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Global asset manager and operator Keppel Ltd. (Keppel) reported a net profit of $1.1 billion for the New Keppel for the full year ended 31 December 2025, 39% higher than the $793 million for FY 2024, excluding the Non-Core Portfolio for Divestment[8] and Discontinued Operations[9]. The New Keppel’s strong performance in FY 2025 was driven by higher profits from all three business segments, with Infrastructure accounting for the largest share of earnings, bolstered by resilient results in the integrated power business, despite softening spark spreads, and stronger growth from decarbonisation and sustainability solutions.
Underpinned by higher profits from asset management and operations, recurring income grew to $941 million in FY 2025, an increase of 21% over $779 million in FY 2024. Reflecting the strong pivot to an asset-light model, the New Keppel achieved a high Return on Equity (ROE) of 18.7% in FY 2025, increasing from 14.9% in FY 2024, while its Net Debt to EBITDA[10] improved to a healthy 2.0x as at end-2025, compared to 2.3x a year ago.
Including the Non-Core Portfolio for Divestment and Discontinued Operations, the overall net profit for FY 2025 was $789 million, compared with $940 million for FY 2024, mainly due to the accounting loss of $222 million[11] arising from the proposed sale of M1’s telco business, which is pending regulatory approval.
Since the start of 2023, Keppel has achieved $98 million in annual run-rate cost savings, and is on track to reach $120 million by end-2026. With an expanding base of recurring income and continued progress in asset monetisation, the Company generated free cash inflow of $611 million[12] in 2025.
In his speech announcing Keppel's full-year results, Mr Loh Chin Hua, CEO of Keppel, highlighted how the New Keppel has built strong foundations and is well-positioned to deliver digital and low-carbon solutions that the world needs, as well as strong returns to its Limited Partners (LPs) and shareholders.
Mr Loh said, “The New Keppel performed strongly in 2025, surpassing $1 billion in net profit, and achieving a high ROE of 18.7%. Keppel today is well-positioned as a global asset manager and operator to create value for our LPs and shareholders by providing energy and connectivity solutions amidst increasing digitalisation and the AI wave, with new power generation capacity and an expanding data centre powerbank of over 1.0 GW in the Asia Pacific. As we execute our strategy, the market increasingly recognises Keppel’s transformation, which is being reflected in the continued re-rating of the Company.”
Delivering strong performance in FY 2025
Asset management: Funds under Management (FUM) grew 8% year on year (yoy) to $95 billion as at end-2025, driven by strong progress in fundraising and investments, which added $10.1 billion of new FUM during the year, while asset management fees[13] increased 4% yoy to $453 million. In FY 2025, asset management delivered a net profit of $189 million, up 15% yoy, supporting strong recurring income growth.
Asset monetisation: Keppel announced about $2.9 billion in divestments in 2025, raising the cumulative total to about $14.5 billion since its asset monetisation programme began in October 2020. In 2025, transactions amounting to about $1.6 billion in gross monetisation value[14] were completed. The Company remains focused on optimising the speed of divestment and exit value of assets in its Non-Core Portfolio for Divestment, which had a carrying value of $13.5 billion[15] as at end-2025.
Recurring income: Keppel strengthened the quality of its earnings significantly, expanding its recurring income by 21% yoy to $941 million in FY 2025, bolstered by stronger contributions from both asset management and operations.
Shareholder returns: Keppel achieved a Total Shareholder Return of 58.5%[16] in 2025, outperforming the Straits Times Index’s 28.8%. Since the launch of Keppel’s $500 million Share Buyback Programme on 31 July 2025, the Company had repurchased $116 million worth of Keppel shares as of 31 December 2025.
Rewarding shareholders
Reflecting Keppel’s commitment to a steady and sustainable dividend strategy, the Company will pay ordinary dividends based on the New Keppel’s performance. In addition, it aims to pay out special dividends based on 10-15% of the gross value of asset monetisation transactions completed in the financial year, until the Company’s monetisation programme is completed. The actual percentage will depend on the Company’s growth plans as well as cash generated.
