Financial Performance - Revenue for the six months ended December 31, 2021, was SGD 10,520,931, a decrease of 26.3% compared to SGD 14,251,784 in the same period of 2020[9] - Gross profit for the same period was SGD 875,502, down 51.2% from SGD 1,793,832 in 2020[9] - The company reported a loss before tax of SGD 94,861, compared to a profit of SGD 343,390 in the previous year[9] - For the six months ended December 31, 2021, the company reported a pre-tax loss of SGD 146,308 compared to a profit of SGD 343,390 in the same period of 2020, indicating a significant decline in performance[15] - The net loss for the period was approximately SGD 0.1 million, a decrease of 232.1% compared to a net profit of SGD 0.1 million in the prior year[95] - The gross margin fell to 8.3% from 12.6%, representing a decline of 4.3 percentage points[98] - The group reported a loss before tax of SGD (94,861) for the six months ended December 31, 2021, compared to a profit of SGD 343,390 in 2020[40] Assets and Liabilities - Total assets as of December 31, 2021, were SGD 54,480,071, a decrease from SGD 59,574,097 as of June 30, 2021[11] - Current liabilities decreased to SGD 17,543,994 from SGD 22,671,640 in the previous period[11] - The net asset value as of December 31, 2021, was SGD 38,216,366, slightly down from SGD 38,362,674 as of June 30, 2021[11] - The total cash balance was SGD 17,509,571 at the end of the period, down from SGD 18,587,270 at the end of the previous period[15] - As of December 31, 2021, trade receivables amounted to SGD 3,437,000, down 51.3% from SGD 7,050,305 as of June 30, 2021[58] - Trade payables decreased to SGD 3,007,084 as of December 31, 2021, down from SGD 4,255,871 as of June 30, 2021[84] Cash Flow and Operating Activities - Operating cash flow before changes in working capital was SGD 36,100, a drastic decrease from SGD 1,445,277 in the previous year[15] - The net cash used in operating activities was SGD 226,621, compared to SGD 1,667,510 in the prior period, reflecting ongoing financial challenges[15] - The company experienced a decrease in cash and cash equivalents, with a net decrease of SGD 299,676, contrasting with an increase of SGD 3,699,055 in the same period last year[15] - The company’s cash and cash equivalents stood at SGD 17,509,571, compared to SGD 17,747,818 in the previous period[11] Employee Costs - Total employee costs increased to SGD 1,985,958 for the period, up from SGD 1,765,686 in the previous year, representing a rise of 12.5%[41] - As of December 31, 2021, the group employed 124 employees, a decrease from 139 employees as of December 31, 2020[120] Revenue Sources - Revenue from public sector clients was SGD 7,297,027 for the six months ended December 31, 2021, down from SGD 8,178,531 in 2020, indicating a decline of 10.7%[27] - Major clients contributing over 10% of total revenue included Client I with SGD 2,167,226 and Client II with SGD 1,938,732, with Client I's revenue decreasing by 68.6% from SGD 6,907,904 in 2020[30] Government Grants and Tax - Government grants recognized during the period amounted to SGD 198,310, a decrease of 60.6% from SGD 502,572 in 2020[36] - The group incurred a tax expense of SGD 51,447 for the six months ended December 31, 2021, compared to SGD 232,671 in the same period of 2020, reflecting a decrease of 77.9%[39] Capital Expenditures and Investments - Capital expenditures for the six months ended December 31, 2021, amounted to approximately SGD 20,000, compared to SGD 0.2 million for the same period in 2021[123] - The company has no significant capital commitments as of December 31, 2021[124] Future Outlook and Strategies - The company continues to explore new strategies for market expansion and product development[14] - The company expects Singapore's construction demand for 2022 to be between SGD 27 billion and SGD 32 billion, with public sector projects accounting for about 60% of total demand[96] Corporate Governance - The company has complied with the corporate governance code as per the listing rules as of December 31, 2021[143] - The interim results for the six months ended December 31, 2021, were not audited by the independent auditor, but the audit committee reviewed the unaudited consolidated results[145]

