Financial Performance - Revenue for the six months ended December 31, 2024, was SGD 44,185,932, an increase of 37.1% compared to SGD 32,214,535 in 2023[8] - Gross profit for the same period was SGD 2,996,551, up from SGD 2,161,427, reflecting a gross margin improvement[8] - The company reported a pre-tax profit of SGD 415,994, compared to a pre-tax loss of SGD 313,528 in the previous year[8] - Net profit for the period was SGD 157,445, a significant recovery from a net loss of SGD 424,387 in 2023[8] - Total comprehensive income attributable to owners for the period was SGD 120,190, compared to a loss of SGD 618,111 in the prior year[8] - Earnings per share for the period was SGD 0.02, recovering from a loss per share of SGD 0.04 in 2023[8] - Other income increased to SGD 292,387 from SGD 87,133, indicating growth in ancillary revenue streams[8] - The company achieved a profit of SGD 157,445 for the six months ended December 31, 2024, compared to a loss of SGD 424,387 for the same period in 2023, indicating a significant turnaround[15] - Operating cash flow before changes in working capital for the six months ended December 31, 2024, was SGD 1,074,662, a substantial increase from SGD 232,297 in the previous year[15] - The company reported a net cash increase of SGD 182,502 for the six months ended December 31, 2024, compared to a decrease of SGD 2,392,633 in the same period of 2023[15] Assets and Liabilities - Total assets decreased to 36,650 million, with a net asset value of 36,294 million[10] - Current assets reported at 15,708 million, with cash and cash equivalents at 18,727 million[10] - Total liabilities amounted to 11,898 million, with current liabilities at 7,711 million[10] - The company reported a total equity of 24,752 million, with a capital surplus of 31,669 million[10] - The accumulated surplus reached 14,350 million, indicating a strong retained earnings position[10] - The financial position shows a significant liquidity with current assets exceeding current liabilities[10] Operational Costs - Administrative expenses rose to SGD 2,409,377 from SGD 2,114,637, reflecting increased operational costs[8] - Financial asset impairment losses increased to SGD 486,434 from SGD 121,361, indicating potential challenges in asset management[8] - Total employee costs increased to SGD 4,593,640 from SGD 4,108,796, representing a rise of about 11.8%[41] - The total cost of materials recognized as service costs was SGD 20,609,261, compared to SGD 15,925,722 in the previous year, indicating an increase of approximately 29.5%[41] Market and Strategic Outlook - The company is focusing on expanding its market presence and enhancing product offerings[11] - Future outlook remains positive with strategic initiatives aimed at growth and innovation[11] - The company is committed to maintaining a strong balance sheet while pursuing new opportunities[11] - The Singapore Construction Authority forecasts that construction demand in Singapore is expected to range between SGD 47 billion and SGD 53 billion in 2025[76] Cash Flow and Financing - The company’s cash and cash equivalents at the end of the period were SGD 7,271,226, slightly down from SGD 7,657,225 at the end of the previous year[15] - Financing costs increased significantly, with lease liability interest rising to SGD 14,232 from SGD 1,381[38] - The average borrowing rate for lease liabilities as of December 31, 2024, was 2.88%, down from 4.06% as of June 30, 2024[69] - The company has adopted a prudent cash and financial management policy, maintaining a stable financial position throughout the reporting period[95] Trade Receivables and Impairments - Trade receivables decreased by SGD 2,472,058 for the six months ended December 31, 2024, compared to an increase of SGD 1,449,932 in the previous year, indicating improved collection efficiency[15] - Trade receivables impairment loss decreased to SGD 63,822 from SGD 121,361 year-over-year, a reduction of approximately 47.4%[37] - The provision for expected credit losses on trade receivables increased to SGD 847,854 as of December 31, 2024, from SGD 784,032 as of June 30, 2024, indicating a rise of approximately 8.2%[49] Corporate Governance and Compliance - The company has complied with the corporate governance code as per the listing rules for the six months ending December 31, 2024[125] - The interim results for the six months ending December 31, 2024, were not audited or reviewed by independent auditors, but the audit committee has reviewed the unaudited consolidated results[127] Shareholder Information - Southern Heritage Limited holds 550,000,000 shares, representing 55.00% of the issued share capital[110] - The company did not declare any dividends for the reporting periods ended December 31, 2024, and 2023[42] - The company has not granted, exercised, canceled, or expired any options under the share option scheme since its adoption on June 10, 2019, and there are no unexercised options as of December 31, 2024[114]

Financial Performance - Revenue for the six months ended December 31, 2024, was SGD 44,185,932, representing a 37.1% increase from SGD 32,214,535 in the same period of 2023[2] - Gross profit for the same period was SGD 2,996,551, up from SGD 2,161,427, indicating a significant improvement in profitability[2] - The company reported a net profit of SGD 157,445 for the six months ended December 31, 2024, compared to a loss of SGD 424,387 in the previous year, marking a turnaround in financial performance[3] - The gross profit margin for the six months ending December 31, 2024, was approximately 6.8%, consistent with the gross profit margin of 6.7% for the same period in 2023[89] - The company reported a pre-tax profit of SGD 415,994 for the six months ended December 31, 2024, compared to a loss of SGD 313,528 in the same period of 2023[37] - The company reported a profit of approximately SGD 0.2 million for the six months ended December 31, 2024, compared to a net loss of approximately SGD 0.4 million in the same period in 2023, mainly due to increased revenue[98] Assets and Liabilities - Total assets as of December 31, 2024, amounted to SGD 51,512,969, an increase from SGD 48,618,228 as of June 30, 2024[5] - The company’s total liabilities rose to SGD 15,897,856 from SGD 12,921,936, indicating increased borrowing or operational liabilities[5] - The company’s financial position shows a net asset value of SGD 35,615,113, slightly down from SGD 35,696,292, indicating stability in asset management[5] - Non-current liabilities, including lease liabilities, were reported at SGD 356,261, slightly up from SGD 355,385, representing a marginal increase of 0.25%[6] - The total non-current assets as of December 31, 2024, amount to SGD 954,197, compared to SGD 914,310 as of June 30, 2024, showing an increase of approximately 4.4%[30] Revenue Sources - Revenue from public sector clients for the six months ended December 