BOTH Seatrium and satellite communications equipment provider Global Invacom on Tuesday (Apr 9) filed notices of three consecutive years of losses based on audited full-year consolidated accounts.
Seatrium highlighted that its latest six-month average daily market capitalisation stood at S$7 million as at Monday.
Global Invacom’s latest six-month average daily market cap stood at S$13.7 million as at the same day, below the S$40 million requirement to avoid being placed on the Singapore Exchange (SGX) watch list.
According to rules under SGX’s listing manual, mainboard-listed companies will be placed on the watch list if they record pre-tax losses for the three latest consecutive financial years, and fail to maintain an average daily market cap of at least S$40 million over the last six months.
Watch-listed companies must take measures to satisfy these financial requirements within 36 months from the date they are placed on the list, otherwise they will be delisted from SGX or have their trading suspended with a view to delisting.
SGX conducts quarterly reviews to identify issuers to be included on the watch list. These take place on the first market day of March, June, September and December.
GET BT IN YOUR INBOX DAILY
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
Both companies noted that they will make an immediate announcement should they be notified by SGX that they will be placed on the watch list.
In Seatrium’s latest financials released on Feb 26, its H2 net loss widened to S$1.7 billion from S$118.3 million in the year-ago period. Loss per share (LPS) for the period stood at S$0.0246, as opposed to LPS of S$0.0038 in H2 FY2022.
For FY2023, Seatrium’s net loss stood at S$1.9 billion, compared with a loss of S$261.1 million the prior year, with LPS at S$0.0312 versus S$0.0083. Its revenue for the year was S$7.3 billion compared with S$1.9 billion in FY2022.
Global Invacom posted a narrowed net loss of US$963,000 for FY2023, versus a net loss of US$15.5 million in FY2022. This translated to LPS of US$0.0035, as opposed to the prior year’s US$0.0572. The group attributed its narrower net loss to cost-saving measures which had been in place since Q3 FY2022, despite a 11.5 per cent decline in revenue.
On Monday, shares of Seatrium : S51 0%closed flat at S$0.085, and shares of Global Invacom : QS9 0% closed down 1.8 per cent or S$0.001 at S$0.056.
