.1 yrs

Kim Yap

TITLE
Independent Non-Executive Director
AGE
70
TENURE
3.8 yrs

Achal Agarwal

TITLE
Independent Non-Executive Director
AGE
61
TENURE
3.6 yrs

Kim Huat Chia

TITLE
Independent Non-Executive Director
AGE
52
TENURE
3.1 yrs

Jessica Tan

TITLE
Independent Non-Executive Director
AGE
52
TENURE
3 yrs

Hong Wei Lee

TITLE
Independent Non-Executive Director
AGE
46
TENURE
1.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (SGD) Value (SGD)
28. Nov 19 Sell Pak Kuan Kok Individual 27. Nov 19 27. Nov 19 -30,000 SGD5.00 SGD-150,000
23. Apr 19 Buy BlackRock, Inc. Company 18. Apr 19 18. Apr 19 127,300 SGD5.25 SGD668,529
X
Management checks
We assess SATS's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. SATS has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Is SATS Ltd.'s (SGX:S58) High P/E Ratio A Problem For Investors?

See our latest analysis for SATS How Do I Calculate A Price To Earnings Ratio? … The formula for P/E is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for SATS: P/E of 22.35 = SGD4.8 ÷ SGD0.21 (Based on the trailing twelve months to June 2019.) Is A High Price-to-Earnings Ratio Good? … The higher the P/E ratio, the higher the price tag of a business, relative to its trailing earnings.

Simply Wall St -

How To Gain With SATS Ltd. (SGX:S58)

Below I take a look at three key features of what makes a robust defensive stock investment: its size, financial health and track record. … Volatility in the market is hardly detrimental to the financial health and business operations of a large, well-established company. … Next Steps: SATS makes for a robust long-term investment based on its scale, financial health and track record.

Simply Wall St -

Here's What We Think About SATS Ltd.'s (SGX:S58) CEO Pay

Check out our latest analysis for SATS How Does Alex Hungate's Compensation Compare With Similar Sized Companies? … When we examined a selection of companies with market caps ranging from S$2.8b to S$8.9b, we found the median CEO total compensation was S$1.4m. … We compared the total CEO remuneration paid by SATS Ltd., and compared it to remuneration at a group of similar sized companies.

Simply Wall St -

SATS (SGX:S58) Shareholders Booked A 62% Gain In The Last Five Years

(SGX:S58) shareholders have enjoyed a 62% share price rise over the last half decade, well in excess of the market return of around -5.8% (not including dividends). … During five years of share price growth, SATS achieved compound earnings per share (EPS) growth of 6.2% per year. … We note that for SATS the TSR over the last 5 years was 95%, which is better than the share price return mentioned above.

Simply Wall St -

Why It Might Not Make Sense To Buy SATS Ltd. (SGX:S58) For Its Upcoming Dividend

Earnings have been growing at a steady rate, but we're concerned dividend payments consumed most of the company's cash flow over the past year. … Earnings per share have grown somewhat, although SATS paid out over half its profits and the dividend was not well covered by free cash flow. … See what the 12 analysts we track are forecasting, with this visualisation of its historical and future estimated earnings and cash flow If you're in the market for dividend stocks, we recommend checking our list of top dividend stocks with a greater than 2% yield and an upcoming dividend.

Simply Wall St -

Are SATS Ltd. (SGX:S58) Investors Paying Above The Intrinsic Value?

Today, we will estimate the stock's intrinsic value by estimating the company's future cash flows and discounting them to their present value. … A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we need to discount the sum of these future cash flows to arrive at a present value estimate: 10-year free cash flow (FCF) forecast 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Levered FCF (SGD, Millions) SGD199.3m SGD206.0m SGD225.7m SGD236.3m SGD245.8m SGD254.4m SGD262.3m SGD269.9m SGD277.2m SGD284.4m Growth Rate Estimate Source Analyst x3 Analyst x5 Analyst x5 Est @ 4.72% Est @ 3.99% Est @ 3.49% Est @ 3.13% Est @ 2.88% Est @ 2.71% Est @ 2.59% Present Value (SGD, Millions) Discounted @ 7.77% SGD185.0 SGD177.4 SGD180.3 SGD175.2 SGD169.1 SGD162.4 SGD155.4 SGD148.3 SGD141.4 SGD134.6 ("Est" = FCF growth rate estimated by Simply Wall St) Present Value of 10-year Cash Flow (PVCF)= SGD1.6b After calculating the present value of future cash flows in the intial 10-year period, we need to calculate the Terminal Value, which accounts for all future cash flows beyond the first stage. … SGX:S58 Intrinsic value, July 24th 2019 The assumptions We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows.