In appreciation of the support and confidence of Keppel shareholders, the Board has proposed a final ordinary cash dividend of 19 cents per share for FY 2025, to be paid to shareholders on 8 May 2026, after approval at the Company’s annual general meeting. Including the interim cash dividend of 15 cents per share paid to shareholders in August 2025, the total ordinary cash dividend for FY 2025 will be 34 cents per share, representing a 56% payout ratio on New Keppel’s FY 2025 net profit.
Considering the strong progress in monetisation achieved, the Board has further proposed a special dividend amounting to approximately 13 cents per share, comprising 2 cents per share in cash, and one Keppel REIT unit for every nine Keppel shares held, which is equivalent to approximately 11 cents per share based on Keppel REIT’s closing market price of $0.98 on 3 February 2026. This special dividend proposed is based on 15% of the completed monetisation of $1.6 billion for FY 2025.
In all, Keppel shareholders will be receiving total dividends of approximately 47 cents per share for FY 2025, up 38% from FY 2024, representing a yield of approximately 4.3% based on Keppel’s closing share price of $10.95 on 4 February 2026.
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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
In FY 2025, recurring income from the Infrastructure Division reached $703 million, the highest on record to date. EBITDA for its integrated power business remained resilient yoy at $661 million in FY 2025, despite softening spark spreads. As at end-December 2025, about 67% of the Division’s contracted power generation capacity[17] was locked in for three years and above, providing good earnings visibility. Further earnings growth is expected in the next few years with new power capacity coming onstream, including the 600 MW Keppel Sakra Cogen Plant, which is expected to commence operations in 1H 2026, and whose capacity has been fully contracted for 2026 and 2027 after factoring in the required market reserves.
The Infrastructure Division’s decarbonisation and sustainability solutions business performed strongly in FY 2025 with an EBITDA of $130 million, rising 32% yoy, and surpassing its initial projection of $100 million in 2025. The Division has successfully built an asset-light and fast-scaling new engine, underpinned by long-term contracts, which will bolster recurring income, in addition to earnings from the integrated power business. As at end-December 2025, its long-term contracts for decarbonisation and sustainability solutions had reached $7.1 billion, representing a 2.2-fold increase over the four-year period since 2022.
The Real Estate Division continued its pivot into an asset-light solutions provider, contributing to the creation of high-quality assets that deliver both strong sustainability performance as well as robust investment returns. To this end, the Division announced the monetisation of about $1.3 billion of real estate assets and achieved total Real Estate-as-a-Service revenue of $98 million in FY 2025.
The Connectivity Division is unlocking opportunities in digital infrastructure with innovative and sustainable solutions such as the Floating Data Centre, which it targets to commence construction in 1H 2026 when the construction permit is received. The divestment of the first two data centres in the AI-ready, hyperscale Keppel Data Centre Campus to Keppel DC REIT was completed in 2025 with the securing of a 10-year land lease extension for the Campus.
Positioning ahead for the fast-growing digitalisation and AI megatrend, the Connectivity Division is investing upstream to secure early and exclusive access to power, water, and fibre connectivity at strategic sites in key datahubs. In January 2026, the Division secured a 720 MW powerbank[18] for an AI data centre campus near Melbourne, Australia that would expand its powerbank to over 1.0 GW. This growing powerbank of over 1.0 GW would further strengthen the Company’s growth runway over the next few years, with the potential to add approximately $10 billion to Keppel’s data centre FUM when fully activated.
Meanwhile, the Bifrost Cable System (Bifrost) started carrying commercial traffic in December 2025. Contributions from the first two fibre pairs committed to customers were recognised following the flow of commercial traffic, while a binding term sheet for granting an Indefeasible Right of Use for another fibre pair was signed in January 2026. With an average of about $200 million in operations and maintenance fees to be recognised per fibre pair over 25 years, Bifrost bolsters Keppel’s long-term stable and recurring income. The Connectivity Division will also continue to grow its technology solutions and services business, which, together with its digital infrastructure expertise, enables Keppel to participate in the full value chain, serving both hyperscalers and enterprises.