31, 2024, was SGD 44,161,409, up from SGD 31,778,334 for the same period in 2023, indicating a significant increase[25] - Revenue from Singapore accounted for 100% of total revenue for the six months ended December 31, 2024, consistent with the previous year[30] - The public sector projects contributed 100% of the total revenue for the six months ending December 31, 2024, with 54 projects generating 44.2 million Singapore dollars[86] Expenses and Costs - The company reported a significant reduction in administrative expenses, which decreased to SGD 2,409,377 from SGD 2,114,637, contributing to improved profitability[2] - The total employee costs for the period reached SGD 4,593,640, compared to SGD 4,108,796 in the previous year, indicating an increase in labor expenses[38] - The service cost for the six months ending December 31, 2024, increased by approximately 11.1 million Singapore dollars or about 37.1% to approximately 41.2 million Singapore dollars compared to the previous year[88] - Financing costs rose significantly to approximately SGD 14,000 for the six months ended December 31, 2024, compared to approximately SGD 1,400 in the same period in 2023, driven by new office and accommodation leases[95] Impairment and Provisions - The net loss from financial assets impairment for the six months ended December 31, 2024, is SGD 486,434, compared to SGD 121,361 in 2023, reflecting a significant increase in impairment losses[32] - The impairment loss provision for contract assets increased to SGD 605,011 as of December 31, 2024, from SGD 182,399 as of June 30, 2024, representing a significant rise of approximately 231.5%[63] - The expected credit loss for trade receivables is calculated based on historical credit loss experience and current overdue debts, with no significant changes in estimation techniques or assumptions during the reporting period[46] Corporate Governance and Compliance - The financial statements are prepared in accordance with International Financial Reporting Standards, ensuring compliance and transparency[12] - The company has not adopted any new accounting standards that would significantly impact the financial statements for the reporting period[14] - The audit committee has reviewed the unaudited interim results for the six months ending December 31, 2024, and found no objections[128] - The company has adhered to the corporate governance code as per the listing rules[125] Future Plans and Market Outlook - The company has plans for market expansion and new product development, although specific details were not disclosed in the earnings call[2] - The construction demand in Singapore is projected to be between 47 billion and 53 billion Singapore dollars annually by 2025, with total construction demand expected to reach between 39 billion and 46 billion Singapore dollars annually from 2026 to 2029[82] - The company plans to enhance its workforce by hiring additional employees, allocating SGD 2.5 million for this purpose[120] Shareholder Information - The company did not declare any dividends for the six months ended December 31, 2024, nor has it recommended any dividend payments[40] - The company has issued and fully paid up capital of SGD 1,742,143 as of December 31, 2024, with a total authorized share capital of SGD 1,500,000,000[75] - The company confirmed compliance with the standards for securities trading by its directors[124]

Financial Performance - The company's revenue for the fiscal year ending June 30, 2024, reached approximately SGD 69.5 million, an increase of about 37.3% from SGD 50.6 million for the fiscal year ending June 30, 2023[7]. - Gross profit for the fiscal year ending June 30, 2024, increased by approximately 138.3% to about SGD 5.9 million, compared to SGD 2.5 million for the previous fiscal year[7]. - The company reported a net loss after tax of approximately SGD 9,000 for the fiscal year ending June 30, 2024, significantly reduced from a net loss of approximately SGD 1.5 million for the previous year[7]. - Total revenue for the year ended June 30, 2024, increased by approximately 37.3% to SGD 69.5 million from SGD 50.6 million for the year ended June 30, 2023[14]. - Gross profit for the year ended June 30, 2024, was approximately SGD 5.9 million, representing an increase of about 138.3% compared to SGD 2.5 million for the year ended June 30, 2023[16]. - The company reported a loss of approximately SGD 9,000 for the year ended June 30, 2024, compared to a loss of approximately SGD 1.5 million for the year ended June 30, 2023[24]. - The company reported a pre-tax profit of SGD 294,415, a turnaround from a pre-tax loss of SGD 1,612,611 in the previous year[200]. - The net loss attributable to shareholders for the year was SGD 8,896, a substantial reduction from a loss of SGD 1,548,747 in the prior year[200]. Revenue and Demand Outlook - The Singapore construction demand is projected to reach between SGD 32 billion and SGD 38 billion in 2024, with public sector projects expected to account for about 55% of this demand[5]. - The company expects construction demand in Singapore to rise, with projected annual demand between SGD 31 billion and SGD 38 billion from 2025 to 2028[10]. - The number of public sector projects contributing to revenue increased to 64, generating SGD 68.7 million, which accounted for 98.9% of total revenue for the year ended June 30, 2024[13]. Cost and Profitability - The gross profit margin improved from approximately 4.9% to about 8.5% due to the recovery of the Singapore construction industry post-COVID-19 and stable profit margins from newly awarded projects[7]. - Service costs rose by approximately 32.2% to SGD 63.6 million for the year ended June 30, 2024, compared to SGD 48.1 million for the year ended June 30, 2023[15]. - Administrative expenses increased to SGD 4,415,795 from SGD 3,504,879, indicating rising operational costs[200]. - The company experienced a financial asset impairment loss of SGD 790,663, up from SGD 700,000 in the previous year[200]. Employee and Workforce Management - The company emphasizes the importance of employee welfare and safety, viewing employees as its most valuable asset[4]. - Employee costs for the year ended June 30, 2024, totaled approximately SGD 8.7 million, an increase from SGD 7.1 million in 2023[35]. - The total number of employees as of June 30, 2024, was 197, down from 207 in 2023, indicating a decrease of about 4.8%[163]. - The overall employee turnover rate increased to 23.4% in 2024 from 19.8% in 2023[164]. - The company has implemented policies to ensure compliance with employment laws and promote equal opportunities without discrimination[162]. Corporate Governance and Compliance - The company has adopted all the corporate governance code provisions as its own corporate governance practices, ensuring compliance for the year ending June 30, 2024[52]. - The company has established a robust framework