Financial Performance - For the fiscal year ending June 30, 2021, the company's revenue decreased by 30.6% to approximately SGD 26.3 million from about SGD 37.9 million in the previous year[12]. - The gross profit also fell by 67.5% to approximately SGD 2.2 million, down from SGD 6.9 million in the prior year[12]. - The gross margin dropped significantly from approximately 18.1% to about 8.5% due to increased material and labor costs amid the COVID-19 pandemic[13]. - The company reported a net loss of SGD 0.2 million for the fiscal year, a decline of 104.9% from a net profit of SGD 3.7 million in the previous year[13]. - Total revenue decreased by approximately 30.6% from SGD 37.9 million in 2020 to SGD 26.3 million in 2021[17]. - Gross profit fell by about 67.5% from SGD 6.9 million in 2020 to SGD 2.2 million in 2021, with a gross margin decline of 9.6% to 8.5%[25]. - Public sector projects contributed SGD 16.6 million (63.2% of total revenue) in 2021, down from SGD 26.8 million (70.7%) in 2020[17]. - Private sector projects generated SGD 9.7 million (36.8% of total revenue) in 2021, compared to SGD 11.1 million (29.3%) in 2020[17]. - Other income increased to approximately SGD 1.0 million in 2021 from SGD 0.9 million in 2020, primarily due to COVID-19 government subsidies[27]. - The company reported a net loss of approximately SGD 0.2 million for the year ended June 30, 2021, compared to a profit of SGD 3.7 million in 2020[32]. Project and Contract Information - As of June 30, 2021, the company had 32 projects with an estimated contract value of approximately SGD 144.2 million, of which SGD 19.8 million was recognized as revenue during the fiscal year[14]. - The Singapore government is expected to award construction contracts valued between SGD 23 billion and SGD 28 billion in 2021, with continued recovery in construction demand anticipated over the next five years[13]. Expenses and Financial Management - Administrative expenses slightly decreased to SGD 2.7 million in 2021 from SGD 2.8 million in 2020[29]. - Financing costs remained stable at approximately SGD 4,000 in 2021, compared to SGD 6,000 in 2020[30]. - Cash and cash equivalents totaled approximately SGD 17.7 million as of June 30, 2021, up from SGD 15.7 million in 2020[34]. - The group had a total employee cost of approximately SGD 4.3 million, down from SGD 5.3 million in 2020, with a total of 120 employees compared to 159 in the previous year[45]. Corporate Governance - The company has adopted all provisions of the Corporate Governance Code as its own governance practices[83]. - The board of directors consists of three executive directors and three independent non-executive directors[89]. - The board held regular meetings throughout the year to formulate overall strategies and monitor business development and financial performance[87]. - The company expects to hold at least four regular board meetings each fiscal year, approximately once per quarter[91]. - The company has complied with the Corporate Governance Code during the fiscal year ending June 30, 2021[84]. - All directors confirmed compliance with the standards of conduct for securities trading during the year[85]. - The company has a strong commitment to high standards of corporate governance to protect shareholder interests and enhance corporate value[83]. - The board is responsible for overall strategic planning, business development, and corporate management[87]. - The company has established various committees to assist the board in fulfilling its governance responsibilities[87]. - The company established three committees: Audit Committee, Remuneration Committee, and Nomination Committee to oversee specific aspects of its affairs[98]. Risk Management and Compliance - The company has established a risk management and internal control system to manage operational and financial risks, ensuring shareholder protection[118]. - The board confirmed the effectiveness and adequacy of the risk management and internal control systems as of June 30, 2021[120]. - The company has no internal audit function and has appointed external consultants to review the effectiveness of its risk management and internal control systems[120]. - The company’s management is responsible for identifying and managing risks within their departments, with quarterly assessments of major risks[119]. - The company’s board is responsible for reviewing the effectiveness of the risk management and internal control systems annually[119]. Shareholder Information - The company has established a communication platform for shareholders and investors through its website, ensuring timely access to financial performance and strategic goals[128]. - The company’s articles of association allow shareholders to request a special general meeting if they hold at least 10% of the paid-up capital[126]. - The company has adopted a dividend policy that allows shareholders to participate in profits while retaining sufficient reserves for future growth, contingent on profitability and operational stability[193]. - No interim dividend was declared or paid for the year ended June 30, 2021[197]. - The board does not recommend a final dividend for the year ended June 30, 2021, compared to zero Singapore dollars in 2020[198]. Investments and Future Plans - The company plans to acquire a new Singapore-based air conditioning and mechanical ventilation contractor with a minimum registration level of "L4" by June 30, 2023, with an allocated budget of $3.5 million[59]. - An additional $0.8 million will be allocated for strengthening the group's workforce by June 30, 2023[59]. - The company has earmarked $3.5 million for initial costs and working capital needs for existing electrical