Revenue Performance - For the six months ended September 30, 2022, the Group recorded total revenue of approximately SGD 21.5 million, a decrease of about SGD 6.0 million or 21.9% compared to approximately SGD 27.5 million for the same period in 2021[20]. - The revenue decrease was primarily due to a reduction in income from the building materials trading business, which did not contribute any revenue during the reporting period[30]. - Revenue for the six months ended September 30, 2022, was SGD 21,456,000, a decrease of 22% compared to SGD 27,487,000 for the same period in 2021[118]. - Construction contract revenue for the six months ended September 30, 2022, was 21,456 thousand SGD, compared to 27,487 thousand SGD for the same period in 2021, representing a decrease of approximately 22%[156]. - Customer A contributed 16,639 thousand SGD to total revenue for the six months ended September 30, 2022, up from 13,647 thousand SGD in the same period of 2021[154]. Project Developments - The Group secured 2 new gas projects and 7 new water projects during the reporting period, with a total contract value of approximately SGD 111.9 million[20]. - As of September 30, 2022, the Group had ongoing projects with a total contract value of approximately SGD 190.4 million, of which approximately SGD 50.8 million was recognized as revenue[24]. - Gas pipeline project revenue increased by approximately SGD 2.8 million, mainly due to income from existing and new projects related to the supply and installation of gas pipelines[30]. - Water pipeline project revenue increased by approximately SGD 3.9 million, primarily due to contributions from new water projects obtained during the reporting period[31]. Financial Performance - Gross profit for the first half of 2023 was approximately 1.3 million SGD, an increase of about 0.7 million SGD from approximately 0.6 million SGD in the first half of 2022, with a gross margin of 5.9% compared to 2.3% in the previous year[33]. - Loss for the first half of 2023 was approximately 10.1 million SGD, an increase of about 6.8 million SGD compared to a loss of approximately 3.3 million SGD in the first half of 2022[39]. - The company reported a significant increase in employee benefits costs, which rose to 8,003 thousand SGD from 5,260 thousand SGD, marking an increase of approximately 52%[170]. - The company reported a loss attributable to owners of the company of (10,103) thousand SGD for the six months ended September 30, 2022, compared to (3,259) thousand SGD in the same period of 2021, indicating a significant increase in losses[177]. - Basic loss per share was (0.99) SGD for the six months ended September 30, 2022, compared to (0.35) SGD in the same period of 2021, reflecting a 182.9% increase in loss per share[177]. Expenses and Costs - Sales cost decreased by approximately 6.7 million SGD or 24.8% to about 20.2 million SGD in the first half of 2023, consistent with the decline in revenue[32]. - Administrative expenses rose to approximately 11.0 million SGD in the first half of 2023, up from about 4.1 million SGD in the same period of 2022, mainly due to increased employee benefits, marketing expenses, and other operating costs[36]. - Administrative expenses surged to 4,186 thousand SGD for the six months ended September 30, 2022, compared to 1,607 thousand SGD in the same period of 2021, indicating a 160.5% increase[172]. - Total financial costs rose to 1,138 thousand SGD for the six months ended September 30, 2022, compared to 548 thousand SGD in the same period of 2021, marking a 107.5% increase[179]. Assets and Liabilities - The company’s net current assets increased to approximately 47.6 million SGD as of September 30, 2022, compared to about 39.1 million SGD as of March 31, 2022[48]. - Trade receivables and other receivables decreased from approximately 25.7 million SGD to about 22.9 million SGD, primarily due to a reduction in trade receivables by approximately 9.6 million SGD[42]. - The total liabilities decreased to 59,871 thousand SGD from 61,964 thousand SGD, a decrease of approximately 3.4%[127]. - The company’s equity increased to 49,196 thousand SGD from 41,168 thousand SGD, reflecting a growth of approximately 19.5%[130]. - The company’s total other receivables, net of expected credit loss provisions, increased to 19,581,000 SGD as of September 30, 2022, from 12,830,000 SGD as of March 31, 2022, marking a rise of 52.25%[189]. Shareholder Information - The company did not declare any interim dividend for the first half of 2023, consistent with the previous year[40]. - The company proposed amendments to the share option scheme adopted on February 26, 2019, to comply with the revised Listing Rules effective from January 1, 2023[78]. - The maximum number of shares that may be issued under the share option scheme is capped at 10% of the issued shares, equating to 92,000,000 shares[92]. - The company granted share options to 11 employees on May 4, 2022, at an exercise price of HKD 0.346 per share, valid for three years[92]. Market Conditions and Strategy - The overall business environment and economy still face many challenges and uncertainties, including high inflation rates and supply chain disruptions due to the ongoing conflict in Ukraine[20]. - The Group's strategy remains unchanged, focusing on maintaining its market position in the construction industry and providing related services[21]. - The Group is prepared to address future challenges and competition, aiming to develop different businesses and new opportunities to enrich its business portfolio[21]. - The Group believes it is on a sustainable development path and will continue to monitor global economic trends and market conditions to capture opportunities for better operational performance[21].

