For investors seeking a steady stream of passive income, identifying companies with a consistent history of dividend payouts is paramount. These dividends can provide valuable supplementary income and contribute to maintaining one's lifestyle, especially as retirement approaches. Several Singapore-listed companies are poised to reward their shareholders with dividends in April. Here’s a look at four such stocks:
DBS Group (SGX: D05): Banking on Robust Performance
Singapore’s largest bank by market capitalization, DBS Group, has announced a strong set of results for the fiscal year 2024, driven by favorable interest rate conditions and the strength of its underlying business. The blue-chip lender reported a 10% year-on-year increase in total income, reaching S$22.3 billion, while profit before allowances saw an 11% rise to S$13.4 billion. Net profit also reached a new record, climbing 11% year on year to S$11.4 billion.
The bank’s net interest margin for 2024 stood at a healthy 2.13%. DBS has declared a final dividend of S$0.60 per share, a significant 22.4% increase from the previous year’s S$0.49 and also higher than the preceding quarter's S$0.54 payout. Subject to approval at the upcoming Annual General Meeting, this dividend is scheduled for distribution on April 16th.
Looking ahead, DBS has exciting news for income investors: a new capital return dividend of S$0.15 per share per quarter will be introduced in addition to the regular S$0.60 dividend. This translates to a total quarterly dividend of S$0.75 per share starting in 2025, signaling a strong commitment to shareholder returns.
Civmec (SGX: P9D): Navigating Market Shifts While Maintaining Dividends
Civmec, an integrated construction and engineering services firm with a focus on the energy, resources, infrastructure, and marine & defence sectors, reported a mixed performance for the first half of fiscal year 2025 (1H FY2025), ending December 31, 2024. While revenue saw a slight dip of 2.2% year on year to A$502.9 million, net profit experienced a more significant decline of nearly 17% to A$26.5 million.
Despite the profit decrease, Civmec has decided to maintain its interim dividend at A$0.025 per share, demonstrating a degree of resilience and commitment to shareholders. This dividend is scheduled to be paid on April 11th, 2025.
The company noted that tendering activity remains robust; however, shifts in market conditions have led to delays in the awarding of key projects and some rescheduling. These delays are expected to result in lower activity in the second half of FY2025, potentially extending into the first half of FY2026. As of December 31, 2024, Civmec’s order book stood at A$633 million, down from A$1 billion in the previous year. Investors will be watching closely to see how the company navigates these evolving market dynamics.
Aztech Global (SGX: 8AZ): Higher Dividends Despite Weaker Demand
Aztech Global, a designer and manufacturer specializing in IoT devices and data communication products with manufacturing facilities in China and Malaysia, reported a decline in its 2024 financial results. Revenue fell by 30.6% year on year to S$621.6 million due to reduced customer demand in the latter part of the year. Consequently, net profit also decreased by 29.5% year on year to S$70.5 million.
Interestingly, the group’s free cash flow saw a substantial increase of 38.7% year on year to S$109.9 million for 2024. Despite the lower profitability, Aztech Global has announced a final dividend of S$0.03 and a special dividend of S$0.07, bringing the total dividend for 2024 to an impressive S$0.15, significantly higher than the S$0.08 distributed in the previous year. These dividends are scheduled for payment on April 29th, 2025.
Looking ahead, the company anticipates continued weaker demand due to geopolitical tensions and trade restrictions. However, Aztech Global secured seven new customers in 2024, with commercial production expected to commence this year. Additionally, five new products entered commercial production in the final quarter of 2024, and the company is actively seeking potential acquisitions to broaden its customer base. The higher dividend payout despite a challenging year could be seen as a positive sign for investors, but the uncertain outlook warrants careful consideration.
IHH Healthcare Berhad (SGX: Q0F): Healthy Growth and Increased Payouts
IHH Healthcare, an integrated healthcare provider with a wide network of hospital brands across Singapore, Malaysia, Turkey, and other regions, reported strong financial results for 2024. Revenue surged by 16% year on year to RM 24.4 billion. While net profit saw a 10% year-on-year decrease to RM 2.7 billion, this was attributed to exceptional and one-off items. Excluding these, the company’s core net profit would have seen a substantial 32% year-on-year increase to RM 1.7 billion.
The healthcare giant also generated a healthy free cash flow of RM 1 billion. Reflecting its solid performance, IHH Healthcare has declared a final dividend of RM 0.055, bringing the total dividend for 2024 to RM 0.10, an increase from the RM 0.09 paid out in the previous year. This final dividend is scheduled for payment on April 28th, 2025.
The group expresses confidence in its future growth, driven by increasing healthcare needs across the region. IHH Healthcare plans to add approximately 4,000 new beds over the next four years and is also focusing on expanding its ambulatory care services and improving primary care penetration in selected markets. This expansion and strategic focus suggest a positive outlook for continued growth and potential for future dividend increases.
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