for corporate governance to protect shareholder interests and enhance corporate value[52]. - The board consists of two executive directors and three independent non-executive directors, with changes in membership noted in 2023[56]. - The company has mechanisms in place to ensure independent opinions are expressed by the board, with independent directors meeting annually to discuss concerns[63]. - The company has a zero-tolerance policy towards corruption and bribery, ensuring compliance with anti-bribery laws in all operational jurisdictions[82]. Environmental Performance - The company reported a reduction in nitrogen oxides emissions from 274,906.09 grams in 2023 to 262,182.41 grams in 2024, representing a decrease of approximately 4.5%[150]. - Sulfur oxides emissions decreased significantly from 690.34 grams in 2023 to 278.65 grams in 2024, a reduction of about 59.7%[150]. - The total greenhouse gas emissions (Scope 1) decreased from 123.64 tons CO2 equivalent in 2023 to 41.98 tons CO2 equivalent in 2024, a decline of approximately 66.0%[151]. - The company aims to reduce emissions further by exploring the adoption of electric vehicles and promoting efficient vehicle usage in daily operations[152]. - The company has established an environmental management system compliant with ISO 14001:2015 standards to enhance environmental compliance[158]. Risk Management - The company faces risks related to reliance on non-recurring contracts obtained through bidding processes, which may impact its financial performance[8]. - The company has established a risk management policy to identify, assess, and manage key business risks, with quarterly evaluations conducted by departments[80]. - The board is responsible for overseeing the overall risk management and ensuring the effectiveness of the internal control system[80]. - The company has implemented an insider trading policy to ensure timely and fair disclosure of material information to the public[81]. Future Plans and Strategic Goals - The company plans to continue focusing on market expansion and product development to drive future growth[200]. - The company is prepared to seize opportunities in Singapore's thriving construction industry, aiming for sustainable growth[5]. - The company has allocated SGD 2.5 million for hiring additional staff to strengthen its workforce[40]. - The company has earmarked SGD 6.5 million for potential new projects in electrical engineering[40].

Financial Performance - For the fiscal year ending June 30, 2024, the company reported total revenue of SGD 69,506,635, an increase from SGD 63,615,918 in the previous year, representing a growth of approximately 13.5%[1] - The gross profit for the fiscal year was SGD 5,890,717, compared to SGD 2,472,410 in the previous year, indicating a significant increase in profitability[1] - The company recorded a loss attributable to owners of the company of SGD 8,896 for the fiscal year, a notable improvement from a loss of SGD 1,548,747 in the previous year[1] - The group's revenue for the fiscal year ending June 30, 2024, was SGD 68,720,958, an increase of 49.5% from SGD 46,066,323 in 2023[12] - Revenue from contracts for providing electrical engineering services was SGD 69,506,635 in 2024, up from SGD 50,607,886 in 2023, representing a growth of 37.3%[11] - The net loss after tax for the fiscal year ending June 30, 2024, was approximately SGD 9,000, significantly reduced from a net loss of approximately SGD 1.5 million for the fiscal year ending June 30, 2023[46] Assets and Liabilities - The total assets of the company as of June 30, 2024, amounted to SGD 36,529,423, slightly up from SGD 36,444,521 in the previous year[4] - The total liabilities increased to SGD 15,897,856 from SGD 14,091,776, representing a rise of about 12.8%[3] - The company's cash and cash equivalents decreased to SGD 7,065,336 from SGD 10,184,427, a decline of approximately 30.9%[3] - The company's net asset value decreased to SGD 36,174,038 from SGD 36,408,949, a decline of approximately 0.6%[4] Trade Receivables and Impairment - Trade receivables increased to SGD 9,622,527 from SGD 7,833,214, reflecting a growth of approximately 22.8%[3] - Trade receivables amounted to SGD 10,406,559 as of June 30, 2024, an increase from SGD 7,886,583 in 2023[24] - The impairment loss provision for trade receivables was SGD (784,032) for 2024, compared to SGD (53,369) in 2023[26] - The group recognized impairment losses of SGD 790,663 in 2024, compared to SGD 700,000 in 2023[17] - The company reported a significant increase in impairment losses, totaling 730,663 Singapore dollars for the fiscal year ending June 30, 2024, compared to no losses in the previous year[29] Revenue Recognition and Contracts - The total amount of unfulfilled (or partially fulfilled) contractual obligations at the end of the reporting period was SGD 116,845,566, slightly down from SGD 118,144,206 in 2023[14] - The group expects to recognize revenue from unfulfilled contracts between 2024 and 2028, based on the total amount of unfulfilled obligations[14] - The total value of projects held as of June 30, 2024, was approximately SGD 256.7 million, with SGD 66.3 million recognized as revenue during the fiscal year[45] Financial Reporting Standards - The group has adopted several new and revised International Financial Reporting Standards (IFRS) effective from July 1, 2023, which do not have a significant impact on the financial position and performance[7] - The group is currently assessing the impact of IFRS 18 on its consolidated financial statements[10] - The group anticipates that the adoption of these new standards and amendments will not have a significant impact on its consolidated financial statements[10] Operational Highlights - The company has been focusing on expanding its engineering services, which is expected to drive future revenue growth[5] - The group is well-positioned to capitalize on the increasing construction demand in the coming years, particularly in the public sector projects[44] - The company has a strong track record in public housing development projects initiated by the Housing Development Board of Singapore[42] Employee and Administrative Costs - The total employee cost for the year ending June 30, 2024, is approximately SGD 8.7 million, an increase from SGD 7.1 million in 2023[66] - Administrative expenses increased to approximately SGD 4.4 million for the year ended June 30, 2024, from approximately SGD 3.5 million for the year ended June 30, 2023, primarily due to higher employee costs and legal and professional fees[54] Dividends and Shareholder Returns - The company did not declare or recommend any dividends for the year ended June 30, 2024, consistent with 2023[22] - The board does not recommend a final dividend for the year ended June 30, 2024, compared to zero for the year ended June 30, 2023[60] Disputes and Legal Matters - The company is currently involved in a dispute with a client regarding unpaid amounts of approximately 1.6 million Singapore dollars, which has led to significant impairment provisions[34] - The subsidiary is currently involved in a dispute with a contractor regarding a claim of SGD 1,077,568, which the company intends to contest[68] Cash Flow and Financial Management - The group maintains a prudent financial management policy, ensuring good financial health throughout the year[63] - As of June 30, 2024, the company's debt-to-equity ratio is zero, consistent with June 30, 2023[65] - The company has no significant investments or capital asset plans beyond those disclosed in the prospectus dated June 20, 2019[65]