Financial Performance - The company reported total revenue of approximately S$59.1 million for the fiscal year ending March 31, 2022, an increase of S$15.6 million from S$43.5 million in the previous fiscal year[14]. - Revenue growth was primarily driven by an increase of approximately S$9.0 million from water pipeline projects and S$6.5 million from construction material trading[14]. - Gross profit slightly decreased to approximately S$9.9 million from S$10.0 million in the previous fiscal year, mainly due to a significant rise in cost of sales[14]. - The overall comprehensive income for the year was S$0.725 million, down from S$3.253 million in the previous year[10]. - The company recorded an annual profit of approximately SGD 1.0 million for fiscal year 2022, a decrease of about SGD 2.3 million from SGD 3.3 million in fiscal year 2021[37]. - In the fiscal year 2022, revenue from the group's top five customers accounted for approximately 78.1% of total revenue, down from 97.2% in the fiscal year 2021[102]. Assets and Liabilities - Total assets increased to S$103.1 million in 2022 from S$73.9 million in 2021, reflecting a growth of approximately 39.5%[11]. - Total liabilities rose to S$62.0 million in 2022 from S$33.5 million in 2021, indicating an increase of approximately 85.0%[11]. - Borrowings increased from approximately SGD 19.7 million as of March 31, 2021, to approximately SGD 45.5 million as of March 31, 2022, primarily due to the issuance of additional bonds[38]. - The debt-to-equity ratio rose significantly from 57.0% as of March 31, 2021, to 119.0% as of March 31, 2022, primarily due to new borrowings in the fiscal year[42]. Business Strategy and Market Position - The company aims to enhance its market position in the Singapore pipeline construction industry and is actively exploring new business opportunities for diversification[15]. - The board believes that developing potential businesses presents a good opportunity to increase revenue sources[15]. - The company is expanding its business portfolio by establishing a new lending division, which has obtained a moneylender license under Hong Kong law[39]. - The company aims to maintain its market position in Singapore's pipeline construction industry while closely monitoring global economic trends to capture business opportunities[20]. - The company is actively pursuing market expansion strategies, particularly in the gas and water utility sectors, to capture new business opportunities[95]. Operational Performance - Administrative expenses increased to approximately SGD 9.6 million in fiscal year 2022, up from SGD 7.2 million in fiscal year 2021[35]. - The company has implemented new operational strategies to mitigate risks associated with supply chain disruptions, ensuring project timelines are met[97]. - The management team emphasized the importance of sustainability in their operations, aligning with environmental policies to reduce carbon footprint[97]. - The company has invested in advanced training programs for its workforce to improve skill sets and operational capabilities[97]. Employee and Governance - As of March 31, 2022, the company had a total of 355 employees, an increase from 314 employees in the previous fiscal year[44]. - The remuneration policy is based on individual employee performance, qualifications, and experience, ensuring alignment with current market practices[135]. - The board of directors includes both executive and independent non-executive directors, with specific appointments made on various dates throughout 2021 and 2022[127][130]. - The company has established a stock option plan, which was conditionally adopted on February 26, 2019, to incentivize employees[145]. - The company has maintained good relationships with its employees, recognizing the importance of employee satisfaction in its operations[135]. Financial Management - The company maintained a prudent treasury policy, ensuring a robust liquidity position throughout the fiscal year 2022[59]. - The group has not engaged in any purchases, sales, or redemptions of its listed securities during the fiscal year 2022[114]. - The group has established a quality, safety, health, and environment policy to ensure high safety standards and environmental impact control[104]. Future Outlook - The company has outlined a positive outlook for the upcoming fiscal year, projecting a revenue growth of BB% driven by new projects and market expansion initiatives[97]. - New product developments are underway, focusing on innovative pipeline construction technologies aimed at enhancing operational efficiency and safety[97]. - A strategic acquisition was completed in 2022, which is expected to enhance the company's service offerings and market presence[97]. Corporate Governance - The group has complied with all provisions of the corporate governance code during the fiscal year 2022[177]. - The company has established a practice of holding at least four board meetings annually, approximately once per quarter[196]. - The chairman and CEO roles are separated, with Ms. Feng serving as the chairman and Mr. Xu as the CEO, in compliance with corporate governance codes[191]. - The company has established a nomination committee responsible for reviewing board composition and monitoring the appointment and re-election of directors[195].

