Kep Corp - Finally breakout today after yesterday failure to break!

SINGAPORE - Keppel Corp, the world's largest offshore oil rig builder, reported on Thursday a better-than-expected 13 per cent rise in its first quarter net profit as a strong performance for its property arm compensated for a falling marine orderbook.

The conglomerate, whose interests span from offshore and marine engineering to property and infrastructure, earned S$322 million (US$234.7 million) in the three months to March, up from S$285 million a year ago, and compared to Thomson Reuters I/B/E/S estimates of S$246 million.

Keppel and rival Sembcorp Marine benefited from a significant jump in oil exploration in the several years leading up to the financial crisis, but oil prices have since weakened, resulting in a steady decline for rig building orderbooks.

Keppel said last year it aimed to secure S$2 billion in orders in 2010, but in the first quarter alone the company has managed to secure S$1.6 billion worth of new orders.

Analysts are expecting the company, which has a market value of US$11 billion, to book a lower net profit of S$1.05 billion in 2010, down 17 per cent from S$1.26 billion made in 2009.

KepCorp aims to list infrastructure unit K-Green in 2Q 2010


By ANGELA TAN

Keppel Corporation Ltd said on Thursday that it is expecting to list its infrastructure division, K-Green Trust, in the second quarter of 2010.

KepCorp said the business trust, with Senoko WTE Plant, Ulu Pandan NEWater Plant and Keppel Seghers Tuas WTE Plant as seed assets will offer a new value-creating earnings platform for the group.