Trade Receivables and Credit Risk - Trade receivables as of December 31, 2023, amounted to SGD 9,336,515, an increase of 18.3% from SGD 7,886,583 as of June 30, 2023[1]. - The impairment loss provision for trade receivables increased to SGD 174,730 from SGD 53,369, indicating a significant rise in expected credit losses[7]. - The aging analysis of trade receivables shows that SGD 4,664,560 (50.9%) are within 30 days, while SGD 1,532,249 (16.7%) are overdue by more than 120 days[4]. - The company continues to apply the simplified approach for measuring expected credit losses in accordance with IFRS 9, indicating a proactive risk management strategy[5]. - The increase in trade receivables and impairment provisions suggests a cautious outlook on credit risk management amid market conditions[1][7]. - As of December 31, 2023, approximately SGD 6.7 million (about 72.6%) of trade receivables had been settled[72]. - The company recognized impairment losses on trade receivables amounting to SGD (121,361) for the six months ended December 31, 2023, with no such losses reported in the previous year[200]. Financial Performance - The group's revenue for the six months ended December 31, 2023, increased by approximately 31.7% to about SGD 32.2 million, compared to approximately SGD 24.5 million for the same period in 2022[38]. - Gross profit for the same period rose by about 6.8% to approximately SGD 2.2 million, up from about SGD 2.0 million in the previous year[38]. - The group's after-tax loss for the six months ended December 31, 2023, was approximately SGD 0.4 million, compared to a profit of about SGD 0.5 million for the same period in 2022[38]. - The group's service costs increased by approximately 34.0% to about SGD 30.1 million, compared to approximately SGD 22.4 million for the same period in 2022[63]. - The gross margin for the six months ended December 31, 2023, was approximately 6.7%, a decrease of 1.6 percentage points from about 8.3% in the previous year[65]. - Other income for the period was approximately SGD 87,000, a decrease from about SGD 0.2 million in the previous year, primarily due to reduced COVID-19 related government subsidies[65]. - The company reported a loss before tax of SGD 313,528, compared to a profit before tax of SGD 694,225 in the previous year[146]. - The net loss for the period was SGD 424,387, a significant decline from a profit of SGD 493,218 in the same period last year[146]. - Total comprehensive loss attributable to owners for the period was SGD 618,111, compared to a comprehensive income of SGD 493,218 in the previous year[146]. - The company incurred administrative expenses of SGD 2,114,637, an increase from SGD 1,340,232 in the previous year[146]. - Financial asset impairment losses amounted to SGD 121,361, with no such losses reported in the previous year[146]. - Other income decreased to SGD 87,133 from SGD 200,611 in the previous year, indicating a decline in ancillary revenue streams[146]. Revenue Sources and Future Outlook - The public sector projects contributed SGD 31.8 million to revenue, accounting for 98.6% of total revenue, while private sector projects contributed SGD 0.4 million, or 1.4%[62]. - The company expects to recognize revenue from unfulfilled contracts amounting to SGD 132,828,373 over the next five years, indicating a strong future revenue pipeline[177]. - The company’s revenue from public sector clients for the six months ended December 31, 2023, was SGD 31,778,334, compared to SGD 21,364,418 in the same period of 2022, marking a growth of 49%[175]. - The company operates entirely in Singapore, with 100% of its revenue derived from this region for both the current and previous reporting periods[179]. Employee Costs and Management - Total employee costs for the six months ended December 31, 2023, amounted to approximately SGD 4.1 million, an increase from SGD 2.6 million for the same period in 2022[79]. - The company reported a significant increase in employee costs, totaling SGD 4,108,796 for the six months ended December 31, 2023, compared to SGD 2,612,419 in the same period of 2022[200]. - Administrative expenses increased to approximately SGD 2.1 million, up from about SGD 1.3 million in the previous year, mainly due to higher employee costs[67]. Financial Position and Management Policies - The weighted average interest rate on borrowings remained stable at 2.28% as of December 31, 2023[32]. - The company has no variable lease payments included in the measurement of lease liabilities, ensuring stability in financial reporting[17]. - The group maintained a zero debt-to-equity ratio as of December 31, 2023, consistent with June 30, 2023[78]. - The group adopted a prudent cash and financial management policy, with cash primarily held in SGD, USD, and HKD[75]. - The company did not declare or recommend any dividends for the six months ended December 31, 2023, nor for the previous year[200]. Investments and Strategic Initiatives - The company is focusing on market expansion and potential mergers and acquisitions as part of its growth strategy[120]. - New product and technology development initiatives were mentioned, although specific details were not provided[120]. - The company aims to enhance shareholder value through strategic investments and operational efficiencies[120]. - Significant investments, acquisitions, and disposals in subsidiaries, associates, and joint ventures were discussed[111]. Compliance and Reporting - The company reported unaudited consolidated interim results for the six months ended December 31, 2023, compared to the same period in 2022[125]. - The interim financial statements are presented in Singapore dollars, which is the company's functional currency[136]. - The interim financial statements were prepared in accordance with International Accounting Standards and applicable disclosure requirements[137]. - The company did not apply any new accounting standards that could significantly impact the financial results as of June 30, 2023[141]. - The company anticipates no significant impact from the adoption of new and revised international financial reporting standards on its financial position and performance in the foreseeable future[159].