Revenue Growth - For the six months ended September 30, 2021, the total revenue was approximately SGD 27.5 million, an increase of about SGD 19.9 million compared to SGD 7.6 million for the same period in 2020[17]. - The revenue increase was primarily due to a rise of approximately SGD 6.4 million from gas pipeline installation projects and SGD 12.7 million from the newly contributed building materials trading business[17]. - The building materials trading business accounted for 46.2% of total revenue, generating SGD 12.7 million, while gas pipeline projects contributed 50.4% with SGD 13.8 million[25]. - The group's revenue increased from approximately 7.6 million SGD in the first half of 2021 to about 27.5 million SGD in the first half of 2022, an increase of approximately 19.9 million SGD[28]. - Revenue from gas pipeline projects increased by approximately 6.4 million SGD, while new revenue from building materials trade contributed about 12.7 million SGD, accounting for approximately 46.2% of total revenue in the first half of 2022[29]. - For the six months ended September 30, 2021, customer contract revenue was 27,487 thousand SGD, a significant increase from 7,586 thousand SGD in the same period of 2020, representing a growth of approximately 262%[111]. - Total revenue for the construction contracts and building materials trading segment reached 27,487 thousand SGD for the six months ended September 30, 2021, compared to 7,586 thousand SGD in the same period of 2020, representing an increase of 262%[139]. Project and Contract Updates - The company secured three new gas projects, one new water project, and one cable installation project during the reporting period, with a total contract value of approximately SGD 31.7 million[17]. - As of September 30, 2021, the company had ongoing projects with a total contract value of approximately SGD 125.9 million, of which SGD 52.2 million was recognized as revenue[21]. - The company expects to recognize total unfulfilled performance obligations of 86,371 thousand SGD, with 62,886 thousand SGD expected to be recognized within one year after the fiscal year[153]. - Contract assets for construction contracts amounted to 8,335 thousand SGD, while contract liabilities totaled (1,101) thousand SGD as of September 30, 2021[151]. Financial Performance - The gross profit for the first half of 2022 was approximately 0.6 million SGD, compared to a gross loss of about 1.3 million SGD in the first half of 2021, resulting in a gross profit margin of 2.3%[33]. - The total comprehensive loss for the first half of 2022 was approximately 3.1 million SGD, an increase of about 0.2 million SGD compared to a comprehensive loss of approximately 2.9 million SGD in the first half of 2021[38]. - The company reported a basic and diluted loss per share of 0.35 SGD, compared to a loss of 0.32 SGD per share in the previous year[111]. - The company incurred a loss attributable to owners of the company of (3,259) thousand SGD for the six months ended September 30, 2021, compared to a loss of (2,898) thousand SGD in the same period of 2020[165]. - The company reported a pre-tax profit of (3,088) thousand SGD for the six months ended September 30, 2021, compared to (2,898) thousand SGD in the same period of 2020[139]. Expenses and Costs - The cost of sales rose from approximately 8.9 million SGD in the first half of 2021 to about 26.9 million SGD in the first half of 2022, an increase of approximately 18.0 million SGD or 202.2%[32]. - Other income decreased from approximately 1.5 million SGD in the first half of 2021 to about 0.8 million SGD in the first half of 2022, primarily due to a reduction in government subsidies received[34]. - Administrative expenses increased to approximately 4.1 million SGD in the first half of 2022 from about 2.5 million SGD in the first half of 2021[36]. - The company reported administrative expenses and financial costs of (4,059) thousand SGD for the six months ended September 30, 2021, compared to (2,517) thousand SGD in the same period of 2020[139]. - The company reported a material cost of 16,022 thousand SGD for the six months ended September 30, 2021, compared to 2,498 thousand SGD in the same period of 2020, representing a significant increase[157]. - Employee benefits costs totaled 5,260 thousand SGD for the six months ended September 30, 2021, up from 4,079 thousand SGD in the prior year, indicating a year-over-year increase of approximately 29%[159]. Assets and Liabilities - Trade receivables and other receivables increased from approximately 20.6 million SGD as of March 31, 2021, to about 32.5 million SGD in the first half of 2022, an increase of approximately 11.9 million SGD[43]. - The asset-liability ratio increased from 57.0% as of March 31, 2021, to 79.8% as of September 30, 2021, primarily due to new term loans for the renovation of the group's new headquarters[49]. - Total liabilities increased to 42,318 thousand SGD as of September 30, 2021, compared to 33,493 thousand SGD as of March 31, 2021, representing a growth of approximately 26.5%[119]. - Total equity increased to 79,635 thousand SGD as of September 30, 2021, up from 73,936 thousand SGD as of March 31, 2021, indicating a rise of about 7.3%[119]. - The company’s total liabilities included contract liabilities of 1,101 thousand SGD as of September 30, 2021, indicating a shift in revenue recognition[185]. Shareholder and Governance Information - The company has adopted the corporate governance code as per the listing rules, ensuring compliance and enhancing shareholder value[105]. - The board of directors confirmed full compliance with the trading code for securities transactions during the reporting period[104]. - The company did not recommend any interim dividend for the six months ended September 30, 2021, consistent with the previous year[168]. - The company has adopted a share option scheme, which allows for the grant of options to eligible participants, with a maximum of 92,000,000 shares available for grant, representing approximately 10% of the issued share capital as of the report date[93]. Strategic Initiatives - The company plans to enhance its market position in Singapore's pipeline construction industry and explore potential opportunities in China and Southeast Asia[18]. - The board is actively seeking new business opportunities to diversify revenue sources and believes this is a good opportunity for growth[18]. - The company aims to leverage the advantages of the Greater Bay Area and implement the Belt and Road Initiative to drive economic development in Southeast Asia[18]. - Jumbo Harvest Group Limited acquired 85% of the issued share capital of Fuhui Securities Limited, diversifying the company's revenue sources into the financial services sector[67].

