ST Engineering Q1 revenue rises 11% to S$3.3 billion on strong segment growth

[SINGAPORE] ST Engineering posted an 11 per cent rise in revenue to S$3.3 billion for its first quarter ended Mar 31, 2026, from S$2.9 billion in the previous corresponding period.

This was due to strong revenue growth across all of its core business segments, the Singapore engineering giant said on Monday (May 18). 

Excluding the revenue of construction machinery unit LeeBoy, which was divested in September 2025, rebased group revenue grew 15 per cent year on year from S$2.8 billion.

No absolute net profit or earnings per share figures were disclosed for the quarter, though the group noted that its year-on-year net profit growth outperformed its rebased revenue growth.

An interim dividend of S$0.04 per share was declared for the quarter, unchanged from the year before.

By segment, the group’s defence and public security business contributed around S$1.4 billion in revenue, up 7 per cent from S$1.3 billion the previous year. 

This represents a rebased growth of 13 per cent when excluding LeeBoy’s prior-year contribution of S$79 million. This was helped by growth across all sub-segments and international defence contract momentum, ST Engineering said. 

The commercial aerospace segment contributed around S$1.3 billion in revenue, up 15 per cent from S$1.2 billion a year earlier. This was boosted by growth in engine maintenance, repair, and overhaul and nacelle deliveries.

The urban solutions and satcom segment’s revenue rose 18 per cent to S$525 million from S$446 million the year before. This was driven by an urban solutions revenue growth of more than 15 per cent and satcom revenue expansion exceeding 30 per cent.

The group also highlighted that it secured S$4.8 billion in new contract wins during the quarter, bringing its order book backlog to S$34.5 billion as at Mar 31, 2026. Out of this total, S$8 billion is expected to be delivered over the remainder of the year.

Regarding the ongoing conflict in the Middle East, the group stated that based on its current assessment, the direct financial impact is not material, noting that its FY 2025 Middle East revenue accounted for less than 3 per cent of group revenue.

Direct projects are “ongoing with minimal delays” and “limited supply chain disruptions”, ST Engineering said. 

Second-order indirect impacts, such as evolving inflationary pressures, potential economic downturns, further supply chain disruptions, and global air travel impacts, remain under assessment.

Shares of ST Engineering closed at S$10.37 on Friday, down S$0.15 or 1.4 per cent.