Financial Performance - For the six months ended December 31, 2023, the company's revenue was SGD 32,214,535, an increase from SGD 30,053,108 in the same period of 2022, representing a growth of approximately 7.2%[29] - The gross profit for the same period was SGD 2,161,427, compared to SGD 2,024,750 in 2022, indicating an increase of about 6.7%[29] - The company reported a loss before tax of SGD 313,528 for the six months ended December 31, 2023, compared to a profit of SGD 694,225 in the same period of 2022[29] - The net loss for the period was SGD 424,387, contrasting with a profit of SGD 493,218 in the previous year[29] - The company's total revenue contribution from public sector projects was 31.8 million Singapore dollars, accounting for 98.6% of total revenue for the six months ended December 31, 2023[133] - The company's total revenue contribution from private sector projects was 0.4 million Singapore dollars, accounting for 1.4% of total revenue for the six months ended December 31, 2023[133] - The company reported a net loss attributable to shareholders of (424,387) SGD for the six months ended December 31, 2023, compared to a profit of 493,218 SGD in the same period of 2022[81] - The company reported a loss of approximately 0.4 million Singapore dollars for the six months ended December 31, 2023, compared to a profit of approximately 0.5 million Singapore dollars for the same period in 2022[186] Expenses and Costs - The group's administrative expenses for the six months ended December 31, 2023, were approximately SGD 2.1 million, an increase of about SGD 0.8 million compared to approximately SGD 1.3 million for the six months ended December 31, 2022, mainly due to increased employee costs[6] - The total employee costs increased significantly to 4,108,796 SGD for the six months ended December 31, 2023, compared to 2,612,419 SGD in the same period of 2022, representing an increase of approximately 57.2%[80] - The company recognized a material cost of 15,925,722 SGD for the six months ended December 31, 2023, up from 9,756,712 SGD in the same period of 2022, reflecting an increase of approximately 63.1%[80] - Financing costs for the six months ended December 31, 2023, were approximately SGD 1.4 million, a decrease of about 49.7% from approximately SGD 3.0 million for the same period in 2022[140] Assets and Liabilities - As of December 31, 2023, the group had cash and bank balances totaling approximately SGD 7.7 million, down from approximately SGD 10.2 million as of June 30, 2023, with no bank borrowings reported[3] - The company's total assets as of December 31, 2023, were SGD 35,790,838, a slight decrease from SGD 36,408,949 in 2022[33] - The group's total assets less current liabilities amounted to approximately SGD 35.9 million as of December 31, 2023, compared to approximately SGD 36.4 million as of June 30, 2023[21] - The company's non-current liabilities increased to SGD 94,217 from SGD 35,572 in the previous year, reflecting a significant rise of approximately 164.5%[33] - Trade payables as of December 31, 2023, were SGD 6.7 million, a decrease from SGD 8.1 million as of June 30, 2023[150] Taxation - The group's income tax expense decreased from approximately SGD 0.2 million for the six months ended December 31, 2022, to approximately SGD 0.1 million for the six months ended December 31, 2023, primarily due to a reduction in taxable profits[2] - The company's income tax expense for the six months ended December 31, 2023, was SGD 110,859, a decrease from SGD 201,007 for the same period in 2022, showing a reduction of about 45.0%[60] - The deferred tax expense related to corporate income tax for the six months ended December 31, 2023, was SGD 110,859, compared to SGD 210,254 in the previous year, indicating a decrease of approximately 47.3%[60] Revenue Sources - For the six months ended December 31, 2023, revenue from providing electrical engineering services to public sector clients was SGD 31,778,334, compared to SGD 21,364,418 for the same period in 2022, representing a growth of approximately 48.4%[69] - The total revenue for the six months ended December 31, 2023, was SGD 32,214,535, an increase from SGD 24,452,222 in the previous year, indicating a year-over-year growth of about 31.3%[69] - The company’s revenue growth was primarily driven by the recovery of the Singapore construction industry and the clearing of backlog projects from before COVID-19[134] Trade Receivables - Trade receivables as of December 31, 2023, were approximately SGD 9.2 million, compared to approximately SGD 7.8 million as of June 30, 2023[12] - The company's trade receivables as of December 31, 2023, amounted to SGD 9,161,785, compared to SGD 7,833,214 as of June 30, 2023, reflecting an increase of approximately 17.0%[59] - The company's trade receivables aged over 120 days as of December 31, 2023, were SGD 1,532,249, compared to SGD 614,386 as of June 30, 2023, reflecting an increase of approximately 149.5%[59] - The expected credit loss for trade receivables is calculated based on historical credit loss experience, adjusted for current and forecasted economic conditions[106] Government Grants and Other Income - Other income decreased significantly to SGD 87,133 from SGD 200,611 in the previous year, a decline of approximately 56.6%[29] - Total government grants received were 3,549 SGD for the six months ended December 31, 2023, compared to 75,027 SGD in the same period of 2022, indicating a decrease of approximately 95.3%[74] - Bank interest income decreased to 25,828 SGD in the six months ended December 31, 2023, down from 72,219 SGD in the same period of 2022, reflecting a decline of about 64.1%[74] Future Outlook and Investments - The group plans to invest SGD 0.3 million in purchasing external vehicles by June 30, 2024, or earlier[198] - The group has earmarked SGD 0.9 million for upgrading its enterprise resource planning system, with no specific utilization date indicated[198] - The total planned allocation for various projects amounts to SGD 16.6 million, reflecting a significant investment strategy[198] - The group anticipates that the unutilized net amount after reallocation will be utilized by June 30, 2024, for the purposes previously disclosed[199]