Financial Performance - The total revenue for the fiscal year 2021 was approximately SGD 43.5 million, an increase of about SGD 16.2 million compared to SGD 27.3 million in the fiscal year 2020[15]. - Gross profit rose from approximately SGD 4.4 million in fiscal year 2020 to about SGD 10.0 million in fiscal year 2021, reflecting better cost control and government rebates on foreign worker levies[15]. - The company reported a profit attributable to owners of the company of SGD 4.1 million for the fiscal year 2021, compared to SGD 1.9 million in the previous year[11]. - The total comprehensive income for the year was SGD 3.3 million, up from SGD 1.6 million in fiscal year 2020[11]. - Annual profit for FY2021 rose to approximately SGD 3.3 million, up from approximately SGD 1.6 million in FY2020, an increase of about SGD 1.7 million[41]. - The gross profit increased to approximately SGD 10.0 million in fiscal year 2021, up from SGD 4.4 million in fiscal year 2020, with a gross margin of 23.0%[35]. - Revenue from gas pipeline projects increased by approximately SGD 14.0 million, while revenue from water pipeline projects decreased by about SGD 4.0 million[30]. - The company generated new revenue of approximately SGD 6.2 million from its building materials trading business, contributing 14.3% to total revenue in fiscal year 2021[31]. Assets and Liabilities - Total assets increased to SGD 73.9 million in 2021 from SGD 45.0 million in 2020, while total liabilities rose to SGD 33.5 million from SGD 7.8 million[12]. - The total equity increased to SGD 40.4 million in 2021 from SGD 37.2 million in 2020, indicating a strengthening financial position[12]. - Trade receivables and other receivables rose from approximately SGD 5.5 million to approximately SGD 22.1 million, an increase of about SGD 16.6 million, primarily due to new trade receivables from a construction materials division[45]. - Borrowings increased significantly from approximately SGD 1.3 million to approximately SGD 19.7 million, an increase of about SGD 18.4 million, mainly due to new loans for the purchase of a new headquarters and the issuance of bonds[48]. - The group's current assets and cash and bank deposits were approximately SGD 26.3 million and SGD 12.0 million, respectively, as of March 31, 2021, compared to SGD 26.9 million and SGD 15.7 million in FY2020[51]. - The debt-to-equity ratio increased from 4.1% to 57.0%, primarily due to new borrowings and lease liabilities in FY2021[51]. Business Strategy and Expansion - The company aims to enhance its market position in Singapore's pipeline construction industry and explore opportunities in China, Hong Kong, and Southeast Asia[16]. - The board is actively seeking new business opportunities to diversify revenue sources and believes this is a good opportunity for growth[16]. - The company has identified potential industries for expansion, including real estate, infrastructure, culture, tourism, healthcare, and finance[16]. - The company plans to explore potential opportunities in markets such as real estate, engineering infrastructure, and tourism in Southeast Asia and China[21]. - The company aims to maintain its market position in Singapore's pipeline construction industry while diversifying its business to increase revenue sources[24]. Operational Performance - The company has four ongoing gas pipeline projects and seven water pipeline projects with a total contract value of approximately SGD 94.2 million as of March 31, 2021[25]. - The company secured two new gas projects and two new water projects in fiscal year 2021, with a total contract value of approximately SGD 63.6 million[20]. - Administrative expenses increased to approximately SGD 7.2 million in fiscal year 2021, compared to SGD 3.9 million in fiscal year 2020[38]. - Other income rose to approximately SGD 3.0 million in fiscal year 2021, up from SGD 0.7 million in fiscal year 2020, mainly due to government subsidies related to employment support[36]. - The company’s operational performance may be adversely affected if it fails to secure new projects after the completion of existing ones[119]. Human Resources and Management - The company has a total of 314 employees as of the report date, an increase from 282 employees in the previous fiscal year, reflecting a growth of approximately 11.3%[145]. - The remuneration policy for employees is based on individual performance, qualifications, and experience, ensuring alignment with current market practices[145]. - The board of directors and senior management's remuneration is determined considering the company's operational performance and individual contributions[146]. - The company emphasizes employee development and safety, providing competitive compensation and training opportunities[116]. - The company faced challenges in recruiting and retaining skilled technical employees due to tightening policies on foreign workers in Singapore, which may impact project completion[120]. Corporate Governance - The company has appointed KPMG as the new auditor effective April 21, 2021, following the resignation of Baker Tilly TFW LLP[181]. - The board of directors has established three committees: Audit Committee, Remuneration Committee, and Nomination Committee to oversee specific aspects of the company's affairs[184]. - The company has complied with the corporate governance code, except for the role of the chairman and CEO as per code provision A.2.1[183]. - All independent non-executive directors have confirmed their independence according to the listing rules, ensuring compliance with regulatory standards[142]. - The company has established a non-competition agreement with key individuals, ensuring no direct or indirect competition with the group's business[153]. Shareholder Information - The board announced plans to increase shareholder returns, with a dividend payout ratio of 40% of net income for the upcoming year[77]. - No final dividend was recommended for the fiscal year 2021, consistent with the previous fiscal year[124]. - The company reported a distributable reserve of approximately SGD 31.4 million as of March 31, 2021, down from SGD 32.1 million in the previous fiscal year[123]. - The company has issued 920,000,000 shares as of March 31, 2021[122]. - The group has maintained a sufficient public float, with at least 25% of the issued shares held by the public as of the last practicable date before the annual report release[180].

