Sheng Siong has also declared an interim dividend of 3.1 cents per share for 1HFY2021, which represents a dividend payout ratio of 71%. This is down from the 3.5 cents distributed last year.
Supermarket operator Sheng Siong is no longer the super stock that analysts are looking at. With an end in sight for the Covid-19 pandemic, the stock is likely to normalise from here on, say analysts.
Already, in its latest 1HFY2021 results ended June, Sheng Siong recorded an 11.9% y-o-y drop in earnings to $65.9 million, bringing earnings per share to 4.39 cents, an 11.8% y-o-y decline from the previous year. This was as revenue fell by 8.8% y-o-y to $681.7 million, coming down from last year’s high base that was underpinned by an elevated demand from consumers panic buying as the government announced the circuit breaker measures.