Unless explicitly indicated otherwise, all monetary values denoted as ‘$’ within this media release are to be interpreted as referring to Singapore dollars.
[1] The New Keppel excludes the Non-Core Portfolio for Divestment and Discontinued Operations.
[2] Return on Equity of New Keppel refers to the return generated on the average shareholders’ funds of New Keppel, i.e. excluding equity that is attributable to the Non-Core Portfolio.
[3] Gross asset value of investments and uninvested capital commitments on a leveraged basis is used to project fully-invested Funds under Management.
[4] Based on announced transactions.
[5] This includes the $4.7b Keppel O&M divestment in 2023, including the Sembcorp Marine (now Seatrium) shares, which were distributed or held in the segregated account, at $2.30 per share (or $0.115 per share prior to the share consolidation undertaken by Seatrium in 2023; $0.115 was the last traded price of the shares on the first market day immediately following the date of the combination) and the $0.5b cash component.
[6] Refers to the monetisation deals, announced in or before the relevant financial year, but completed in the relevant financial year based on their announced gross values.
[7] The dividend in-specie of one Keppel REIT unit for every nine Keppel shares held is equivalent to approximately 11 cents per Keppel share based on Keppel’s issued share capital of 1,801,659,827 shares (excluding treasury shares) as at 31 December 2025 and Keppel REIT’s closing market price of $0.98 per unit on 3 February 2026.
[8] Non-Core Portfolio for Divestment comprises mainly legacy offshore & marine assets, residential landbank, selected property developments and investment properties, hospitality and logistics assets, associated cash and receivables, and other non-core investments that are not aligned with Keppel’s strategic focus as an asset-light global asset manager and operator.
[9] In accordance with SFRS(I) 5 Non-current Assets Held for Sale and Discontinued Operations, the performance of M1 and its subsidiaries, excluding the technology solutions and services business and other carved out assets (“M1 Telco”) are presented as discontinued operations for the financial period, with comparative information re-presented accordingly.
[10] Net debt is defined as net debt of the Group less net debt attributable to Non-Core Portfolio for Divestment, while EBITDA refers to last twelve months (LTM) profit before depreciation, amortisation, net interest expense and tax, excluding P&L effects from Non-Core Portfolio for Divestment.
[11] The accounting loss is net of cessation of the depreciation, amortisation and equity accounting for the relevant assets classified under disposal group held for sale as at 31 December 2025. The actual loss at completion will depend on the sale consideration which is subject to post-Completion adjustments and the carrying value of Keppel’s effective interest in M1 Telco at the date of completion.
[12] FY25 FCF includes approximately $235m financing component funded via bank borrowing in connection with the acquisition of Global Marine Group (“GMG”), which is presented as cash inflow from financing activities in the financial statements. The inclusion herein is for better understanding of the FCF. Following the completion of Keppel Infrastructure Trust’s subscription of a 46.7% equity stake in GMG on 25 November 2025, the bank borrowing has been deconsolidated from the Group’s balance sheet. FY24 includes $1.07b of cash consolidated on obtaining control over Rigco Holding Pte Ltd. following the completion of a selective capital reduction exercise.
[13] Includes 100% fees from subsidiary managers, joint ventures and associated entities, as well as share of fees based on shareholding stake in associate with which Keppel has strategic alliance. Also includes asset management, transaction and advisory fees on sponsor stakes and co-investments (including for funds which are wholly owned).
[14] This refers to the monetisation deals, announced in or before 2025, but were completed in 2025 based on their announced gross values.
[15] Refers to gross asset carrying value as at 31 December 2025.
[16] Source: Bloomberg.
[17] Based on Keppel’s existing generation capacity.
[18] Powerbank refers to capacity for future data centre development.