Financial Performance - The total revenue for the fiscal year ending June 30, 2023, was SGD 50.6 million, a significant increase from SGD 23.1 million in 2022, representing a growth of 118.5%[20] - The company's revenue for the year ended June 30, 2023, reached approximately SGD 50.6 million, an increase of about 119.5% compared to SGD 23.1 million for the year ended June 30, 2022[32] - Gross profit increased by approximately 73.1% to about SGD 2.5 million, up from SGD 1.4 million in the previous year[32] - The net loss after tax increased by approximately 150.7% to about SGD 1.5 million from SGD 0.6 million in the previous year[32] - The group reported a total comprehensive loss of SGD 1,335,882 for the fiscal year ended June 30, 2023, compared to a total comprehensive loss of SGD 1,548,747 for the previous year[182] - The company reported a pre-tax loss of SGD 1,612,611 for the fiscal year ending June 30, 2023, compared to a loss of SGD 580,968 in the previous year, indicating a significant increase in losses[186] Revenue Sources - Public sector projects contributed SGD 46.1 million, accounting for 91.0% of total revenue, while private sector projects contributed SGD 4.5 million, making up 9.0%[20] - The number of projects contributing to revenue increased from 68 in 2022 to 87 in 2023, indicating a growth in project acquisition[20] - The company confirmed revenue of approximately SGD 32.5 million from ongoing projects for the year ended June 30, 2023[34] Cost and Profitability - The gross profit margin for public sector projects was 5.3%, while the overall gross profit margin for the group was 4.9%[22] - The gross profit margin decreased from approximately 6.2% to about 4.9%, a decline of 1.3 percentage points, primarily due to increased costs of materials, wages, and subcontracting post-COVID-19[39] - Service costs increased by approximately 122.5% to about SGD 48.1 million from SGD 21.6 million in the previous year, aligning with the revenue increase[41] Market Position and Strategy - The company is well-positioned to capitalize on the growing construction demand in Singapore, particularly in the public sector where it has expertise[34] - The increase in revenue is attributed to the recovery from the COVID-19 pandemic and the influx of foreign workers into Singapore since July 2022[37] - The company is focusing on innovation and digitalization, investing in advanced technologies such as Building Information Modeling (BIM) to enhance project efficiency and outcomes[13] - The company is committed to sustainable development and aims to strengthen its competitive advantage in the industry[11] Risk Management - The company faces risks related to reliance on non-recurring contracts obtained through bidding processes, which may impact financial performance[17] - The company has adopted a risk management policy to identify, assess, and manage key business risks, with quarterly evaluations and mitigation plans in place[125] - The company has engaged external consultants to review the effectiveness of its risk management and internal control systems for the fiscal year ending June 30, 2023, with no significant issues identified[128] Corporate Governance - The company emphasizes high standards of corporate governance to protect shareholder interests and enhance corporate value[101] - The board consists of three executive directors and three independent non-executive directors, with recent appointments made on August 31, 2023, and October 19, 2023[75] - The company has established three committees: the audit committee, remuneration committee, and nomination committee, each with specific written terms of reference[81] - The company has adopted the standard code of conduct for securities trading as per Appendix 10 of the Listing Rules, confirming compliance by all directors for the year ended June 30, 2023[73] Shareholder Communication - The company aims to enhance communication with shareholders through various channels, including financial reports and annual general meetings[157] - The company will hold its annual general meeting on November 30, 2023, with a notice to be sent to shareholders at least 21 days in advance[136] - The company has complied with the shareholder communication policy throughout the fiscal year ending June 30, 2023, ensuring effective communication with shareholders[135] Financial Position - Total assets decreased from SGD 1,504,779,000 in 2022 to SGD 416,328,000 in 2023, representing a decline of approximately 72.3%[44] - Current assets increased from SGD 49,166,138,000 in 2022 to SGD 50,119,969,000 in 2023, showing a growth of about 1.9%[44] - Trade receivables rose significantly from SGD 5,301,383,000 in 2022 to SGD 7,833,214,000 in 2023, an increase of approximately 47.6%[44] - The group’s total equity as of June 30, 2023, was SGD 36,408,949, a decrease from SGD 37,744,831 in the previous year[182] Board Diversity and Composition - The board's composition includes 83.3% male and 16.7% female directors, with a diverse age range and service tenure[92] - As of June 30, 2023, the board consists of one female director and five male directors, indicating a commitment to gender diversity within the board[121] - The board has adopted a nomination policy to assist the nomination committee in recommending candidates for director appointments and reappointments, considering factors such as integrity, industry experience, and diversity[88] Legal and Compliance - The company has a zero-tolerance policy towards corruption and bribery, ensuring compliance with anti-corruption laws in the countries where it operates[127] - The company has not faced any serious or systemic violations of relevant laws and regulations during the fiscal year ending June 30, 2023[163]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示概不就因本公告全部或任何部 分內容而產生或因依賴該等內容而引致的任何損失承擔任何責任。 Khoon Group Limited 坤 集 團 有 限 公 司 （於開曼群島註冊成立的有限公司） 924 （股份代號： ） 2023 6 30 截至 年 月 日止年度之年度業績公告 坤集團有限公司（「本公司」）董事（「董事」）會（「董事會」）謹此宣佈本公司及其附屬公 2023 6 30 2022 司（下文統稱「本集團」）截至 年 月 日止年度的經審核業績連同 年同期的 經審核比較數字如下： 綜合損益及其他全面收益表 2023 6 30 截至 年 月 日止財政年度 2023 2022 附註 年 年 新加坡元 新加坡元 4 50,607,886 23,058,355 收益 (48,135,476) (21,630,075) 服務成本 ...

