Straits Trading (SGX:S20) Stock Trails Revenue Growth As Losses Persist

Straits Trading stock closed at SGD1.62 on Friday with only modest movement in recent weeks, even as the company posted another loss for the first half of 2026. The headline is simple. Revenue reached SGD393.9m but shareholders are still looking at a net loss of SGD11.1m and a basic loss per share of SGD0.024.

The real story sits on the balance sheet and valuation. Straits Trading is unprofitable and earnings do not cover interest costs. At the same time, the stock trades at about 1x sales and well below one discounted cash flow estimate of fair value. Short term pain, long term puzzle.

Is Straits Trading at 1x sales with a dividend yield near 5% sitting in genuine bargain territory, or is the deep gap to one DCF estimate simply risk being priced in? Compare the current share price against our valuation analysis for Straits Trading

H1 2026 Earnings Summary

• Revenue (H1 2026 vs H1 2025): SGD393.9m vs SGD309.5m
• Net Income or Loss (H1 2026 vs H1 2025): loss of SGD11.1m vs loss of SGD40.8m
• Basic EPS (H1 2026 vs H1 2025): loss of SGD0.024 per share vs loss of SGD0.09 per share
• Trailing 12 Month Net Income or Loss (to H1 2026 vs to H2 2025): loss of SGD219.5m vs loss of SGD249.1m

Prefer clean charts instead of another wall of numbers about Straits Trading? See the full visual picture of the stock, including its valuation, in the company report for Straits Trading.

Straits Trading bullish signals meet mixed earnings reality

For investors leaning positive on Straits Trading, the latest figures give a more nuanced picture. Revenue for H1 2026 is higher than H1 2025 and losses for both the half year and the trailing 12 months have narrowed. That supports a view that the diversified model is at least moving toward better earnings quality. At the same time, the company is still loss making and interest costs are not covered. The share price has been broadly flat over 30 days, which suggests no clear bullish conviction yet.

Ongoing losses keep the Straits Trading bear case alive

The bearish narrative around Straits Trading still has real support in the numbers. The group remains in a loss position on both a half year and trailing 12 month view, and earnings do not cover interest expenses. That keeps questions around balance sheet resilience firmly on the table. The 90 day share price performance is slightly down, which fits with investor caution rather than outright stress. Directionally, the smaller loss compared with H1 2025 hints that immediate risks may not be worsening, but the business is not yet out of the woods.

After interest costs and dividends both strain earnings, is this just the surface of Straits Trading’s issues? Review the full risk analysis for Straits Trading which shows 3 important warning signs

Take Control Of Your Next Move

If Straits Trading at 1x sales and with ongoing losses has you on the fence, register for free with Simply Wall St and add it to a Watchlist to track the share price against fair value and watch how the story develops. Once you decide to take a position, use the Portfolio Command Center to cut through noise and focus on the most important updates that could affect your holdings. For a broader view on what other investors are seeing, tap into the Community to compare perspectives and sentiment. By surfacing potential catalysts and risks early, you give yourself a better chance to stay ahead of the market.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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