Broker Name: KGI Securities (Singapore) Pte. Ltd.
Date of Report: February 25, 2026
Excerpt from KGI Securities (Singapore) Pte. Ltd. report.
Report Summary
- Skylink Holdings Limited is a Singapore-based commercial vehicle solutions provider with integrated operations across vehicle leasing, hire-purchase financing, and engineering services, managing over 1,300 vehicles and six workshops as of end-2025.
- The company’s competitive advantage lies in its end-to-end lifecycle management, which optimizes asset returns, enhances capital recycling, and minimizes value leakage compared to more transactional peers.
- Skylink’s integrated ecosystem—combining leasing, financing, and servicing—creates high customer retention, better data visibility into asset health and credit risk, and reduces idle fleet time, generating stable, recurring cash flows.
- The business model monetizes vehicles at multiple stages: leasing income, credit interest, maintenance revenue, and terminal resale, which diversifies earnings and provides resilience against market volatility.
- Government incentives and a maturing charging infrastructure support Skylink’s aggressive expansion into electric vehicles, with up to S\$40,000 per heavy vehicle in grants, positioning the company for sustainable growth through 2027.
- Financially, Skylink is forecasted to grow revenue from S\$15 million in 2024 to S\$78 million by 2028, with PATMI increasing from S\$2 million to nearly S\$10 million; the report initiates coverage with an OUTPERFORM rating and a target price of S\$0.58, implying 92% upside.
- Key risks include COE price fluctuations, funding cost volatility, fleet utilization, regulatory changes, and operational execution risks as the company scales up.
Above is an excerpt from a report by KGI Securities (Singapore) Pte. Ltd. Clients of KGI Securities (Singapore) Pte. Ltd. can be the first to access the full report from the KGI website: https://www.kgieworld.sg
