Temasek Holdings is renowned for being a steady and long-term investor.
The global investment firm has 13 offices in nine countries with a total portfolio value of S$389 billion as of 31 March 2024.
Temasek boasts a solid performance track record, logging a 20-year total shareholder return (TSR) of 7% as of 31 March 2024.
Hence, it makes sense for investors to scrutinise the firm’s portfolio of holdings to look for solid investment ideas.
With 53% of its portfolio’s value allocated to Singapore, here are five Singapore blue-chip stocks that Temasek owns that you can consider adding to your watchlist.
DBS Group (SGX: D05)
DBS is Singapore’s largest bank by market capitalisation.
The lender provides a comprehensive range of banking, insurance, and investment services.
DBS reported a resilient set of results for the first quarter of 2025 (1Q 2025).
Total income rose 6% year on year to S$5.9 billion, aided by a 2% year-on-year increase in commercial book net interest income.
Operating profit before allowances also increased by 6% year on year to S$3.7 billion but net profit dipped by 2% year on year to S$2.9 billion because of the implementation of a global minimum tax rate of 15%.
DBS declared and paid a total dividend per share of S$0.75, up nearly 39% year on year, comprising an ordinary dividend of S$0.60 and a capital return dividend of S$0.15.
CEO Tan Su Shan highlighted the challenges arising from Trump’s raft of tariffs that may lead to trade disruptions and a global growth slowdown.
However, she also sees opportunities in new growth corridors and sectors with continued wealth inflows into Singapore.
SATS Ltd (SGX: S58)
SATS provides ground handling and catering services for airlines and also operates central kitchens that prepare food for corporations.
The group reported a sparkling set of results for its fiscal 2025 (FY2025) ending 31 March 2025.
Revenue rose 13% year on year to S$5.8 billion, led by an increase in business volumes and contributions from a growing network.
Operating profit soared 94.8% year on year to S$475.7 million while net profit shot up more than fourfold year on year to S$243.8 million.
The airline caterer’s free cash flow also more than doubled year on year to S$669.4 million for FY2025.
A final dividend of S$0.035 was declared, more than double the S$0.015 that was paid out last fiscal year.
This dividend brings the total dividend for FY2025 to S$0.05, more than triple the S$0.015 paid out for FY2024.
FY2025 also saw a 5.8% year-on-year rise in flights handled to 635,000 while aviation meals served climbed 21.1% year on year to 65.6 million.
Management expects this positive momentum to continue and is investing over S$250 million for Singapore Hub to upgrade its ground operations and cargo handling infrastructure.
Singapore Technologies Engineering (SGX: S63)
Singapore Technologies Engineering, or STE, is a technology and engineering company that serves customers in the aerospace, smart city, and defence sectors.
The engineering firm reported an encouraging business update for 1Q 2025 with revenue rising 8% year on year to S$2.9 billion.
All three of STE’s segments saw year-on-year revenue growth, with the Defence & Public Security division registering revenue growth of 18% year on year.
The group snagged contract wins of around S$4.4 billion for 1Q 2025, taking its order book to S$29.8 billion as of 31 March 2025.
STE held an Investor Day earlier this year and set ambitious five-year targets to grow group revenue by more than 2.5 times the global GDP rate to hit S$17 billion by 2029.
The engineering giant will also pay out a progressive dividend from 2026 onwards.
This incremental dividend will comprise one-third of the year-on-year increase in net profit.
Singtel (SGX: Z74)
Singtel is Singapore’s largest telecommunication company (telco), providing a range of mobile, pay TV, and broadband services.
The telco reported a solid set of financial results for FY2025.
Although operating revenue remained steady at S$14.1 billion, underlying operating profit jumped 20% year on year to S$1.4 billion.
Singtel’s underlying net profit improved by 9% year on year to S$2.5 billion.
A core ordinary dividend of S$0.067 and a value realisation dividend of S$0.033 were declared, taking the total FY2025 dividend to S$0.17.
This total dividend was higher than FY2024’s S$0.15.
Management expects operating profit (excluding associates contributions) to rise by high single digits for FY2026.
The group also raised its pipeline target for capital recycling to S$9 billion to be allocated for growth opportunities and the paying down of debt.
In addition, Singtel also established a S$2 billion share buyback programme whereby shares will be purchased in the open market, and then cancelled.
Seatrium Limited (SGX: 5E2)
Seatrium provides engineering solutions to the global offshore, marine, and energy industries.
The group operates shipyards, engineering, and technology facilities in Singapore, Brazil, China and other countries.
Seatrium reported a healthy turnaround for 2024 with revenue rising 27% year on year to S$9.2 billion.
Gross profit came in at S$291 million, reversing the prior year’s gross loss of S$209 million.
Underlying net profit stood at S$200 million.
Year-to-date, Seatrium’s order book stood at S$23.2 billion, a significant 43% year-on-year increase from S$16.2 billion.
With the return to profitability, Seatrium declared a final dividend of S$0.015.
During last year’s Investor Day, the group identified several key areas for further growth and set an ambitious target to achieve a return on equity of 8% by 2028 (2024’s ROE: 3.1%).
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Disclosure: Royston Yang owns shares of DBS Group.