engineering projects[59]. - For new potential electrical engineering projects, the company plans to allocate $3.0 million for initial costs and working capital[59]. - A budget of $0.6 million is set aside for the purchase of additional machinery and equipment by June 30, 2023[59]. - The company will invest $0.4 million in purchasing building information modeling software along with supporting hardware to upgrade its enterprise resource planning system by June 30, 2023[59]. - An allocation of $0.2 million is designated for the purchase of additional vehicles by June 30, 2023[59]. - The company has reserved $1.5 million for general working capital needs, which is not applicable to a specific timeline[59]. - The total amount allocated for these initiatives is $13.5 million, with $8.5 million already utilized, leaving a remaining balance of $5.0 million[59]. Shareholder and Director Interests - As of June 30, 2021, Mr. Hong Wei Kun holds 550,000,000 shares, representing 55.00% of the issued share capital of the company[150]. - Mr. Hong Guo Guang also holds 550,000,000 shares, accounting for 55.00% of the issued share capital, jointly with another individual[150]. - Lead Development Investment Limited, directly owned by Mr. Hong Wei Kun and Mr. Hong Guo Guang, holds 550,000,000 shares, which is 55.00% of the company[157]. - Mr. Hong Wei Kun has a beneficial interest of 87.27% in Lead Development, while Mr. Hong Guo Guang has 12.73%[153]. Supplier and Customer Relationships - The largest supplier accounted for approximately 19.4% of total procurement, while the top five suppliers accounted for about 51.6% of total procurement for the year ended June 30, 2021[183]. - The largest customer contributed approximately 39.5% of total revenue, and the top five customers accounted for about 68.4% of total revenue for the year ended June 30, 2021[183]. - The company has established long-term business relationships with major customers, with most of the top five customers having relationships ranging from three to ten years[186].

Financial Performance - Revenue for the six months ended December 31, 2020, was SGD 14,251,784, a decrease of 45.6% compared to SGD 26,172,657 for the same period in 2019[9] - Gross profit for the same period was SGD 1,793,832, down 66.1% from SGD 5,299,035 in 2019[9] - The company reported a profit before tax of SGD 343,390, a significant decline of 90.6% from SGD 3,654,931 in the previous year[9] - Net profit for the period was SGD 110,719, compared to SGD 2,903,930 in the prior year, representing a decrease of 96.2%[9] - Basic and diluted earnings per share were SGD 0.011, down from SGD 0.39 in the same period last year[9] - The group reported a net profit attributable to owners of approximately SGD 0.1 million for the six months ended December 31, 2020, down from approximately SGD 2.9 million in the previous year, a decrease of about 97.0%[118] Assets and Liabilities - Total assets as of December 31, 2020, were SGD 65,794,290, slightly up from SGD 64,646,167 as of June 30, 2020[11] - Current liabilities increased to SGD 29,099,244 from SGD 28,199,898, indicating a rise in short-term financial obligations[11] - Non-current assets decreased to SGD 2,024,487 from SGD 2,246,194, reflecting a reduction in long-term investments[11] - Trade receivables as of December 31, 2020, amounted to SGD 6,677,480, a significant increase from SGD 2,854,253 as of June 30, 2020[63] - The total contract assets increased to SGD 39,861,926 as of December 31, 2020, from SGD 39,632,362 as of June 30, 2020[76] - Contract liabilities decreased significantly from SGD 300,528 as of June 30, 2020, to SGD 23,754 as of December 31, 2020, reflecting improved cash flow management[76] Cash Flow and Management - The company reported a net cash flow from operating activities of SGD (1,667,510) for 2020, compared to SGD (6,160,247) in 2019, indicating an improvement in cash flow management[16] - Cash and cash equivalents at the end of the period increased to SGD 18,587,270 from SGD 3,099,326 in 2019, representing a growth of approximately 499.5%[16] - Cash and cash equivalents increased to SGD 18,587,270 as of December 31, 2020, from SGD 15,753,748 as of June 30, 2020, representing a growth of about 11.7%[87] Operational Efficiency and Strategic Initiatives - The company is focusing on strategic initiatives to enhance operational efficiency and explore new market opportunities moving forward[12] - The group has 30 projects on hand with a nominal or estimated contract value of approximately SGD 142.2 million, of which SGD 71.8 million has been recognized as revenue in prior years[102] - The group experienced significant delays in project progress due to COVID-19 restrictions, with only about 20% of ongoing projects allowed to resume work during the lockdown period[99] Government Support and Grants - Other income for the six months ended December 31, 2020, totaled SGD 619,672, a substantial increase from SGD 93,158 in the same period of 