SINGAPORE, Feb 3, 2026, 15:46 SGT — Regular session
- Keppel shares climbed 1.49% to S$10.91 during afternoon trading
- Infrastructure division secures roughly S$600 million in fresh O&M and engineering contracts
- Full-year results are set for release before the market opens on Feb 5
Keppel (SGX: BN4) shares climbed 1.49% to S$10.91 by 3:18 p.m., up from Monday’s close of S$10.75.
Keppel’s infrastructure arm has landed roughly S$600 million in new contracts covering proprietary technology, engineering solutions, and operating-and-maintenance services. These deals involve both upgrades at current sites and new construction projects, boosting its long-term contracted revenue backlog for decarbonisation and sustainability solutions past S$7.1 billion. Revenue from these contracts is projected over a 10 to 15-year span. Cindy Lim highlighted that these wins reflect “growing traction” for the group’s integrated “Solutions-as-a-Service” model, which relies on subscription-style offerings designed to cut operating and manpower expenses. The Edge Singapore
Why it matters now: traders see contract-backed revenue as the more reliable aspect of Keppel’s business, particularly when projects shift into steady service fees rather than one-time profits.
The news arrives just before earnings, as investors hunt for shifts in guidance on cash returns, margin trends, and the pace at which backlog turns into revenue.
Keppel announced in January that it plans to release its second-half and full-year 2025 financial results ahead of market open on Feb 5.
The company is shifting focus toward asset management and operations, spanning infrastructure, real estate, and connectivity sectors, including data centres and associated services.
Keppel landed new contracts involving district cooling projects in Singapore, notably connecting Fusionopolis 2A with plants servicing Biopolis and Mediapolis. The company also secured deals in India, Thailand, and the Philippines. It said this interconnection helps create a chilled-water thermal grid that supports over 25 developments.
Long-dated service contracts aren’t without risks. Execution and cost control are crucial, and some projects require hefty upfront costs before steady cash flow kicks in. Any slowdown in the pipeline, delays, or squeezed service pricing could put the “recurring” revenue claim to the test.
Investors will be eyeing Feb 5 closely, when Keppel releases its report. That update should offer new insights into order momentum, cash flow, and hints on dividends and capital moves.
