Singapore-based asset manager Keppel reported a sharp 59% decline in first-half net profit to S$155 million, weighed down by significant impairments in its legacy offshore and marine segment and costs associated with the M1 deal.
The results, released on Thursday, underscore the financial drag from the company's traditional energy infrastructure business as it pivots toward renewable energy and real estate.
6% to S$3.8 billion, driven by strong momentum in the firm's newer business lines.
Despite the bottom-line contraction, top-line performance remained robust.
Group revenue climbed 24.6% to S$3.8 billion, driven by strong momentum in the firm's newer business lines.
Management emphasized that the core 'New Keppel' operations, which focus on sustainable infrastructure and data centers, grew by 25% during the period, signaling that the strategic transformation is gaining traction even as legacy assets continue to impair earnings.
The divergence between revenue growth and profit decline highlights the transitional nature of Keppel's portfolio.