Pipeline Engineering Holdings Limited 管道工程控股有限公司 (於開曼群島註冊成立的有限公司) 股份代號 : 1865 中 期 報 告 2020 目錄 公司資料2 管理層討論及分析4 其他資料 12 簡明綜合損益及其他全面收益表 18 簡明綜合財務狀況表 19 簡明綜合權益變動表 21 簡明綜合現金流量表 22 簡明綜合財務資料附註 23 公司資料 法律顧問 執行董事 徐源華先生（聯席主席兼行政總裁） 馮嘉敏女士 （於二零二零年九月二十一日獲委任為聯席主席） 駱嘉豪先生（於二零二零年十一月十一日獲委任） 徐源利先生（於二零二零年九月二十一日辭任） 徐鴻勝先生（於二零二零年十一月十一日辭任） 獨立非執行董事 徐俊傑先生 詹舜全先生 朱志乾先生 唐永智先生（於二零二零年九月二十一日獲委任） 石峻松先生（於二零二零年十一月十一日獲委任） 邱越先生（於二零二零年十一月十一日獲委任） 審核委員會 詹舜全先生（主席） 徐俊傑先生 朱志乾先生 唐永智先生（於二零二零年九月二十一日獲委任） 石峻松先生（於二零二零年十一月十一日獲委任） 邱越先生（於二零二零年十一月十一日獲委任） 薪酬委員會 ...

Financial Performance - The company reported total revenue of approximately 27,300,000 SGD for the fiscal year ending March 31, 2020, a decrease of about 2,900,000 SGD from approximately 30,200,000 SGD in the previous fiscal year[19]. - Gross profit decreased from approximately 7,800,000 SGD in the previous fiscal year to about 4,400,000 SGD, primarily due to reduced revenue and additional project costs arising from new site safety regulations[19]. - The total comprehensive income for fiscal year 2020 was approximately SGD 1,600,000, an increase of about SGD 900,000 from SGD 700,000 in fiscal year 2019[41]. - The gross profit for fiscal year 2020 was approximately SGD 4,400,000, down from SGD 7,800,000 in fiscal year 2019, resulting in a gross profit margin of about 16.2%[36]. - Administrative expenses decreased to approximately SGD 3,900,000 from SGD 6,500,000 in fiscal year 2019, primarily due to one-time listing expenses[39]. - The company's income tax expense decreased to approximately SGD 300,000 from SGD 1,100,000 in fiscal year 2019[40]. - Revenue from gas pipeline projects increased by approximately SGD 11,300,000, while revenue from water pipeline projects decreased by about SGD 8,100,000, and cable installation revenue decreased by approximately SGD 6,100,000[30]. Assets and Liabilities - Total assets amounted to 44,960,000 SGD in 2020, down from 49,846,000 SGD in 2019[14]. - Total liabilities decreased significantly from 14,211,000 SGD in 2019 to 7,770,000 SGD in 2020[14]. - Total equity increased from 35,635,000 SGD in 2019 to 37,190,000 SGD in 2020, indicating a stronger financial position[14]. - Trade receivables increased to approximately SGD 5,500,000 from SGD 2,000,000 as of March 31, 2019, mainly due to non-refundable deposits related to the purchase of a new headquarters[45]. - Contract liabilities decreased to approximately SGD 500,000 from SGD 2,200,000 as of March 31, 2019, primarily due to the completion of several projects[46]. - Bank borrowings decreased from SGD 2,500,000 on March 31, 2019, to SGD 400,000 on March 31, 2020, primarily due to the repayment of short-term loans amounting to SGD 2,000,000[48]. - Lease liabilities reduced from SGD 1,500,000 on March 31, 2019, to SGD 900,000 on March 31, 2020, as a result of acquiring machinery worth SGD 700,000 and repayments of approximately SGD 1,300,000[49]. - The debt-to-equity ratio improved from 11.3% on March 31, 2019, to 4.1% on March 31, 2020, due to the repayment of bank borrowings and lease liabilities during the fiscal year[51]. - Total interest-bearing borrowings, including lease liabilities, bank borrowings, and lease liabilities, were approximately SGD 1,500,000, down from SGD 4,000,000 in the previous fiscal year[51]. - The current ratio was approximately 5.3 times as of March 31, 2020, compared to about 3.2 times in the previous fiscal year[51]. Operational Challenges - The company faced operational disruptions in Singapore due to COVID-19, which led to a temporary closure of its headquarters from April 7 to June 1, 2020[20]. - The construction industry impact from the pandemic remains difficult to quantify, posing challenges for future operations[20]. - The group experienced significant operational disruptions due to the COVID-19 pandemic, with a temporary closure from April 7 to June 1, 2020, leading to a decrease in construction contract revenue[70]. - As of the report date, Singapore was in the second phase of reopening, with the group implementing preventive measures to mitigate the impact of COVID-19 on its business[71]. - The company plans to adopt appropriate business strategies to navigate the ongoing challenges