Market watchers, take a breath.
After a record-shattering run, the Straits Times Index (SGX: ^STI) has finally taken a breather, pulling back from the major 5,000-point milestone.
We have seen the index touch this historic level twice already this year – first on 12 February, following a massive Budget Day rally, and again just days ago on 18 March.
While a dip might make some investors jittery, it is actually the perfect time to separate the noise from the signal.
Today, we look at three blue-chip heavyweights that recently dropped their full-year results, and see if they are still worth your attention.
DBS Group Holdings (SGX: D05)
As Singapore’s largest bank, DBS is a great indicator of how our economy is doing.
Despite interest rates cooling down, which many feared would hurt bank profits, DBS proved its strength in FY2025.
Total income hit a record S$22.9 billion, up 3% from the year before.
While the profit margin on loans narrowed slightly because of lower market rates, the bank protected itself through smart financial planning and record growth in customer deposits.
The real star, however, was the money made from fees rather than interest.
Fee income jumped 18%, driven by a massive 29% surge in wealth management fees.
Even with a new 15% global tax rule pulling the final profit down slightly to S$10.9 billion, the main business engine is roaring.
The best part for shareholders is a huge 38% increase in total dividends to S$3.06 per share, which includes an extra cash return.
DBS is successfully shifting its growth engine from interest rates to high-value wealth management fees and higher dividends.
Keppel Ltd (SGX: BN4)
The new version of Keppel is no longer just a mix of different businesses; it is a global manager of assets like power plants and data centres.
In FY2025, the group proved its big shift is paying off.
Profit for its core business segments soared 39% to S$1.1 billion.
While an accounting loss tied to the pending sale of its M1 telco business weighed on the reported bottom line, the numbers that really matter are moving up.
The assets it manages reached S$95 billion, and the group is on track to hit S$100 billion by next year, with a clear plan to double its managed assets by 2030.
Keppel is also proving to be adept at selling off older assets to unlock cash, finding S$2.9 billion in value this year alone.
This efficiency allowed it to reward patient investors with a total payout of S$0.47 per share, up 38% from the previous year.
With a massive pipeline of data centres and a new power plant coming online in FY2026, the path for growth looks clear.
CapitaLand Integrated Commercial Trust (SGX: C38U), or CICT
For those who love steady rental income, CICT remains the top choice for stability.
In FY2025, the trust delivered its fifth year in a row of dividend growth, with the payout per unit rising 6.4%.
The trust achieved this through smart growth, such as taking full control of the CapitaSpring office tower, and active management, shown by selling Bukit Panjang Plaza for a price way higher than what its originally paid.
Operational excellence remains the backbone of the trust.
Occupancy across its malls and offices is very strong at 96.9%, and it is successfully raising rents for new tenants.
By lowering their borrowing costs and spending money to upgrade existing properties like the IMM Building, CICT is showing that even a giant landlord can still move quickly to stay ahead.
Get Smart: Quality Wins the Long Game
While the market index might go up and down, the foundations of these three giants remain anchored in growth and careful money management.
DBS is transforming into a wealth management powerhouse, Keppel is successfully changing into a manager of global infrastructure, and CICT continues to get more value out of every square foot of its property.
For the long-term investor, a pullback in the market is not a signal to leave.
Rather, it is an invitation to look closer at the companies that keep raising the bar and their payouts.
David Kuo expects many investors will be asking: “What should I invest in if blue chips are too expensive?” The answer lies in his framework for investing. Join his free webinar on 25 March and learn how to evaluate whether any blue chip has crossed the line from solid to overpriced, and what you can do about it. Register free now.
We’ve found 5 SGX-listed dividend stocks with strong track records in turbulent markets. If you want consistency in an uncertain world, start here.
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Disclosure: Calvina L. owns shares of DBS.
