Singapore O&G announced a creditable Q3 results but on the same day announced the resignation of its CEO from next January 2020. This surprised me as he just took up the job last May. Combined with a mixed outlook from its various segments, I decided to redeploy the money elsewhere. Including dividend, made a loss of 8%.
Over the past week, I noticed a couple of posts on Investingnote downgrading Venture. Having some time on hand yesterday, I decided to take a look at the reports and the latest Q3 results.And I thought the numbers were quite good. So was a bit perplexed by the downgrading and the selling. But it means that’s an opportunity to buy some.
I went on to flip through last year’s annual report and I must say I am quite impressed by its past 5-year numbers and the return the company has generated for its shareholders over the past decade.
Venture has also just started to pay interim dividend from 2018 and has continued to do that this year. While it does not have a dividend policy, it has been quite consistent in dishing out dividend for the past decade. Given the credible results from the past 9-month, it is likely that the group is going to at least maintain its $0.70 dividend in the coming year. So at a price of $15.7, that gives a yield of about 4.5%.
Hence, I decided to take a small stake in this well-run company for its sustainable and possibly increasing dividend in the future.