presented by the pandemic[21]. Customer Concentration - In the fiscal year 2020, approximately 96.3% of the company's total revenue came from its top five customers, an increase from 92.1% in the fiscal year 2019[109]. - The largest customer accounted for 72.6% of revenue, while the top five customers collectively represented 96.3% of total sales[132]. - The company has a significant customer concentration risk, as it does not have long-term agreements with its top five customers, which could impact its business if any major client reduces their projects[113]. Corporate Governance - The company has adopted all provisions of the corporate governance code as per the listing rules, except for the provision regarding the separation of the roles of Chairman and CEO[185]. - The board consists of three executive directors, one non-executive director, and three independent non-executive directors, ensuring a high level of independence[189]. - The company has established three board committees: Audit Committee, Remuneration Committee, and Nomination Committee to oversee specific aspects of its affairs[186]. - All independent non-executive directors have confirmed their independence in accordance with the listing rules[192]. - The company has implemented a board diversity policy to comply with corporate governance code requirements[192]. - The board is responsible for the overall leadership and strategic decision-making of the company[186]. - The company has arranged appropriate liability insurance for directors against responsibilities arising from corporate activities[188]. Employee and Talent Management - The company has a strong focus on employee development, offering competitive compensation and career advancement opportunities to retain talent[111]. - The company faced challenges in recruiting and retaining skilled technical employees and foreign workers due to tightened policies and labor shortages in Singapore's infrastructure and construction sectors[115]. - The company has a total of 282 employees, with a compensation policy based on individual performance, qualifications, and experience[142]. - The company's compensation policy for employees is determined by management based on employees' merits, qualifications, and abilities[143]. - The board has established a remuneration committee to develop the compensation policy for the company and its senior management, considering the company's performance and individual contributions[146]. Future Outlook and Strategy - The company plans to adopt appropriate business strategies to navigate the ongoing challenges presented by the pandemic[21]. - Future outlook remains optimistic, with management expressing confidence in achieving sustainable growth driven by innovation and market demand[82]. - The company is considering strategic acquisitions to bolster its market position, with potential targets identified in the H sector[82]. - Market expansion plans include entering F new regions, which are projected to increase market share by G% over the next two years[82]. - New product launches are anticipated to contribute an additional $D million in revenue, with a focus on expanding the product line in the upcoming year[82]. - The company is investing in new technology development, allocating $E million towards R&D initiatives aimed at enhancing operational efficiency[82]. Shareholder Information - The company did not recommend a final dividend for the fiscal year 2020, consistent with the previous fiscal year[121]. - There were no distributable reserves available for distribution to shareholders as of March 31, 2020[120]. - The company has maintained a sufficient public float, with at least 25% of its issued shares held by the public as of the report's publication date[181]. - As of March 31, 2020, the company had issued 920,000,000 shares, with no changes in share capital during the fiscal year[118]. - The company confirmed the independence of all independent non-executive directors according to the listing rules[139]. Charitable Contributions - The company made charitable contributions of approximately SGD 31,000 during the fiscal year 2020, down from SGD 39,600 in the previous year[124].

