SINGAPORE: If you’re on the hunt for lucrative investment opportunities, blue-chip stocks have long been a go-to for both new and seasoned investors due to their stability and strong earnings potential. With the financial landscape constantly changing, it's crucial to keep an eye on stocks that show significant profit growth. Here are three blue-chip stocks in Singapore that are on a remarkable upward trajectory.

1. United Overseas Bank (UOB)

Singapore's third-largest bank, UOB, has revealed impressive results for Q3 2024, showcasing its robust financial health. The bank's net interest income climbed by 1% year-on-year to S$2.5 billion, with fee income experiencing a notable increase of 7% YoY, reaching S$630 million.

The biggest highlight was UOB's non-interest income, which surged 70% YoY to S$744 million, helping total income rise by 11% to S$3.8 billion. Net profit also saw a significant jump, increasing by 16% YoY to S$1.6 billion. The bank reports a solid loan growth of 5% YoY, now totaling S$334 billion, while its net interest margin stabilized at 2.05%.

Looking ahead, UOB is optimistic for 2025, predicting sustained loan growth and robust performance in fees, particularly driven by wealth management and increased credit card spending. With plans to leverage S$2 billion to S$2.5 billion in extra capital, UOB is well-positioned to either invest in growth or enhance shareholder returns through dividends or share buybacks.

2. Singtel

As Singapore’s largest telecommunications provider, Singtel has experienced mixed results in its recent fiscal outlook. For the first half of FY2025, their operating revenue dipped slightly by 0.5% to S$7 billion, yet operating profit climbed 7.4% YoY to S$1.9 billion.

Despite a significant 42% drop in net profit attributed to exceptional gains in the previous year, Singtel's underlying profit showed resilience with a 6% YoY increase. The company has decided to raise the interim dividend by a remarkable 35% to S$0.07, thanks to strong performances from its Australian subsidiary, Optus, which posted a whopping 58% growth in operating profit.

Singtel's strategy focuses on active capital management and profit improvement, as they gear up for a competitive telecom landscape.

3. SATS Ltd

SATS, known for its air cargo handling and food catering services, has reported stellar earnings for the first half of FY2025. Their revenue skyrocketed by 14.8% YoY to reach S$2.8 billion, and operating profit surged from S$72 million to an impressive S$240.1 million.

With a turnaround from a net loss of S$7.8 million last year to a net profit of S$134.7 million, SATS has also posted a positive free cash flow of S$113.2 million. The company is experiencing substantial growth in its operations, handling 5.5% more flights and growing cargo tonnage by 17.5%.

As travel demand rebounds, SATS is positioned for continued growth, and they have announced an interim dividend of S$0.015 as a gesture of their ongoing financial success.

In conclusion, these three blue-chip stocks represent significant potential for investors looking for stability and growth in their portfolios. With each company making strategic moves for the future, now may be the perfect time to consider these profitable opportunities!

Disclaimer: This article is intended for informational purposes only and should not be construed as financial or legal advice. Investors should perform their own due diligence before making any significant financial decisions.