Eventful week for market, with Budget buzz and MAS measures

Watch out for volatility in global and local markets this week as US releases GDP data

- Kang Wan Chern

UOB shares hit an all-time high of $39.20 last week, buoyed by record net profits in 2024 and treats for shareholders in the form of dividends.

The Singapore bank on Feb 19 reported $6 billion in net profits for 2024, driven by strong fee, trading and investment income.

It declared a higher final dividend of 92 cents per share for the second half of 2024, up from 85 cents the year before, bringing its full-year dividend to $1.80 per share, representing a payout ratio of about 50 per cent.

UOB proposed a special dividend of 50 cents per share to be paid over two tranches in 2025, returning $800 million in excess capital to shareholders to mark its 90th anniversary in 2025.

A $2 billion share buyback plan, where UOB shares will be purchased by the bank and subsequently cancelled, was also announced.

Deputy chairman and chief executive Wee Ee Cheong said on Feb 19 that he expects revenues to continue growing as returns from regional investments kick in.

He acquired 200,000 UOB shares on Feb 19 at an average price of $38.65 per share.

The bank closed the week at $38.38.

Meanwhile, Seatrium shares fell by more than 4 per cent to close at $2.38 on Feb 21, despite announcing its first full-year profit since 2017 and proposing a dividend of 1.5 cents per share.

The offshore and marine specialist posted a net profit of $157 million for 2024, bouncing back from a net loss of $2 billion the year before.

It secured new orders worth $15.2 billion from new and repeat customers during the year, the highest new order wins in a decade.

Genting Singapore also fell after announcing its full-year results.

It closed on Feb 21 at 75 cents, down 3.2 per cent after reporting a 5 per cent year-on-year drop in 2024 earnings to $578.9 million the day before.

This was despite a 5 per cent rise in revenue to $2.5 billion for the period.