Financial Performance - For the six months ended September 30, 2019, Pipeline Engineering Holdings Limited reported total revenue of approximately SGD 12,889,000, a decrease of about SGD 1,200,000 from SGD 14,100,000 in the same period of 2018[11]. - Customer contract revenue for the six months ended September 30, 2019, was SGD 12,889 thousand, a decrease from SGD 14,141 thousand in the same period of 2018, representing a decline of approximately 8.8%[68]. - Gross profit for the six months ended September 30, 2019, was SGD 1,855 thousand, down from SGD 3,639 thousand in the previous year, indicating a decrease of about 48.9%[68]. - The total comprehensive income for the period was SGD 342 thousand, significantly higher than SGD 57 thousand reported in the same period of 2018, reflecting an increase of approximately 500%[68]. - The company reported a basic and diluted earnings per share of SGD 0.04 for the period, up from SGD 0.01 in the previous year, indicating a growth of 300%[68]. Revenue Breakdown - The revenue breakdown for the six months ended September 30, 2019, included SGD 8,361,000 from gas pipeline projects (64.9% of total revenue), SGD 4,481,000 from water pipeline projects (34.7%), and SGD 47,000 from cable installation projects (0.4%) [11]. - Revenue from construction contracts related to gas was 8,361,000 SGD for the six months ended September 30, 2019, compared to 2,731,000 SGD in the previous year[109]. - Two customers contributed over 10% of total revenue, with Customer A generating 8,361,000 SGD and Customer C generating 2,810,000 SGD for the six months ended September 30, 2019[108]. Expenses and Costs - Gross profit decreased from approximately SGD 3,600,000 in the first half of 2019 to about SGD 1,900,000 in the first half of 2020, resulting in a gross profit margin decline from 25.7% to approximately 14.4%[16]. - Administrative expenses were approximately SGD 2,000,000 for the first half of 2020, down from SGD 3,000,000 in the first half of 2019, primarily due to the absence of listing expenses incurred in the previous period[19]. - The increase in sales costs from approximately SGD 10,500,000 in the first half of 2019 to about SGD 11,000,000 in the first half of 2020 was attributed to an increase in project personnel and compliance with new safety regulations[15]. - Total costs of sales and administrative expenses decreased slightly to 13,041,000 SGD from 13,852,000 SGD, a reduction of 5.8%[115]. Assets and Liabilities - Trade receivables and other receivables increased by approximately 1,500,000 SGD to 3,500,000 SGD as of September 30, 2019, from 2,000,000 SGD as of March 31, 2019[24]. - Contract assets decreased by approximately 2,600,000 SGD to 14,600,000 SGD as of September 30, 2019, from 17,200,000 SGD as of March 31, 2019[25]. - Bank borrowings decreased by approximately 2,100,000 SGD to 400,000 SGD as of September 30, 2019, from 2,500,000 SGD as of March 31, 2019, primarily due to the repayment of short-term loans[27]. - The total liabilities decreased to SGD 9,487 thousand from SGD 14,211 thousand, a reduction of about 33.2%[73]. - The asset-to-liability ratio decreased from 11.3% as of March 31, 2019, to 6.2% as of September 30, 2019, mainly due to the repayment of bank borrowings[29]. Cash Flow and Financing - Operating cash flow for the six months ended September 30, 2019, was negative at SGD (181) thousand, compared to positive SGD 3,145 thousand in the same period of 2018[78]. - The company incurred a repayment of bank loans amounting to SGD 2,050,000, significantly higher than SGD 49,000 in the previous year[80]. - For the six months ended September 30, 2019, the net cash used in financing activities was SGD 3,010,000, a decrease from SGD 7,649,000 in the previous year[80]. - Cash and cash equivalents decreased to SGD 16,642 thousand from SGD 19,843 thousand, a decline of about 16.6%[70]. Corporate Governance and Structure - The company has complied with the corporate governance code and has a board consisting of three executive directors, one non-executive director, and three independent non-executive directors, ensuring a high level of independence[63]. - The company has confirmed that all directors have complied with the relevant provisions of the code of conduct for securities transactions since the listing date[62]. - The company has not entered into any arrangements for directors to acquire shares or debentures of the company or any other corporation during the six months ending September 30, 2019[60]. Share Capital and Issuance - The net proceeds from the share issuance amounted to approximately 15,700,000 SGD after deducting related listing expenses, with about 1,400,000 SGD used for operating capital[38]. - As of September 30, 2019, the company has a total of 690,000,000 shares held by Mr. Xu Yuanhua, representing 75.00% of the voting shares[48]. - The company has adopted a share option scheme effective from March 27, 2019, which will remain valid for 10 years until February 26, 2029[55]. - The public offering of 230,000,000 shares was priced at HKD 0.55 per share, generating total proceeds of HKD 126,500,000 (approximately HKD 21,846,000)[177]. Future Outlook - The company expects to maintain its market position in Singapore's construction and building industry, leveraging its competitive advantages gained from its listing[6]. - Pipeline Engineering Holdings Limited continues to focus on securing new projects and maintaining a strong reputation in the market to support future revenue growth[6]. - The company anticipates that all ongoing projects are progressing according to schedule and does not foresee any significant liabilities arising from them[7]. - The company expects to recognize 23,440,000 SGD in revenue from unfulfilled contracts within the next year as of September 30, 2019[111].

