Singapore Exchange’s (SGX) small- and mid-cap companies (SMIDs) have experienced a notable 20% increase in market capitalisation, reaching S$290b as of 30 October 2026. This growth is attributed to a rise in average daily turnover, which surged over 80% from S$368m in the first half of 2025 to S$675m in the first 10 months of 2026.
The 30 largest SMID return on equity (ROE) improvers recorded a median ROE accretion of 14.1 percentage points, with 23 of these companies also seeing price-to-book (P/B) expansion. However, the extent of P/B expansion was not consistently linked to the magnitude of ROE improvement. DFI Retail Group led the pack with a remarkable ROE increase of 125 percentage points, reversing a negative ROE of -31% to 94%.
DFI Retail Group’s performance was bolstered by strategic operational and capital allocation changes, including a 35% rise in underlying profit to US$270m in 2025 and significant shareholder returns. The group also reorganised its portfolio, divesting non-core assets and enhancing its focus on core operations.
The telecommunications sector recorded the highest median ROE accretion at 9.1 percentage points, albeit across only two stocks. The technology sector showed broader improvement, with a median accretion of 2.4 percentage points across 18 stocks.
This growth in market capitalisation and ROE accretion highlights the dynamic changes within SGX’s SMID sector, reflecting improved capital efficiency and strategic corporate actions. As these companies continue to evolve, their financial performance and market positioning are expected to remain under close observation.