2019, primarily due to government grants related to COVID-19 support[32] - The company received government grants primarily to support local employees, covering 25% to 75% of monthly wages for eligible employees[32] Employee Costs and Workforce - Total employee costs for the six months ended December 31, 2020, were SGD 1,765,686, down from SGD 2,796,514 in the same period of 2019[38] - As of December 31, 2020, the total employee cost for the group was approximately SGD 1.8 million, down from SGD 2.8 million for the same period in 2019, reflecting a reduction in workforce from 175 to 139 employees[128] Shareholder and Corporate Governance - The company has adopted a share option scheme aimed at rewarding eligible individuals for their contributions and attracting talent since June 10, 2019, with no options granted, exercised, cancelled, or lapsed as of December 31, 2020[149] - The company has complied with the corporate governance code as per the listing rules for the six months ending December 31, 2020[150] - There were no purchases, sales, or redemptions of the company's listed securities by the company or any of its subsidiaries during the six months ending December 31, 2020[151] Future Outlook and Plans - The company plans to allocate SGD 7.1 million for acquiring a registered air conditioning and mechanical ventilation contractor, with SGD 3.5 million remaining after initial allocations[132] - The company plans to acquire ME01, a registered contractor for air conditioning and mechanical ventilation in Singapore, with an allocation of SGD 3.5 million expected to be fully utilized by June 30, 2023[136] - The board will closely monitor the impact of COVID-19 on the utilization timeline of the unutilized net proceeds and will report any significant changes to shareholders and potential investors[138]

Financial Performance - For the fiscal year ending June 30, 2020, the company's revenue decreased by 22.1% to approximately SGD 37.9 million, down from SGD 48.6 million in the previous year[17]. - The company's gross profit also fell by 28.2% to approximately SGD 6.9 million, compared to SGD 9.6 million for the fiscal year ending June 30, 2019[17]. - The gross profit margin decreased to 18.1% from 19.8% in the previous year, reflecting the impact of COVID-19 on operations[19]. - The net profit remained stable at approximately SGD 3.7 million for both fiscal years ending June 30, 2020, and June 30, 2019[19]. - Total revenue decreased by approximately 10.7 million Singapore dollars or about 22.1% to approximately 37.9 million Singapore dollars for the year ended June 30, 2020, compared to approximately 48.6 million Singapore dollars for the year ended June 30, 2019[22]. - Service costs decreased by approximately 8.0 million Singapore dollars or about 20.6% to approximately 31.0 million Singapore dollars for the year ended June 30, 2020, consistent with the revenue decline[23]. - Gross profit for the year ended June 30, 2020, was approximately 6.9 million Singapore dollars, a decrease of about 28.2% from approximately 9.6 million Singapore dollars for the year ended June 30, 2019, with a gross margin of 18.1% compared to 19.8% in the previous year[26]. - Other income increased to approximately 0.9 million Singapore dollars for the year ended June 30, 2020, from approximately 0.2 million Singapore dollars in 2019, primarily due to increased bank interest income and government subsidies related to COVID-19[27]. - Administrative expenses increased by approximately 17.2% to about 2.8 million Singapore dollars for the year ended June 30, 2020, compared to approximately 2.4 million Singapore dollars for the year ended June 30, 2019[30]. - The company reported a net profit attributable to owners of approximately 3.7 million Singapore dollars for the year ended June 30, 2020, consistent with the previous year, but adjusted profit decreased by about 34.1% to approximately 4.1 million Singapore dollars[34]. Project and Contract Information - As of June 30, 2020, the company had 35 projects with an estimated total contract value of approximately SGD 153.1 million, of which SGD 53.0 million had been recognized as revenue in prior years[18]. - The construction industry in Singapore contracted by 54.7% year-on-year in the second quarter of 2020 due to COVID-19 measures, but a gradual reopening is expected to alleviate this decline in the second half of the year[18]. Government Support and Economic Outlook - The Singapore government has introduced several stimulus measures to mitigate the economic impact of the pandemic, which is expected to benefit the company in the long term[18]. - The company continues to adapt to the new normal and is confident in overcoming challenges with the support of its management team and employees[14]. Corporate Governance - The company has adopted all provisions of the Corporate Governance Code as its own governance practices since its listing on July 5, 2019, until June 30, 2020[75]. - The board of