Temasek Holdings is well-known for having a long-term investment mindset.
The investment firm recently released its 2025 Annual Review and reported a 20-year total shareholder return of 7%.
This is an impressive performance considering the portfolio went through both the Global Financial Crisis and the recent COVID-19 pandemic.
We teased out four Singapore blue-chip stocks in which Temasek has a stake.
These companies all possess great prospects and should seriously be considered for your buy watchlist.
Sembcorp Industries (SGX: U96)
Sembcorp Industries, or SCI, is an energy and urban solutions provider.
The group has a balanced energy portfolio of 25.1 GW and urban development projects that span 14,400 hectares across Asia.
For 2024, revenue fell 9% year on year to S$6.4 billion because of a planned maintenance for a major cogeneration plant in Singapore, along with lower electricity wholesale prices.
Net profit excluding exceptional items, however, stayed flat year on year at S$1.02 billion.
SCI more than doubled its final dividend from S$0.08 to S$0.17, taking the total dividend for 2024 to S$0.23.
CEO Wong Kim Yin said the higher dividend reflects management’s confidence in SCI’s future performance and its ability to generate sustainable returns.
The group announced a strategic reorganisation back in March 2025 to prepare for stronger growth.
Last month, SCI completed the acquisition of an additional interest in Senoko Energy, lifting its stake to 50%.
The group was also awarded its first round-the-clock power project in India that will see it integrate 300 MW of installed capacity comprising solar, wind, and battery energy storage solutions.
Keppel Ltd (SGX: BN4)
Keppel Ltd is a global asset manager with expertise in the infrastructure, real estate, and connectivity sectors.
Back in 2020, the group launched its Vision 2030 strategic plan to simplify the organisation, become more asset-light, and generate higher levels of recurring income.
For the first quarter of 2025 (1Q 2025), Keppel reported progress towards its goals.
Its 1Q 2025 net profit (excluding its legacy offshore and marine assets) was 25% higher than a year ago, led by stronger asset management performance.
Asset management fees rose 9% year on year to S$96 million for the quarter, with total capital commitments of S$2 billion secured for new private funds.
Keppel also made good progress for its asset monetisation programme with S$347 million announced in the year-to-date 2025, mainly from its China and Vietnam real estate projects.
Another S$550 million of deals are in advanced stages of negotiation.
Keppel’s funds under management targets are progressing well and are on track to meet its target of S$200 billion by the end of 2030, as communicated during its recent Investor Day.
Singapore Technologies Engineering (SGX: S63)
Singapore Technologies Engineering, or STE, is an engineering and technology group that serves the aerospace, smart city, and defence sectors.
Revenue for 1Q 2025 rose 8% year on year to S$2.9 billion, with all three divisions posting year-on-year growth.
Contract wins for the quarter were encouraging, totalling around S$4.4 billion.
STE’s order book rose to a multi-year high of S$29.8 billion as of 31 March 2025, of which S$7.3 billion is expected to be delivered this year.
There could be more growth in store for STE as it unveiled its 2029 targets during its 2025 Investor Day.
The engineering giant is aiming to grow its revenue at a faster rate than the global GDP growth rate.
It is also instituting a progressive dividend policy to pay out steadily increasing dividends.
For 2025, STE has announced a total dividend of S$0.18, one cent more than 2024’s S$0.17.
From 2026, the group will pay out an incremental dividend equivalent to one-third of the year-on-year increase in net profits.
DBS Group (SGX: D05)
DBS Group is Singapore’s largest bank by market capitalisation and offers a wide range of banking, investment, and insurance services.
The bank has enjoyed robust net interest income growth as interest rates surged to multi-year highs back in 2022.
For 1Q 2025, the lender saw total income rise 6% year on year to S$5.9 billion as commercial book net interest income inched up 2% year on year to S$3.7 billion.
An increase in wealth management and credit card fees helped boost DBS’s non-interest income to S$1.3 billion for the quarter, up 22% year on year.
Net profit, however, dipped slightly by 2% year on year to S$2.9 billion because of the imposition of a 15% global minimum tax rate.
In line with this strong showing, DBS declared a core interim dividend of S$0.60 and a capital return dividend of S$0.15, taking its total 1Q 2025 dividend to S$0.75.
This dividend was significantly higher than the S$0.54 paid last year.
The latest US jobs and inflation data point to a scenario of “higher for longer” interest rates as the central bank hesitates to slash rates for fear of reigniting inflation.
As a result, DBS should enjoy buoyant net interest income and continue to enjoy increased fees from wealth management and card spending.
CEO Tan Su Shan also sees opportunities for DBS in the form of new growth corridors and sectors, with potential loan growth if rates do fall.
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Disclosure: Royston Yang owns shares of DBS Group.