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UNAUDITED CONDENSED INTERIM FINANCIAL STATEMENTS FOR THE SIX MONTHS PERIOD ENDED 31 DECEMBER 2024
Financials Archive
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CONDENSED INTERIM CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
CONDENSED INTERIM STATEMENTS OF FINANCIAL POSITION
Review of Performance of the Group
(a) Others included revenue from home retrofitting business, landscaping works, interior designs, mechanical & electrical engineering works, renewable solutions works, vector control services and handyman services.
Condensed Interim Consolidated Statement of Comprehensive income
Revenue
1HY2025 vs 1HY2024
Revenue increased by $2.6 million or 4.2% from $62.7 million in 1HY2024 to $65.3 million in 1HY2025. The increase was mainly due to an increase in revenue contributed by the A&A business segment partially offset by the decrease in the R&R, C&P and Others segments.
Gross profit and gross profit margin
1HY2025 vs 1HY2024
Gross profit increased by $1.6 million or 18.4% from $8.3 million in 1HY2024 to $9.9 million in 1HY2025 mainly due to improved margins of 15.1% in 1HY2025 compared to 13.3% in 1HY2024.
Other income
1HY2025 vs 1HY2024
Other income decreased by $0.2 million from $0.6 million in 1HY2024 to $0.4 million in 1HY2025 mainly due to lesser government grants, rental and interest income, partially offset by gain on disposal of property, plant and equipment and recovery of bad debts.
Marketing and distribution expenses
1HY2025 vs 1HY2024
Marketing and distribution expenses increased by $0.1 million or 12.3% from $0.3 million in 1HY2024 to $0.4 million in 1HY2025. The increase was mainly due to an increase in staff costs.
General and administrative expenses
1HY2025 vs 1HY2024
There were no material changes in the Group’s general and administrative expenses in 1HY2025.
Finance costs
1HY2025 vs 1HY2024
There were no material changes in the Group’s finance costs in 1HY2025.
Other expenses
1HY2025 vs 1HY2024
Other expenses increased by $0.3 million or 92.1% from $0.3 million in 1HY2024 to $0.6 million in 1HY2025 mainly due to share-based payment compensation under the ISOTeam PSP2023 in 1HY2025.
Profit before tax
1HY2025 vs 1HY2024
As a result of the above, the Group recorded a profit before tax of $2.3 million in 1HY2025 compared to $1.3 million in 1HY2024.
Tax credit and Profit after tax
1HY2025 vs 1HY2024
There were no material changes in the Group’s tax expense in 1HY2025. Accordingly, the Group recorded a profit after tax of $2.3 million in 1HY2025 as compared to $1.3 million in 1HY2024.
Condensed Interim Statements of Financial Position
Non-current assets
Non-current assets decreased by $1.3 million or 4.8% from $27.3 million as at 30 June 2024 to $26.0 million as at 31 December 2024, mainly due to decrease in property, plant and equipment as a result of depreciation charges.
Current assets
Current assets increased by $8.5 million or 10.5% from $81.0 million as at 30 June 2024 to $89.5 million as at 31 December 2024 mainly due to increase in trade and other receivables partially offset by the decrease in cash and bank balances due to repayment of bank borrowings.
Non-current liabilities
The decrease in non-current liabilities of $0.7 million or 5.3% from $12.8 million as at 30 June 2024 to $12.1 million as at 31 December 2024 was mainly due to repayment of bank borrowings and lease liabilities.
Current liabilities
The increase in current liabilities of $5.5 million or 10.6% from $52.7 million as at 30 June 2024 to $58.2 million as at 31 December 2024 was mainly due to increase in trade and other payables and borrowings partially offset by the repayment of lease liabilities.
Condensed Interim Consolidated Statement of Cash Flows
Net cash generated from operating activities
1HY2025
Net cash generated from operating activities amounted to $1.0 million in 1HY2025 was mainly due to increase in trade and other receivables which were partially offset by the increase in trade and other payables.
Net cash used in from investing activities
1HY2025
Net cash used in investing activities amounted to $0.1 million in 1HY2025 was mainly due to purchases of plant and equipment such as motor vehicles and machineries.
Net cash used in financing activities
1HY2025
Net cash used in financing activities of $1.9 million in 1HY2025 was mainly due to drawdown of bank borrowings which were partially offset by repayment of bank borrowings, interest paid, repayment of lease liabilities and dividend paid.
Commentary
According to the Building and Construction Authority (BCA), the total construction demand, i.e. the value of construction contracts to be awarded, is projected to range between S$47 billion and S$53 billion in nominal terms in 2025. Normalised to real values, 2025's demand is projected to range between $35 billion and $39 billion, which is between 0.3% to 11.7% higher than pre-COVID levels in 2019. The strong demand is underpinned by the expected award of contracts for several large-scale developments, such as Changi Airport Terminal 5 (T5) and the expansion of the Marina Bay Sands Integrated Resort, alongside public housing development and upgrading works. Other contributors include high-specification industrial buildings, educational developments, healthcare facilities, Mechanical and Engineering contracts for the Thomson-East Coast Line Extension (TEL) and Cross Island Line (CRL), and infrastructure works for the Woodlands Checkpoint extension and the Tuas Port. #
In light of the above, the Group remains cautiously optimistic of the market conditions in the construction sector. As at the date of this announcement, the order book of the Group stands at $188.7 million, which should support the Group’s activities to FY2029. The Group will selectively tender for public and private sector projects, taking into consideration the prevailing market conditions including rising manpower and material costs. Accordingly, the Group continues to prioritise cash conservation and cost control.