directors consists of three executive directors and three independent non-executive directors, ensuring a balanced governance structure[78]. - The company held a total of 4 board meetings and 2 committee meetings during the fiscal year, demonstrating active governance engagement[83]. - All directors confirmed compliance with the trading code for securities transactions from the listing date until June 30, 2020[76]. - The company has established three committees: Audit Committee, Remuneration Committee, and Nomination Committee, to oversee specific aspects of its affairs[87]. - Independent non-executive directors are required to have appropriate professional qualifications or relevant financial management expertise, ensuring effective oversight[84]. - The company plans to hold at least four regular board meetings each fiscal year, approximately once per quarter, in line with governance code requirements[83]. - The company has received annual independence confirmations from all independent non-executive directors, affirming their compliance with listing rules[84]. - The term for independent non-executive directors is set for three years, subject to re-election at the annual general meeting[86]. - The board regularly reviews the effectiveness of the group's risk management and internal control systems[77]. Risk Management - The Audit Committee consists of three independent non-executive directors, with Ms. Chan Pei Fen as the chairperson, responsible for reviewing risk management and internal control systems, financial policies, and financial statements[89]. - The company has established a risk management policy to identify, assess, and manage key business risks, with quarterly evaluations conducted[105]. - The board confirmed the effectiveness and adequacy of the group's risk management and internal control systems as of June 30, 2020[106]. - The company has appointed external consultants to perform internal audit functions and review the effectiveness of its risk management and internal control systems[106]. Employee and Compensation Information - As of June 30, 2020, the total employee cost was approximately SGD 5.3 million, down from SGD 6.0 million in 2019, with a total of 159 employees compared to 191 in 2019[44]. - The employee compensation policy is regularly reviewed to ensure competitiveness and retention of high-quality staff[44]. Environmental, Social, and Governance (ESG) Initiatives - The company has a quality management system certified to ISO 9001:2008 standards, ensuring the safety and functionality of electrical systems[183]. - The company has established an occupational health and safety management system compliant with ISO 45001:2018 standards to promote employee safety and prevent accidents[183]. - The board regularly evaluates ESG matters and monitors the implementation of sustainability strategies[187]. - The company maintains close communication with stakeholders to accurately assess the potential impacts of its business activities related to ESG[187]. - The company has not reported any significant violations of environmental laws and regulations during the reporting period[193]. - The company adheres to ISO 14001:2004 standards to enhance environmental awareness and prevent pollution from projects[184]. - The company reported a reduction in nitrogen oxides emissions from 88,195.07 grams in 2019 to 64,209.83 grams in 2020, a decrease of approximately 27.2%[195]. - Sulfur oxides emissions decreased from 310.45 grams in 2019 to 214.02 grams in 2020, representing a reduction of about 30.9%[195]. - The company achieved a reduction in direct greenhouse gas emissions from mobile combustion sources, with carbon dioxide emissions decreasing from 50,048.8 kg in 2019 to 34,501.11 kg in 2020, a decline of approximately 30.9%[196]. - Indirect greenhouse gas emissions from purchased electricity decreased from 17,493.88 kg in 2019 to 14,494.79 kg in 2020, a reduction of about 17.1%[196]. - The company has implemented measures to enhance employee environmental awareness, focusing on energy conservation and resource utilization[198]. - The company has established a recycling program for paper waste, encouraging employees to recycle old paper for daily printing and internal communication[198]. Shareholder and Financial Communication - The company aims to ensure transparent and timely communication with shareholders through various channels, including financial reports and shareholder meetings[112]. - The company will promptly report any significant changes to shareholders and potential investors[57]. Capital and Investment Information - The company had no bank borrowings as of June 30, 2020, maintaining a debt-to-equity ratio of zero[41]. - There were no significant investments or acquisitions during the reporting period, and no plans for major investments or capital assets were disclosed[42]. - The company has no significant capital commitments as of June 30, 2020[49]. - The company confirmed compliance with