Financial Performance - The company reported a revenue of SGD 30,211,000 for the fiscal year ending March 31, 2019, representing an increase of 28.5% compared to SGD 23,419,000 in the previous year[22]. - Gross profit for the same period was SGD 7,776,000, up from SGD 7,398,000, indicating a gross margin improvement[22]. - The net profit attributable to the owners of the company for the fiscal year was SGD 684,000, a decrease from SGD 4,498,000 in the previous year[22]. - Total revenue increased from 23,400,000 SGD to 30,200,000 SGD, representing a growth of approximately 28.5%[38]. - Gross profit increased from 7,400,000 SGD to 7,780,000 SGD, while gross margin decreased from 31.6% to 25.7%[43][44]. - Annual profit decreased from 4,500,000 SGD to 700,000 SGD, primarily due to listing expenses incurred during the year[51]. Assets and Liabilities - The total assets of the company increased to SGD 49,846,000 from SGD 29,230,000, reflecting a growth of 70.9% year-over-year[24]. - The total liabilities of the company increased to SGD 14,211,000 from SGD 13,006,000, indicating a rise of 9.3%[24]. - Trade receivables decreased from 4,800,000 SGD to 2,000,000 SGD, mainly due to a reduction in prepayments and write-offs of trade receivables[53]. - Bank borrowings increased from 593,000 SGD to 2,500,000 SGD, primarily for operational financing[55]. - The company's debt-to-equity ratio increased from 3.8% to 11.3%, mainly due to the rise in bank borrowings and lease liabilities[58]. Projects and Revenue Sources - The company has ongoing projects with a total contract value of approximately SGD 69,900,000, of which SGD 38,700,000 has been recognized as revenue as of March 31, 2019[32]. - The company has six ongoing gas pipeline projects, six water pipeline projects, and three cable installation projects, all progressing as scheduled[32]. - Cable installation revenue rose by 5,300,000 SGD, primarily due to confirmed income from solar panel supply and installation increasing by 1,500,000 SGD and cable projects by 4,700,000 SGD[39]. - Water pipeline project revenue increased by 4,700,000 SGD, mainly from confirmed income of 4,300,000 SGD from water main repair projects[41]. - Gas pipeline project revenue decreased by 3,200,000 SGD, attributed to a reduction in gas transmission projects[41]. - The company’s main revenue sources include gas pipeline projects, water pipeline projects, and cable installation projects[96]. Market Position and Strategy - The company aims to strengthen its market position in Singapore's infrastructure engineering sector and maintain sustainable business development[27]. - The company plans to leverage its public listing to enhance its reputation and secure higher-value projects in the future[27]. - The company is committed to delivering satisfactory returns to shareholders while preparing for future challenges and competition[31]. Shareholder and Capital Management - The company raised approximately HKD 90.2 million (about SGD 15.7 million) from the issuance of 230,000,000 new shares during its listing on March 27, 2019, with the net proceeds remaining unutilized as of March 31, 2019[61]. - The planned use of the net proceeds includes purchasing new properties for a new office, foreign worker dormitories, and machinery warehouses, totaling SGD 9.368 million[64]. - Working capital is projected to require SGD 1.428 million, bringing the total planned use of proceeds to SGD 15.692 million[64]. - The company did not recommend a final dividend for the year, indicating a focus on maintaining financial stability[118]. - The company did not repurchase any of its shares during the reporting period, reflecting a conservative approach to capital management[119]. Corporate Governance - The company has established a remuneration committee to develop its compensation policies, considering operational performance and market practices[138]. - All independent non-executive directors confirmed their independence according to the Main Board Listing Rules, ensuring compliance with governance standards[133]. - The company has adopted a board diversity policy in compliance with corporate governance codes[189]. - The board consists of three executive directors and three independent non-executive directors, ensuring a high level of independence[193]. - The company is committed to maintaining high standards of corporate governance to protect shareholder interests[179]. Employee and Operational Challenges - The company emphasizes maintaining good relationships with employees, with a total of 302 employees as of March 31, 2019[60]. - The company faced challenges in recruiting and retaining skilled technical employees and foreign workers due to tightened employment policies in Singapore, leading to potential operational disruptions and project delays[111]. Management Team Experience - The management team has extensive experience in the construction industry, with key executives having over 26 years of experience each[67][69]. - 徐俊傑先生 has over 30 years of experience in the financial industry, having held various positions in banks and compliance roles[76]. - 詹舜全先生 has accumulated over 14 years of experience in banking and consulting, including roles at Ernst & Young and KPMG[81]. - 朱志乾先生 has over 16 years of legal experience, specializing in mergers, joint ventures, and corporate financing[83]. - 吳勇臻先生 has over 20 years of experience in project management within the construction industry[85]. - 郭中杰先生 serves as the Chief Financial Officer, responsible for accounting, tax, financial planning, and internal controls[89]. Customer Concentration and Risk - The company generated approximately 92.1% of its total revenue from its top five customers in the fiscal year ending March 31, 2019, down from 96.0% in the previous year[104]. - The company faces significant customer concentration risk, with over 90% of its revenue derived from its top five customers as of March 31, 2019[109]. - The nature of the company's revenue is project-based and non-recurring, posing risks to financial performance upon project completion[110]. Compliance and Certifications - The company has received various safety certifications, including ISO 9001:2015 and ISO 14001:2015, demonstrating its commitment to quality and environmental standards[108]. - The company has confirmed compliance with the non-competition agreement from March 27, 2019, to March 31, 2019[147].