ST Engineering starts restructuring amidst FY2020 revenue loss
Revenue is expected to be between 5% to 15% lower than last year.
ST Engineering has moved to reorganized its business and leadership structure as it braces for revenue loss for the whole fo FY2020.
The new restructuring plan was announced the day before ST Engineering released its Q3 market updates that declared revenue loss between 5% to 15% until the end of the year compared to 2019.
The loss is reported despite the good performance of several of the company’s business sectors in Q3.
Meanwhile, the restructuring will organise ST Engineering into two clusters: Commercial and Defence & Public Security.
The Commercial cluster will focus on international growth through areas in commercial aerospace, urban solutions, and satellite communications domains
The Defence & Public Security comprising Defence Business Areas or DBAs, namely Digital Systems and Cyber, Land Systems, Marine and Defence Aerospace, will focus on serving the needs of its customers in defence and public security as well as critical infrastructure segments.
As part of the change, ST Engineering also created a new leadership structure to be led by a Group Executive Committee comprising of Vincent Chong, President & CEO; Cedric Foo, Chief Financial Officer; Lim Serh Ghee, Chief Operating Officer, Operations Excellence and Chief Commercial Officer; and Ravinder Singh, Chief Operating Officer, Technology & Innovation and President/Head of Defence & Public Security.
The new structure will take effect on 1 January 2021.