Financial Performance - Revenue for the six months ended December 31, 2022, was SGD 24,452,222, representing a 132.5% increase from SGD 10,520,931 in the same period of 2021[11] - Gross profit for the same period was SGD 2,024,750, up from SGD 875,502, indicating a significant improvement in profitability[11] - The company reported a profit before tax of SGD 694,225 compared to a loss of SGD 94,861 in the previous year, marking a turnaround in financial performance[11] - Net profit for the period was SGD 493,218, compared to a loss of SGD 146,308 in the prior year, reflecting a positive shift in overall earnings[11] - Basic and diluted earnings per share improved to SGD 0.05 from a loss of SGD 0.01, highlighting enhanced shareholder value[11] - The company reported a pre-tax profit of SGD 694,225 for the six months ended December 31, 2022, compared to a loss of SGD 146,308 in the same period of 2021, indicating a significant turnaround in performance[16] - The net profit after tax for the six months ended December 31, 2022, was approximately SGD 0.5 million, compared to a net loss of approximately SGD 0.1 million for the same period in 2021[75] Revenue Sources - Revenue from public sector clients accounted for SGD 21,364,418, compared to SGD 7,297,027 from the previous year, reflecting a growth of 194.5%[26] - Total revenue from electrical engineering services for the six months ended December 31, 2022, was SGD 24,452,222, up 132.5% from SGD 10,520,931 in 2021[26] - Total revenue from Singapore accounted for 100% of the group's revenue for the six months ended December 31, 2022, consistent with 2021[30] - Revenue from major customers exceeding 10% of total revenue includes Customer I at SGD 5,762,518, Customer II at SGD 4,499,163, and Customer III at SGD 2,632,521 for the six months ended December 31, 2022[29] Assets and Liabilities - Trade receivables increased to SGD 7,083,648 from SGD 5,301,383, indicating growth in sales and customer transactions[12] - Contract assets rose to SGD 31,703,508 from SGD 29,446,514, suggesting an increase in ongoing projects and future revenue potential[12] - Total assets as of December 31, 2022, were SGD 50,101,493, compared to SGD 49,166,138 at the end of June 2022, showing overall asset growth[12] - The company's equity increased to SGD 38,238,049 from SGD 37,744,831, indicating a strengthening financial position[12] - Trade payables increased to SGD 5,414,908 as of December 31, 2022, from SGD 2,435,219 as of June 30, 2022[66] - Contract liabilities as of December 31, 2022, amounted to SGD 282,591, compared to SGD 214,620 as of June 30, 2022[64] Cash Flow and Expenditures - Operating cash flow before changes in working capital was SGD 969,280, a substantial increase from SGD 36,100 in the previous year[16] - Cash and cash equivalents decreased by SGD 2,167,753, ending at SGD 10,579,212 compared to SGD 17,509,571 at the end of 2021[16] - The company experienced a net cash outflow from operating activities of SGD 2,154,437, compared to SGD 226,621 in the previous year[16] - The total cash outflow for leases amounted to SGD 79,312 for the six months ended December 31, 2022, compared to SGD 74,168 for the same period in 2021, reflecting an increase of approximately 6.5%[49] - The group made capital expenditures of approximately SGD 18,000 for the six months ended December 31, 2022, compared to SGD 50,000 for the previous period[101] Employee and Operational Costs - Total employee costs increased to SGD 2,612,419 for the six months ended December 31, 2022, from SGD 1,985,958 in 2021, reflecting a rise in wages and benefits[38] - The group employed a total of 200 employees as of December 31, 2022, compared to 124 employees a year earlier[99] - The company's service costs increased by approximately 132.5% to SGD 22.4 million, consistent with the revenue increase[81] Foreign Exchange and Risks - The company incurred a foreign exchange loss of SGD 188,160 during the reporting period, compared to a gain of SGD 61,429 in the previous year[16] - The group faced foreign exchange risk with bank balances of SGD 8.0 million denominated in USD and HKD as of December 31, 2022[95] Future Outlook and Plans - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[9] - The company expects to recognize revenue from unfulfilled contracts totaling SGD 97,656,816 over the next four years, from 2022 to June 30, 2026[28] - The company plans to allocate SGD 1.4 million for the purchase of additional machinery and equipment by June 30, 2023[105] - SGD 0.9 million is designated for the purchase of building information modeling software and supporting hardware upgrades by June 30, 2023[105] Shareholder Information - The company’s directors and key executives hold 55.0% of the shares through Lead Development Investment Limited[109] - The company’s major shareholders include Mr. Hong Wei Kun and Mr. Hong Guo Guang, who collectively control 55.0% of the shares[109] - A total of 550 million shares, representing 55.0% of the company's issued share capital, were sold for HKD 152.5 million (HKD 0.277 per share) in a share purchase agreement completed on January 27, 2023[107] Corporate Governance - The company has complied with the corporate governance code as per the listing rules for the six months ending December 31, 2022[116] - The interim results for the six months ending December 31, 2022, were not audited or reviewed by independent auditors, but were reviewed by the audit committee[118]

