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Global asset manager and operator Keppel Ltd. (Keppel) reported a net profit of $530 million for the first half ended 30 June 2026, 25% higher yoy, excluding the Non-Core Portfolio for Divestment[7]. This was underpinned by significantly higher contributions from SSCI, as well as stronger recurring income contributions from asset management and the operating platform.
In 1H 2026, SSCI contributed $175 million to earnings, compared with $18 million in 1H 2025, while recurring income grew 13% yoy to $467 million. Starting from 1H 2026, Keppel is reporting SSCI separately to enhance transparency on the New Keppel’s performance as an asset manager and operator.
At the business segment level, both Infrastructure and Connectivity delivered strong earnings growth in 1H 2026, with net profit expanding 55% and 54% respectively from a year ago, offsetting weaker results in Real Estate. The Infrastructure Segment remained the Company’s largest earnings contributor in 1H 2026.
In 1H 2026, the Non-Core Portfolio recorded a net loss of $375 million, compared to the loss of $46 million a year ago. This was due mainly to impairments for the legacy rig assets, including the recycling of foreign currency translation loss net of write-backs in cost provisions, amounting to $165 million, interest costs attributable to the legacy rigs as well as depreciation and amortisation adjustments with the termination of the M1 Telco divestment. Including these accounting losses, the Company’s overall net profit for the period was $155 million.
Keppel’s financial position strengthened in 1H 2026, supported by cash inflows from both operating and investing activities. Free cash inflow[8] for the period was $570 million, reversing an outflow of $48 million in 1H 2025. The New Keppel’s annualised Return on Equity[9] rose to 15.0% from 14.7% a year earlier, while Net Debt to EBITDA[10] remained stable at 1.4x.
In YTD 2026, Keppel expanded its FUM to $106 billion, surpassing its end-2026 target of $100 billion ahead of schedule. The Company also announced about $1.7 billion of asset monetisation, on track towards its full year target of $2 to $3 billion. As at end-June 2026, the Company had completed and realised[11] monetisation of non-core assets of approximately $560 million, 10 to 15% of which would be used to fund special dividends for FY 2026.
In his speech announcing Keppel's 1H 2026 results, Mr Loh Chin Hua, CEO of Keppel, highlighted how the Company’s continued execution has strengthened the business and positioned it to capture opportunities in power and digital infrastructure amidst the AI wave.
Mr Loh Chin Hua, CEO of Keppel, said, “We have strengthened the quality of our earnings, grown our Funds under Management to $106 billion, delivered landmark assets such as the Sakra Cogen Plant and Bifrost, and announced about $1.7 billion of asset monetisation this year. We have also announced a solution for our legacy rigs that would generate cash and create a new fund with opportunities to ride the improvement in the offshore market as well as generate fee income for Keppel. Together, these demonstrate Keppel’s ability to create value by bringing together capital, operating capabilities and proprietary investment opportunities. As demand for power and digital infrastructure continues to grow, our integrated ecosystem positions us well to capture these opportunities and drive our next phase of growth.”
Reflecting confidence in the Company’s progress, the Board has declared an interim cash dividend of 15.0 cents per share for 1H 2026, unchanged from a year ago, to be paid to shareholders on 21 August 2026. Keppel also continued to execute its $500 million Share Buyback Programme, having repurchased 34.2 million Keppel shares for a total of $356 million since July 2025.
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About Keppel Ltd.
Keppel Ltd. (SGX:BN4) is a global asset manager and operator with strong expertise in sustainability-related solutions spanning the areas of infrastructure, real estate and connectivity. Headquartered in Singapore, Keppel operates in more than 20 countries worldwide, providing critical infrastructure and services for renewables, clean energy, decarbonisation, sustainable urban renewal and digital connectivity. Keppel creates value for investors and stakeholders through its quality investment platforms and diverse asset portfolios, including private funds and listed real estate and business trusts.
ADDENDUM
Business Highlights
Fund Management & Investment Platforms
Keppel’s FUM reached $106 billion as at end-July 2026, with the addition of $13 billion of FUM across Infrastructure, Real Estate and Connectivity since end-June 2026, surpassing its interim target of $100 billion FUM by end-2026 ahead of schedule. This marks an important inflection point in Keppel’s growth. With greater scale, a stronger track record and growing investor confidence, the Company is well-positioned to accelerate the growth of its asset management business.
In the first half of 2026, Keppel generated $200 million in asset management fees[12] as well as completed $3.1 billion of acquisitions and $2.4 billion of divestments across its private funds and listed vehicles. The Company is also actively pursuing new deployment opportunities through a deal flow pipeline of about $33 billion, more than half of which are in the areas of infrastructure and connectivity.
Keppel’s integrated digital infrastructure ecosystem has been a key differentiator in its fundraising efforts. By bringing together capital, deep operating expertise and proprietary investment opportunities, the Company provides Limited Partners with differentiated access to energy and digital infrastructure investments supported by its private funds and listed evergreen real estate and infrastructure trusts.
Operating Platform
The Infrastructure Division delivered stronger earnings in 1H 2026, with net profit increasing to $339 million from $326 million a year ago. Its Integrated Power Business recorded 9% yoy EBITDA growth to $356 million. The commencement of operations at Keppel Sakra Cogen Plant in end-May 2026 and its initial earnings contribution helped offset softer spark spreads and the cost impact of the Middle East conflict. The Division also continued to build its pipeline of proprietary energy transition opportunities of up to 1 GW of low-carbon energy and renewables to be imported into Singapore.