Simply Wall St -

What Can We Make Of SATS Ltd.’s (SGX:S58) High Return On Capital?

ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business. … Author Edwin Whiting says to be careful when comparing the ROCE of different businesses, since 'No two businesses are exactly alike.' How Do You Calculate Return On Capital Employed? … The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for SATS: 0.12 = S$247m ÷ (S$2.4b - S$389m) (Based on the trailing twelve months to March 2019.) So, SATS has an ROCE of 12%.

Simply Wall St -

How Do Analysts See SATS Ltd. (SGX:S58) Performing Over The Next Year?

Looking at SATS Ltd.'s (SGX:S58) earnings update in March 2019, analysts seem cautiously bearish, with profits predicted to rise by 4.6% next year against the higher past 5-year average growth rate of 8.5%. … To reduce the year-on-year volatility of analyst earnings forecast, I've inserted a line of best fit through the expected earnings figures to determine the annual growth rate from the slope of the line. … SGX:S58 Past and Future Earnings, June 28th 2019 This results in an annual growth rate of 5.9% based on the most recent earnings level of S$248m to the final forecast of S$295m by 2022.

Simply Wall St -

Consider This Before Buying SATS Ltd. (SGX:S58) For The 3.7% Dividend

Dividend Growth Potential Given that the dividend has been cut in the past, we need to check if earnings are growing and if that might lead to stronger dividends in the future. … Conclusion To summarise, shareholders should always check that SATS's dividends are affordable, that its dividend payments are relatively stable, and that it has decent prospects for growing its earnings and dividend. … Second, earnings growth has been ordinary, and its history of dividend payments is chequered - having cut its dividend at least once in the past.

Simply Wall St -

How SATS Ltd. (SGX:S58) Could Add Value To Your Portfolio

Flawless balance sheet average dividend payer S58 is financially robust, with ample cash on hand and short-term investments to meet upcoming liabilities. … SGX:S58 Historical Debt, May 28th 2019 For those seeking income streams from their portfolio, S58 is a robust dividend payer as well. … SGX:S58 Historical Dividend Yield, May 28th 2019 Next Steps: For SATS, I've put together three pertinent factors you should further examine: Future Outlook: What are well-informed industry analysts predicting for S58’s future growth?

Simply Wall St -

Company Info

Description

SATS Ltd., an investment holding company, provides gateway services and food solutions in Singapore, Japan, and internationally. It operates in three segments: Food Solutions, Gateway Services, and Others. The company offers food solutions, including inflight and institutional catering; chilled, frozen, and retort food manufacturing; hospitality; and airline linen and laundry services. It also provides airport and cruise terminal services, including ground and cargo handling, passenger and security, baggage handling, apron, and cargo logistics services. In addition, the company offers airport cargo delivery management, food processing and distribution, business development and marketing, product development, travel facilitation, abattoir, pig auctioning, land logistics, beverage, and remote catering services, as well as technical and management services for agri–food business. Further, it is involved in the management of international cruise terminals; manufacture and sale of frozen foodstuffs; preparation and sale of inflight meals, frozen foods, seafood, meat and rice products, and vegetables and fruits; manufacture and sale of dry ice and ice cubes; sale of refrigerant and packaging material; and provision of manpower to inflight catering operators, as well as premises rental, and housekeeping and other allied services. The company serves airline, hospitality, healthcare, food, and airfreight and logistics industries, as well as government. The company was formerly known as Singapore Airport Terminal Services Limited. SATS Ltd. was founded in 1972 and is based in Singapore.

Details
Name: SATS Ltd.
S58
Exchange: SGX
Founded: 1972
SGD3,152,460,854
1,117,893,920
Website: http://www.sats.com.sg
Address: SATS Ltd.
20 Airport Boulevard,
SATS Inflight Catering Centre 1,
Singapore,
819659,
Singapore
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
SGX S58 Ordinary Shares Singapore Exchange SG SGD 12. May 2000
OTCPK SPAS.F Ordinary Shares Pink Sheets LLC US USD 12. May 2000
DB W1J Ordinary Shares Deutsche Boerse AG DE EUR 12. May 2000
Number of employees
Current staff
Staff numbers
17,700
SATS employees.
Industry
Airport Services
Transportation
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/06 12:56
End of day share price update: 2020/04/06 00:00
Last estimates confirmation: 2020/03/30
Last earnings filing: 2020/02/13
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.