a non-competition agreement established on June 10, 2019, by its major shareholders[151]. - The company did not enter into any management or administrative contracts for its overall business during the fiscal year ending June 30, 2020[130]. - The company did not engage in any related party transactions that required disclosure under the Listing Rules during the fiscal year ending June 30, 2020[147]. Dividend Information - No interim dividend was declared for the year ended June 30, 2020, and no final dividend was recommended for the same period[175][176]. - The company has a dividend policy that allows for shareholder participation in profits while retaining sufficient reserves for future growth[172]. Share Placement and Securities - The company successfully placed 200,000,000 shares, representing 20% of the existing issued share capital, at HKD 0.265 per share on March 20, 2020[1]. - The company did not purchase, sell, or redeem any of its listed securities[142]. - There were no arrangements made for the acquisition of shares or debt securities by the company or its subsidiaries during the fiscal year ending June 30, 2020[143]. Supplier and Customer Relationships - The largest supplier accounted for approximately 15.0% of total procurement, while the top five suppliers represented about 45.9% of total procurement for the year ended June 30, 2020[160]. - The largest customer contributed approximately 15.2% to total revenue, with the top five customers accounting for about 51.6% of total revenue for the year ended June 30, 2020[160]. - The company maintains stable long-term business relationships with major customers, with most of the top five customers having relationships ranging from three to nine years[163].

Financial Performance - Revenue for the six months ended December 31, 2019, was SGD 26,172,657, an increase of 14.0% compared to SGD 22,900,905 for the same period in 2018[8] - Gross profit for the period was SGD 5,299,035, representing a gross margin of 20.2%, up from SGD 4,494,052 in the previous year[8] - Profit before tax increased to SGD 3,654,931, a significant rise of 110.5% from SGD 1,738,471 in the prior year[8] - Net profit for the period was SGD 2,903,930, compared to SGD 1,148,700 in the same period last year, marking a growth of 153.1%[8] - Basic and diluted earnings per share increased to SGD 0.39, up from SGD 0.15 in the previous year, reflecting a growth of 160%[8] - The company reported a total comprehensive income of SGD 2,903,930 for the six months ended December 31, 2019, compared to a total comprehensive income of SGD 1,148,700 in the previous year[12] - The company’s accumulated profits reached SGD 15,747,708 as of December 31, 2019, compared to SGD 10,347,445 at the end of the previous year, indicating a positive trend in profitability[11] - The company’s net profit attributable to owners increased from approximately SGD 1.1 million for the six months ended December 31, 2018, to approximately SGD 2.9 million for the same period in 2019, representing a year-on-year increase of approximately 30.1%[124] Assets and Liabilities - Total assets as of December 31, 2019, were SGD 67,938,178, an increase from SGD 43,155,296 as of June 30, 2019[9] - Current liabilities stood at SGD 31,686,042, compared to SGD 30,619,562 in the previous period, indicating a slight increase of 3.5%[9] - The company's net asset value increased to SGD 38,016,421 from SGD 14,349,007, showing a substantial growth of 164.5%[9] - Cash and cash equivalents decreased to SGD 3,099,326 from SGD 5,993,458, a decline of 48.3%[9] - Trade receivables as of December 31, 2019, amount to SGD 4,070,608, an increase from SGD 2,688,824 as of June 30, 2019[76] - Trade payables increased to SGD 2,973,388 as of December 31, 2019, up from SGD 2,751,365 as of June 30, 2019, reflecting a growth of 8.1%[98] - The company’s deferred tax liabilities increased to SGD 61,099 as of December 31, 2019, from SGD 53,603 as of June 30, 2019, indicating a rise of 13.9%[101] Cash Flow and Investments - Operating cash flow before changes in working capital was SGD 3,873,453, significantly higher than SGD 1,921,801 in the previous year, indicating improved operational efficiency[12] - The company experienced a net cash outflow from operating activities of SGD 5,964,712 for the six months ended December 31, 2019, compared to SGD 667,036 in the prior year, reflecting increased investment in working capital[12] - The company raised SGD 21,897,971 from the issuance of equity shares during the financing activities, which contributed to its cash position[12] - The company had performance guarantees of approximately SGD 1.7 million as of December 31, 2019, compared to SGD 0.9 million as of June 30, 2019[134] - The total amount utilized from the funds raised was approximately SGD 1.9 million, which was allocated for hiring additional staff, pre-operational costs for new projects, and general working capital[140] Market and Strategic Initiatives - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[6] - The company is focused on expanding its market presence and enhancing operational capabilities through strategic investments and restructuring efforts[13] - The company anticipates challenges in the Singapore construction industry due to global economic downturn risks and the impact of COVID-19[108] - The company believes it is well-positioned to navigate potential challenges due to the efforts of its management and staff, along with funds raised from the share issuance[108] Acquisitions and Corporate Structure - Top Stride acquired Khoon Engineering for a total consideration of SGD 12,153,645, which included 1,309,090 shares at SGD 10,606,810 and 190,910 shares at SGD 1,546,835[24] - Following the acquisition, Khoon Engineering became a wholly-owned subsidiary of Top Stride, and subsequently, Top Stride was acquired by the company for a total of SGD 12,917,894[27] - The restructuring completed on March 12, 2019, positioned the company as the holding entity of the group, facilitating operations through its Singapore subsidiary, Khoon Engineering[27] Compliance and Governance - The company's interim results for the six months ended December 31, 2019, were not audited by independent auditors, but the audit committee reviewed the unaudited consolidated results[157] - The company has complied with the corporate governance code as per the listing rules during the reporting period[155] - All directors have confirmed compliance with the trading code for securities transactions during the six-month period ending December 31, 2019[151] Employee and Operational Costs - Total employee costs for the period amounted to SGD 2,796,514, a decrease of 12.3% from SGD 3,187,799 in the previous year[66] - The company incurred a total cost of SGD 6,730,661 for materials recognized as service costs, which increased from SGD 4,870,991 in the previous year, representing a rise of 37.9%[66] - The total cost of listing expenses was SGD 818,835, down from SGD 1,713,232 in the previous year, showing a decrease of 52.2%[66] Financial Reporting Standards - The company has adopted the new International Financial Reporting Standard (IFRS) 16 for leases, which significantly changes the accounting treatment of leases by requiring the recognition of right-of-use assets and lease liabilities[39] - The initial application date for IFRS 16 was July 1, 2019, and the company opted for a practical expedient approach for leases entered into before this date[30] - The company has not early adopted any new IFRS standards that are not yet effective, which may significantly impact its financial position and performance in the foreseeable future[29]

Financial Performance - For the fiscal year ending June 30, 2019, the company's revenue increased by 44.2% to approximately SGD 48.6 million, compared to SGD 33.7 million for the previous year[12]. - Gross profit rose by 47.7% to approximately SGD 9.6 million, with a gross margin of 19.8%, up from 19.3% in the previous year[15]. - Net profit increased by 5.7% to approximately SGD 3.7 million, compared to SGD 3.5 million for the previous year[15]. - Total revenue increased from approximately SGD 33.7 million for the year ended June 30, 2018, to approximately SGD 48.6 million for the year ended June 30, 2019, representing a growth of about 44.2%[18]. - Revenue from public sector projects significantly increased by approximately SGD 11.4 million or 37.2%[18]. - Gross profit for the year ended June 30, 2019, was approximately SGD 9.6 million, up about 47.3% from approximately SGD 6.5 million for the year ended June 30, 2018[22]. - The gross profit margin for the year ended June 30, 2019, was approximately 19.8%, slightly up from 19.3% in the previous year[22]. - The net profit attributable to owners increased from approximately SGD 3.5 million for the year ended June 30, 2018, to approximately SGD 3.7 million for the year ended June 30, 2019, reflecting a growth of about 5.7%[28]. - Other income decreased to approximately SGD 0.2 million for the year ended June 30, 2019, from approximately SGD 0.3 million in the previous year[23]. - The company had no financing costs for the year ended June 30, 2019, compared to approximately SGD 39,000 in the previous year[26]. - The company reported a total distributable reserve of approximately SGD 12.8 million as of June 30, 2019, compared to SGD 9.2 million in 2018, representing a year-over-year increase of 39.1%[116]. Projects and Contracts - The company has a total of 43 projects with an estimated contract value of approximately SGD 111.5 million as of June 30, 2019, of which SGD 48.6 million has been recognized as revenue[13]. - The company anticipates a brief growth in the Singapore construction industry, followed by a decline in 2020 due to global economic recession risks[13]. - The company specializes in providing electrical engineering solutions, which are crucial for ensuring the functionality and compliance of electrical