In 1H 2026, the Division’s Decarbonisation and Sustainable Solutions business recorded an EBITDA of $70 million, slightly higher yoy, while its long-term contracts expanded to $8.0 billion, providing 10 to 15 years of revenue visibility.
The Real Estate Division announced the monetisation of $473 million of property assets YTD and achieved total Real Estate-as-a-Service revenue of $36 million in 1H 2026. Hanoi Centre, which was officially opened in July 2026, illustrates how Keppel applies its asset and retail management capabilities to reposition assets and create value through a master lease structure, without capital-intensive ownership. The Company leveraged its deep operating expertise in Vietnam to earn a recurring rent profit from its first retail mall in Vietnam’s capital.
The Connectivity Division continued to advance the development of its Floating Data Centre project and Keppel DC SGP 9 in Singapore. The Division has successfully commercialised all five of its Bifrost Cable System fibre pairs, which is expected to generate an internal rate of return of about 30% for Keppel and its private fund investors. Building on this strong track record, Keppel is advancing discussions with joint build partners and selecting landing sites for two possible new subsea cable systems linking Singapore to the Middle East and to Japan and expects to take a decision on these projects by end-2026.
The Division also continued to grow its technology solutions business, which secured around $400 million of new contracts across Singapore, Malaysia and Vietnam in 1H 2026. This brings its total contract pipeline to $1.9 billion, which will be delivered over the next five years[13].
Meanwhile, Keppel remains focused on strengthening M1’s performance and value, to maximise its strategic value in any future industry consolidation. A three-year business plan has been established to enhance M1’s profitability and competitiveness, targeting annual run-rate cost savings of $70 million by 2028. YTD, M1 has achieved run-rate cost savings of $4 million per annum and aims to reach $10 million per annum by end-2026.
Unless explicitly indicated otherwise, all monetary values denoted as ‘$’ within this media release are to be interpreted as referring to Singapore dollars.
[1] Excludes the Non-Core Portfolio for Divestment and Discontinued Operations.
[2] Refers to Keppel’s sponsor stakes in and co-investments alongside with listed REITs/Trust, private funds and separately managed accounts that Keppel manages.
[3] Gross asset value of investments and uninvested capital commitments on a leveraged basis is used to project fully-invested FUM. Leverage is defined as total debt over gross asset value. For the private funds, the typical leverage is not more than 60% on a portfolio basis. It includes 100% of FUM managed by subsidiary managers, joint ventures and associated entities, as well as share of FUM based on shareholding stake in associate with which Keppel has strategic alliance. FUM is reported in SGD based on closing exchange rates at the end of the reporting period.
[4] Monetisation deals that are announced but may not have been completed. Refers to the gross consideration value from such sales and net debt that is deconsolidated from Keppel’s balance sheet as a result.
[5] Subject to conditions being met, including the right to opt-out from divestment for any of the four remaining rigs.
[6] Subject to certain conditions being met including, among others, the purchase price of the additional four rigs falling within an agreed valuation range for each such rig.
[7] Mainly the legacy O&M assets, residential landbank, selected property developments and investment properties, hospitality and logistics assets, associated cash and receivables, M1 Telco and other non-core investments that are not aligned with Keppel’s strategic focus as an asset-light global asset manager and operator. Metrics relating to the New Keppel exclude the effects of Non-Core Portfolio for Divestment and Discontinued Operations.
[8] Net cash from/used in operating activities and investing activities.
[9] Net profit attributable to shareholders divided by average shareholders’ funds. ROE of the New Keppel refers to the return generated on the average shareholders’ funds of the New Keppel, i.e. excluding equity that is attributable to the Non-Core Portfolio for Divestment. Average shareholders’ funds is the simple average of shareholders’ funds at the start and the end of the relevant financial period.
[10] Net debt is defined as borrowings and lease liabilities less cash. EBITDA refers to profit before depreciation, amortisation, net interest expense and tax i.e. it includes share of results of associates and joint ventures. Bifurcation into the New Keppel and Non-Core Portfolio for Divestment is based on entities and the debt associated with each of these segments follows the debt in the respective entities within the segments. Net debt to EBITDA of the New Keppel is computed based on the net debt of entities within the New Keppel and the EBITDA for the New Keppel. Vice versa for Non-Core Portfolio for Divestment.
[11] Asset monetisation deals completed and realised during the relevant financial period. Amount is based on the net cash consideration received from such sales and net debt that is deconsolidated from Keppel's balance sheet as a result.
[12] Fees for providing management and other services to funds, listed REITs and Trust. Such fees include acquisition fee, management fee, divestment fee and carry. It is based on 100% fees from subsidiary managers, joint ventures and associated entities, annualised fees for platform/asset acquired during the year, as well as share of fees based on shareholding stake in associate with which Keppel has strategic alliance. It includes fees on sponsor stakes and co-investments, including for funds which are wholly owned by Keppel. It is calculated based on gross asset management fees before rebates: 100% for platforms that Keppel owns ≥50% stake, and pro-rata by ownership for <50% stake.
[13] Comprise secured contracts and the pipeline of contracts from long-term recurring customers.
Re-presented metrics: Certain relevant prior year’s financials and ratios have been re-presented with M1 Telco classified as Non-Core Portfolio for Divestment (previously M1 Telco was under the New Keppel in 1H 2025/June 2025 and Discontinued Operations for FY 2025/Dec 2025).
