Receiving a dividend is always a happy occasion.
But what if you could see a dividend credited into your bank account every three months rather than waiting for a year or six months to receive one?
Stocks that pay out quarterly dividends do exactly that.
Whether they are blue-chip stocks, REITs or mid-sized companies, these five Singapore stocks dish out a reliable dividend every quarter.
DBS Group (SGX: D05)
DBS is Singapore’s largest bank by market capitalisation and provides a comprehensive range of banking, investment, and insurance services to corporations and individuals.
The lender reported a strong set of earnings for the first nine months of 2023 (9M 2023).
Total income rose 27% year on year to S$15.2 billion, buoyed by a 46% year-on-year jump in net interest income to S$10.6 billion.
The higher income was contributed by elevated interest rates that look set to remain higher for longer according to the latest minutes from the US Federal Reserve.
DBS’s net profit climbed 33% year on year to S$7.8 billion for 9M 2023.
The bank declared a quarterly dividend of S$0.48, similar to the second quarter of 2023 but 33% higher than the S$0.36 paid out a year ago.
CEO Piyush Gupta believes that this year should see net interest income hovering at 2023’s levels with net profit holding steady.
Singapore Exchange Limited (SGX: S68)
Singapore Exchange Limited, or SGX, is Singapore’s sole stock exchange operator.
The group operates a platform for the buying and selling of a wide range of securities such as equities, bonds, and derivatives, among others.
The bourse operator reported a commendable set of earnings for its fiscal 2023 (FY2023) ending 30 June 2023.
Revenue rose 8.7% year on year to S$1.2 billion while core net profit increased by 10.3% year on year to S$503.2 million.
In line with the good results, the group raised its quarterly dividend from S$0.08 to S$0.085, increasing its annual dividend to S$0.34 from the previous S$0.32.
SGX reported strong numbers for its iron ore commodities trading division and a record performance for its foreign exchange franchise for FY2023.
Management aims to grow revenue by high-single-digits year on year in the medium term while increasing its dividend by mid-single-digits year on year (subject to earnings growth).
UMS Holdings Ltd (SGX: 558)
UMS provides equipment manufacturing and engineering services to original equipment manufacturers (OEMs) of semiconductors and related products.
The group also supports industries such as oil and gas, electronics, and machine tools.
UMS reported a downbeat set of earnings for 9M 2023 as the semiconductor cycle experienced a sharp dip last year.
Revenue fell by 17% year on year to S$226.4 million while net profit plunged 46% year on year to S$44.3 million.
However, the business continued to generate a healthy free cash flow of S$26.5 million for 9M 2023, slightly higher than the prior year’s S$26.2 million.
UMS declared and paid out a quarterly dividend of S$0.012, 20% higher than the S$0.01 paid last year.
iFAST Corporation Limited (SGX: AIY)
iFAST is a financial technology company that runs a platform for the buying and selling of unit trusts, shares, and bonds.
The group announced a sparkling set of earnings for 9M 2023 with net revenue rising by 18.1% year on year to S$104.5 million.
Net profit nearly tripled year on year from S$5.1 million to S$15.1 million.
The fintech also enjoyed net inflows of S$1.6 billion for 9M 2023, bringing its assets under administration to a new high of S$19.12 billion as of 30 September 2023.
A quarterly dividend of S$0.013 was declared and paid for the third quarter of 2023, similar to what was paid out a year ago.
iFAST expects revenue and profitability for this year to show robust growth compared to 2023 with its Hong Kong ePension contract recognition kicking in full force.
Mapletree Logistics Trust (SGX: M44U)
Mapletree Logistics Trust, or MLT, is a logistics REIT with a portfolio of 189 properties across eight countries with assets under management of S$13.3 billion as of 30 September 2023.
The REIT reported a good performance for the second quarter of fiscal 2024 (2Q FY2024).
Revenue inched up 1.5% year on year to S$186.7 million with net property income rising by 1.2% year on year to S$162 million.
Distribution per unit edged up 0.9% year on year to S$0.02268 for 2Q FY2024.
MLT maintained a high portfolio occupancy of 96.9% and reported a positive rental reversion of 0.2% for the quarter.
The logistics REIT completed the acquisition of eight properties last year for S$904.4 million and is moving ahead with an asset enhancement to redevelop 51 Benoi Road in Singapore to increase its gross floor area.
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Disclosure: Royston Yang owns shares of DBS Group, iFAST Corporation and Singapore Exchange Limited.
