Resilience with relevance

This can be the worst of times and the best of times.

Keppel Corporation has announced yet another set of creditable results: a 10% increase in PATMI of $843 million for the nine months this year over the same period in 2007.

However in just two months, the stock market
sell-down has wiped out a significant portion of market capitalisation of companies within the Keppel Group. The impact of the crisis is so great that investors’ confidence worldwide has hit absolute rock bottom.

Fortunately in managing Investor Relations at Keppel HQ, I found myself facing many Keppel investors who are long-term shareholders and have tracked Keppel’s strategy and growth through the years and know Keppel well.

While the entire global financial world is in chaos, a comforting calm prevails at Keppel and business goes on as usual in a steady pace. For example, our yards with orders into 2012 are executing well with deliveries to the satisfaction of exacting Tier One customers.

Sure, we may not go through this crisis unscathed and cannot entirely avoid the ramifications but as Keppelites, especially those of us who have grown in Keppel, we are confident that the company will ride out these challenging times and emerge stronger.

Past crises have shaped Keppel into what it is today. We have a solid balance sheet with strong cashflow and near-zero debt, attributes which are crucial in today’s credit crunch environment. The fundamentals in our key businesses are sound, anchored on good corporate governance practices, a strong commitment to business excellence and a relentless focus on growing proprietary technology and sustainable development.

For Keppel, there is no better time than now to stress-test our systems and processes, to see how well they can withstand impacts. This will help us seek ways to reinforce and improve them.

These are also times to enhance relationships. It is important for our customers and suppliers to know that they have a trusted partner in Keppel through thick and thin. So that when the upturn comes, our win-win relationships will ready us to thrive together.

It is easy for companies to be lulled into slowing down their growth during such times. But at Keppel, we are mindful that we need to continue to be nimble, quick and flexible, to seize opportunities which others may not see or are not able to capture in the current environment.

Keppel’s most important asset is its people. With worries of job security looming in the horizon, Keppel is determined to continue to position itself as an employer of choice, stepping up efforts to train, motivate and retain its human capital.

To all Keppelites, as we enter the stormiest weather Keppel has ever experienced, we will stay afloat as long as we take up our oars and paddle in unison, with our eyes fixed beyond the tempest.

As a Keppelite, I am blessed knowing that I am on a sturdy ship, reaping the benefits of those at the helm who have been tried and tested in leading Keppel in good times and bad.