Financial Performance - For the fiscal year ending June 30, 2022, the company's revenue decreased by 12.3% to approximately SGD 23.1 million from about SGD 26.3 million in the previous year[12]. - The company's gross profit fell by 36.1% to approximately SGD 1.4 million, down from SGD 2.2 million in the prior year, primarily due to COVID-19 related disruptions[12]. - The gross margin decreased from approximately 8.5% in the previous year to about 6.2% for the fiscal year ending June 30, 2022[12]. - The net loss after tax increased by 237.4% to SGD 0.6 million, compared to a loss of SGD 0.2 million in the previous year[12]. - Total revenue decreased by approximately 3.2 million Singapore dollars or about 12.3% to approximately 23.1 million Singapore dollars for the year ended June 30, 2022, compared to 26.3 million Singapore dollars for the year ended June 30, 2021[17]. - Gross profit for the year ended June 30, 2022, was approximately 1.4 million Singapore dollars, a decrease of about 36.1% from approximately 2.2 million Singapore dollars for the year ended June 30, 2021, with a gross margin of 6.2%[23]. - Other income for the year ended June 30, 2022, was approximately 0.7 million Singapore dollars, a decrease from approximately 1.0 million Singapore dollars in 2021, primarily due to a reduction in COVID-19 government subsidies[25]. Project and Market Outlook - As of June 30, 2022, the company had 39 projects with a nominal or estimated contract value of approximately SGD 196.2 million, of which SGD 21.7 million was recognized as revenue during the fiscal year[13]. - The Singapore construction sector is expected to gradually improve, with projected construction demand reaching between SGD 27 billion and SGD 32 billion in 2022, with public sector projects accounting for 60% of this demand[13]. - The company is well-positioned to capitalize on new opportunities in the recovering Singapore construction industry, given its strong track record in public housing projects[7]. - The company anticipates that the easing of COVID-19 restrictions will facilitate the return of foreign workers, further supporting the construction sector's recovery[13]. Operational Challenges - The ongoing geopolitical tensions, such as the Russia-Ukraine war, have exacerbated global supply chain pressures and inflation, impacting the company's operational costs[12]. - The number of public sector projects contributing to revenue was 57, accounting for 70.7% of total revenue, while private sector projects numbered 11, contributing 29.3%[17]. Financial Position and Management - Trade receivables as of June 30, 2022, were approximately 5.3 million Singapore dollars, down from approximately 7.1 million Singapore dollars as of June 30, 2021[34]. - Contract assets (excluding receivables for warranty) were approximately 24.4 million Singapore dollars as of June 30, 2022, compared to approximately 28.6 million Singapore dollars as of June 30, 2021[35]. - The company did not recommend a final dividend for the year ended June 30, 2022, compared to zero Singapore dollars in 2021[40]. - Administrative expenses increased slightly to approximately 2.8 million Singapore dollars for the year ended June 30, 2022, from approximately 2.7 million Singapore dollars in 2021, mainly due to increased employee salaries and training costs[30]. - Financing costs remained stable at approximately 5,000 Singapore dollars for the year ended June 30, 2022, compared to approximately 4,000 Singapore dollars in 2021[31]. - As of June 30, 2022, the group's total cash and bank balances were approximately SGD 12.9 million, down from SGD 17.7 million as of June 30, 2021[41]. - The group maintained a zero debt ratio as of June 30, 2022, consistent with the previous year[47]. - The total employee cost for the year ended June 30, 2022, was approximately SGD 5.1 million, an increase from SGD 4.3 million in 2021, reflecting the hiring of additional staff[50]. Corporate Governance - The company has adopted the corporate governance code as per the Hong Kong Stock Exchange's listing rules, ensuring compliance for the fiscal year ending June 30, 2022[88]. - The board of directors is responsible for overall strategic planning, business development, and corporate governance, holding regular meetings throughout the year to monitor business performance[90]. - The company has confirmed compliance with the standard code of conduct for securities trading by all directors for the fiscal year ending June 30, 2022[89]. - The company has established various committees to assist the board in fulfilling its corporate governance responsibilities[90]. - The company’s independent directors are tasked with providing independent judgment and oversight of the company’s operations[72][77]. - The company has maintained high standards of corporate governance to protect shareholder interests and enhance corporate value[87]. - The board consists of three executive directors and three independent non-executive directors, ensuring a balanced governance structure[95]. - The company held four board meetings and two committee meetings during the fiscal year ending June 30, 2022, demonstrating active governance engagement[97]. Risk Management - The company has developed a risk management policy to identify, assess, and manage key business risks, with departments responsible for their own risk management[130]. - The audit committee's responsibilities include reviewing risk management and internal control systems, ensuring robust financial reporting[108]. - The company aims to provide reasonable assurance regarding the effectiveness of its risk management and internal control systems, rather than absolute assurance[130]. - The board has reviewed the effectiveness of the group's risk management and internal control systems and deemed them effective and adequate as of June 30, 2022[131]. Shareholder Information - As of June 30, 2022, the major shareholders include Lead Development, which holds 550,000,000 shares, representing 55.00% of the issued share capital[171]. - Mr. Hong Wei-Kun and Mr. Hong Guo-Guang each hold 550,000,000 shares, also representing 55.00% of the issued share capital, with Mr. Hong Wei-Kun having a beneficial ownership of 87.27% in Lead Development[165]. - The company did not purchase, sell, or redeem any of its listed securities during the year ending June 30, 2022[176]. - There were no arrangements made for directors to acquire shares or debentures of the company or any corporate body during the year ending June 30, 2022[177]. - The company has not disclosed any significant contracts involving the directors or related entities during the year ending June 30, 2022[178]. - No significant contracts were reported involving the controlling shareholders during the year ending June 30, 2022[179].