The Christmas season is upon us.
From office party platters to luxury watches wrapped in ribbons, this seasonal surge presents an opportunity to examine companies poised to benefit.
Here are three small-cap stocks participating in Singapore’s Christmas rush, each offering a different slice of the festive pie.
Delfi Ltd (SGX: P34)
When it comes to affordable indulgence, chocolate remains a festive staple.
Delfi manufactures and distributes chocolate confectionery products across 17 countries, including Singapore, Malaysia, and the Philippines.
The group owns flagship brands SilverQueen, Ceres, and Delfi, which command strong market positions in Indonesia.
For the first nine months of 2025 (9M2025), net sales rose 1.6% year-on year (YoY) to US$384.4 million.
While Indonesia net sales dipped 1.7% YoY to US$236.2 million, Regional Markets, which includes Singapore, grew 7.2% YoY.
The real story lies in cash generation.
Free cash flow soared to US$48.9 million for 9M2025, up from US$18.9 million a year ago.
The improvement stemmed from disciplined working capital management, with inventory and receivables reductions driving working capital down by US$15.8 million.
As at 30 September 2025, the group held cash of US$70.1 million against borrowings of just US$19.3 million.
At S$0.80, Delfi shares provide a 3.6% dividend yield.
Old Chang Kee Ltd (SGX: 5ML)
No Singapore gathering is complete without a platter of curry puffs.
Old Chang Kee, or OCK, operates a chain of retail outlets selling quick-service food products.
The group is best known for its signature Curry’O—a curried potato and chicken filling encased in deep-fried pastry.
OCK also sells spring rolls, chicken wings, noodle dishes, and beverages, operating primarily in Singapore with a small presence in Malaysia.
For the first half ended 30 September 2025 (1HFY2026), OCK reported revenue of S$51.9 million, edging up 0.2% YoY.
Revenue growth was driven by incremental contributions from new and existing outlets, alongside higher delivery and catering sales — a promising sign heading into the party season.
Net profit, though, declined 19.3% YoY to S$5.0 million as profitability came under pressure from rising costs.
Gross margins compressed by 0.2 percentage points to 69.3% due to higher food costs and increased production staff expenses.
Despite the margin pressure, free cash flow remained decent at S$8.8 million.
More importantly, OCK maintains a robust balance sheet.
As at 30 September 2025, the group held total cash of S$57.3 million against debt of just S$1 million, representing a net cash position of S$56.3 million.
The board declared an interim dividend of S$0.01 per share, payable in December, just in time for last-minute Christmas shopping.
At S$1.12, Old Chang Kee shares provide a 1.8% dividend yield.
The Hour Glass (SGX: AGS)
At the other end of the spending spectrum sits The Hour Glass, or THG.
The specialty luxury watch retailer operates over 70 boutiques across 15 cities in the Asia-Pacific region.
THG is an official retailer of prestigious Swiss watch brands including Rolex, Patek Philippe, Audemars Piguet, Cartier, Hublot, and Chopard.
For those seeking milestone gifts this Christmas, THG’s results suggest appetite for luxury timepieces remains robust.
For the first half of fiscal 2026 ending 30 September 2025 (1HFY2026), revenue rose 14% YoY to S$615.4 million.
Profit attributable to owners climbed 23% YoY to S$75.7 million.
The stronger performance was underpinned by robust sales across the group’s boutique network, with gross margins remaining stable at 30.8%.
Free cash flow surged to S$95.3 million, up from S$39.4 million a year ago, driven by improved working capital management.
As at 30 September 2025, the group held cash and bank balances of S$196.1 million against borrowings of S$86.5 million.
An interim dividend of S$0.02 per share was declared, payable on 8 December 2025.
At S$2.28, shares offer a 2.6% dividend yield.
Get Smart: Cash goodies for Christmas
From chocolate to curry puffs to Cartier, these three small caps offer different ways to participate in Singapore’s festive spending.
What unites them is financial strength.
Delfi sits on US$70.1 million in cash with free cash flow that more than doubled YoY.
Old Chang Kee boasts a net cash position of S$56.3 million, a handsome sum for a company of its size.
The Hour Glass holds S$196.1 million in cash with free cash flow surging to S$95.3 million.
For income investors, these cash-rich positions support dividend sustainability.
Two of the three are paying dividends in December, providing a small gift for shareholders this holiday season.
As always, the key is to match your investment to your own goals and risk appetite.
But if you’re looking for small-cap exposure with dividend income and financial resilience, these three festive plays deserve a closer look.
Singapore’s stock market is moving and dividend investors who prepare early could benefit the most. Join us for a special webinar, The Big Singapore Stock Market Rebound (2026’s Dividend Opportunity), breaking down the rebound, the sectors to watch, and the signals smart investors are tracking now. Save your free spot now.
A new S$5 billion initiative is changing the landscape for Singapore investors. We dug into 5 local companies that could benefit most — names you probably already know. The best part? They’re paying dividends while you wait. See the full findings inside our latest FREE report here.
Follow us on Facebook, Instagram and Telegram for the latest investing news and analyses!
Disclosure: Calvina does not own any of the shares mentioned. Chin Hui Leong contributed to the article and does not own any of the shares mentioned.
