Keppel highlights strong core earnings, infrastructure momentum at 58th AGM

Keppel Corporation Limited ( (SG:BN4) ) has provided an announcement.

Keppel Ltd.’s 58th annual general meeting highlighted a year of strong progress in 2025 as the “New Keppel” sharpened its positioning as a global asset manager and operator. The company reported a 39% year-on-year rise in net profit from its core “New Keppel” operations to $1.1 billion, driven by all business segments and record earnings from its Infrastructure Division, though overall net profit declined to $789 million due to an accounting loss linked to the proposed sale of M1’s telecom business.

Funds under management climbed to $95 billion, with asset management net profit up 15% and recurring income from asset management and operations rising 21% to $941 million. Keppel continued its portfolio monetisation, announcing $2.9 billion of divestments in 2025 and lifting cumulative asset sales to $14.5 billion since October 2020, while targeting a further $13.5 billion of non-core asset monetisation by 2030.

Management underscored stronger financial metrics, including improved return on equity, healthy net debt levels and robust free cash inflows, as Keppel becomes leaner and more agile. The company delivered a total shareholder return of 58.5% in 2025, advanced its share buyback programme and proposed higher total dividends, including special payouts, reinforcing its focus on shareholder returns.

Operationally, the Infrastructure Division delivered record earnings and resilient integrated power performance, alongside progress at the Sakra Cogen Plant, expansion in decarbonisation and sustainability solutions, and continued investment in connectivity and data centre infrastructure. The Bifrost subsea cable system entered commercial operations and is expected to contribute meaningfully to recurring income, with remaining fibre pairs drawing heightened interest from hyperscalers amid geopolitical shifts in data routing.

During the Q&A, management emphasised that Keppel’s private credit funds focus on asset-backed infrastructure loans with long-term contracts, which they view as offering attractive risk-adjusted returns compared with unsecured U.S.-style private credit exposure. They also highlighted that the M1 divestment is pending regulatory approval, that energy cost pressures are unlikely to derail data centre growth in Singapore, and that construction of a fully pre-committed floating data centre is under way, underscoring Keppel’s push into innovative digital infrastructure despite global uncertainties.

The most recent analyst rating on (SG:BN4) stock is a Buy with a S$13.80 price target. To see the full list of analyst forecasts on Keppel Corporation Limited stock, see the SG:BN4 Stock Forecast page.

More about Keppel Corporation Limited

Keppel Ltd. is a Singapore-based global asset manager and operator focused on infrastructure, energy transition, digitalisation and alternative real assets. The company has transformed from a diversified industrial conglomerate into a leaner, asset-light platform, growing funds under management to $95 billion and building recurring income from asset management and operations across power, data centres, connectivity and related infrastructure.

Average Trading Volume: 5,726,165

Technical Sentiment Signal: Buy

Current Market Cap: S$19.04B

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