systems in new developments and renovations[12]. - The company has a strong track record in public housing projects initiated by the Housing Development Board of Singapore[12]. - The company emphasizes the importance of delivering quality work and fulfilling commitments to all awarded projects[9]. Employee and Administrative Information - As of June 30, 2019, the group employed 191 employees, an increase from 181 employees in 2018[40]. - Total employee costs for the year ended June 30, 2019, were approximately SGD 6.0 million, up from approximately SGD 4.7 million in 2018[40]. - Administrative expenses increased by approximately 44.9% to about SGD 2.4 million for the year ended June 30, 2019, compared to approximately SGD 1.7 million for the previous year[25]. - The company regularly reviews its employee compensation policies to attract and retain high-quality staff[40]. - The group provides comprehensive training to employees to equip them with practical knowledge and skills[40]. Corporate Governance - The company is committed to high standards of corporate governance, having adopted all provisions of the corporate governance code as per the listing rules[64]. - The company has appointed three independent non-executive directors, including Ms. Chen Peifen, Mr. Yang Guang, and Mr. Han Zhenqiang, to provide independent judgment to the board[53][54][57]. - The board consists of three executive directors and three independent non-executive directors, ensuring a balanced governance structure[68]. - The company has established committees, including the audit committee and remuneration committee, to support governance and oversight functions[64]. - The company has confirmed compliance with the standard code of conduct for securities trading by all directors since the listing date[66]. - The company has adopted a board diversity policy to enhance board effectiveness and performance by considering various factors such as gender, age, and experience[90]. - The company ensures compliance with corporate governance codes and has published its governance policies on its website[78]. Risk Management - The company has a structured approach to risk management and internal control, which is reviewed regularly by the board[67]. - The board confirmed its responsibility to maintain an effective risk management and internal control system to safeguard shareholder interests[94]. - The group aims to identify, assess, and manage key business risks through a structured risk management policy, with quarterly evaluations of major risks[95]. - The board reviewed the effectiveness of the risk management and internal control systems and deemed them effective and adequate[98]. - The company has engaged external consultants to perform internal audit functions and review the effectiveness of its risk management and internal control systems[98]. Environmental and Social Responsibility - The company has implemented an environmental management system that complies with ISO 14001:2004 to enhance environmental awareness and prevent pollution from projects[170]. - During the reporting period, the company reported no significant violations of environmental laws and regulations[175]. - The company has a commitment to occupational health and safety management, adhering to OHSAS 18001:2007 standards[170]. - The health and safety management system of the group is certified to meet the OHSAS 18001 standard and has achieved the highest bizSAFE Level Star certification[193]. - The group conducts regular risk assessments regarding workplace safety and health risks as per the Workplace Safety and Health (Risk Management) regulations[193]. - The group provides comprehensive support and on-site training for employees to ensure their safety and career development[195]. Shareholder Information - The company has successfully listed on the Hong Kong Stock Exchange on July 5, 2019, raising approximately HKD 95 million from the issuance of 250 million shares[8]. - The net proceeds from the share offering were approximately HKD 95.0 million after deducting listing expenses[46]. - The allocation of net proceeds includes SGD 40.6 million (42.7%) for acquiring a registered air conditioning contractor, SGD 14.5 million (15.3%) for hiring additional staff, and SGD 10.4 million (10.9%) for expanding properties[47]. - The company did not recommend a final dividend for the year ended June 30, 2019, compared to SGD 3.0 million in the previous year[30]. - No arrangements were made for directors to acquire shares or debentures of the company during the fiscal year ending June 30, 2019[131]. Supplier and Customer Information - The largest supplier accounted for approximately 16.5% of total procurement, while the top five suppliers represented about 47.2% of total procurement for the year ending June 30, 2019[147]. - The largest customer contributed approximately 16.1% of total revenue, with the top five customers accounting for about 63.5% of total revenue for the same period[147].