SPH one of Asia's top value creators - Oct 15, 2005 (BT)
The Straits Times / The Business Times News On SPH
SPH one of Asia's top value creators
Oct 15, 2005
The Business Times
SINGAPORE Press Holdings has been ranked one of Asia's top value creators in delivering good returns to shareholders.
In a study of 462 top companies in Asia ex-Japan, SPH was ranked 15th for creating shareholder value. It was one of only two Singapore-based companies in the top 20. The other was Singapore Telecom, which ranked second.
Korea's Samsung Electronics came out tops in the study, which was carried out by CFO Asia - part of the London-based The Economist Group - and Marakon Associates, a global consulting firm.
The study stripped out background influences beyond the control of management, such as interest rate changes, shifts in investor optimism and the impact of natural catastrophes. An index was then applied to companies' market capitalisation to arrive at a five-year annual average dollar amount of excess shareholder value created.
With this approach, SPH generated a five-year average annual return of 8 per cent and created excess value of US$654 million for shareholders.
SPH chief executive Alan Chan said the results reaffirm the company's commitment to delivering maximum shareholder value. 'Since 1999 the company has returned about S$4 billion to shareholders in the form of dividends, capital reductions and share buy-backs,' he said.