Financial Performance - For the fiscal year ending June 30, 2022, the company recorded a profit attributable to owners of approximately MYR 12.5 million, a significant improvement compared to the previous year's loss[12]. - Revenue increased by approximately 371.3 million MYR or 263.3% from about 141.0 million MYR for the year ended June 30, 2021, to about 512.3 million MYR for the year ended June 30, 2022[35]. - The company recorded a profit attributable to owners of approximately 12.5 million MYR for the year ended June 30, 2022, compared to a loss of about 9.4 million MYR in the previous year[48]. - Gross profit increased by approximately 22.5 million MYR or 335.8% to about 29.2 million MYR for the year ended June 30, 2022, with an overall gross profit margin rising from approximately 4.7% to about 5.7%[40]. - Other income for the year ended June 30, 2022, was approximately 0.4 million MYR, including a gain of about 1.6 million MYR from the disposal of deposits for investment properties[42]. Revenue Sources - The company's revenue from offshore transportation services expanded over threefold compared to the fiscal year ending June 30, 2021, contributing to the overall financial performance[12]. - Revenue from offshore construction services accounted for approximately 90.1% of total revenue, increasing by about 361.6 million MYR or 362.3% to approximately 461.4 million MYR for the year ended June 30, 2022[36]. - Revenue from marine transportation accounted for approximately 89.3% of total revenue from offshore construction services, increasing by about 314.3 million MYR or 322.0% to approximately 411.9 million MYR for the year ended June 30, 2022[36]. - Revenue from reclamation and related works increased by approximately 47.3 million MYR or 2,150.0% to approximately 49.5 million MYR for the year ended June 30, 2022[36]. - Revenue from the marine fuel trading business generated approximately 43.4 million MYR, accounting for about 8.5% of total revenue for the year ended June 30, 2022[39]. Challenges and Risks - The company is facing challenges due to rising diesel prices, labor shortages, and increased minimum wages, which are putting pressure on profitability[13]. - The company expresses a cautious outlook on its recent business and financial performance due to the competitive landscape in the construction and marine fuel sectors[13]. - The group faced significant risks related to the ability to secure new contracts after existing ones are completed, impacting future business performance[119]. - The profitability of the group may be adversely affected by delays or changes in large contracts, which can lead to unexpected increases in project costs[120]. - The COVID-19 pandemic has created uncertainty in future market conditions, potentially affecting revenue and profitability[125]. Corporate Governance and Compliance - The company is committed to enhancing its corporate governance policies in response to ongoing reviews by the Hong Kong Stock Exchange, aiming for transparency and accountability[13]. - The company emphasizes a risk culture and effective communication to enhance corporate governance and performance[27]. - The board believes that the company has complied with all applicable corporate governance codes as of June 30, 2022[142]. - The company must comply with relevant laws and regulations in the Cayman Islands and Hong Kong regarding dividend payments[139]. - The board has confirmed that all directors have adhered to the standard code of conduct for securities transactions during the reporting period[143]. Employee Development and Workforce - The company emphasizes employee development through performance evaluations and training, viewing employees as valuable assets[19]. - The group had approximately 57 full-time employees as of June 30, 2022, an increase from 51 in the previous year, reflecting adjustments based on contract workload and strict cost control policies[78]. - The group is committed to providing a safe and healthy work environment for employees and subcontractors, promoting collaboration and diversity[133]. - The executive and non-executive directors are entitled to bonuses based on their performance and the group's performance for the relevant financial year[184]. - The company has adopted a share option scheme to incentivize employees and contributors, allowing for the granting of options to eligible participants[147]. Future Outlook and Strategy - The company aims to optimize its business model and actively participate in various tenders to strengthen its market competitiveness and achieve growth[13]. - The group expects gradual recovery in business as the Malaysian government implements reopening policies, although it remains cautious due to ongoing market uncertainties and competition[79]. - The group believes that upcoming projects, including those delayed due to the pandemic, will positively impact future business performance[82]. - The company anticipates utilizing the remaining funds by June 30, 2024, depending on market and economic conditions[86]. - The company is adjusting the allocation of net proceeds according to the prospectus due to discrepancies between estimated and actual net proceeds received[86]. Financial Position and Liabilities - As of June 30, 2022, the company had cash and cash equivalents of approximately 85.9 million MYR, a slight increase from 85.3 million MYR in the previous year[51]. - The group had bank loans of approximately 13.6 million Ringgit as of June 30, 2022, compared to 10.6 million Ringgit in 2021, with an interest rate of 6.2%[52]. - The debt-to-equity ratio increased from approximately 9.3% as of June 30, 2021, to approximately 10.2% as of June 30, 2022, due to an increase in total bank loans and lease liabilities from approximately 11.4 million Ringgit to approximately 14.2 million Ringgit[52]. - The group reported contingent liabilities related to performance guarantees of approximately 2.4 million Ringgit as of June 30, 2022, down from 4.3 million Ringgit in 2021[60]. - The group has not recognized any impairment provisions for other receivables and deposits, as the expected credit risk remains insignificant as of June 30, 2022[65].

Revenue and Growth - Revenue increased by approximately 218.9 million MYR or 632.7% to about 253.5 million MYR for the six months ended December 31, 2021, compared to approximately 34.6 million MYR for the same period in 2020[14] - The increase in revenue was primarily driven by increased sand transportation volumes from a contract obtained in June 2020 and new contracts awarded during the reporting period[14] - Revenue from offshore construction services increased by approximately 215.8 million Ringgit or 1,166.5% to about 234.3 million Ringgit for the six months ended December 31, 2021[15] - Revenue from offshore transportation services rose by approximately 214.8 million Ringgit or 1,263.5% to about 231.8 million Ringgit for the same period[16] - Revenue from building and infrastructure services decreased by approximately 11.5 million Ringgit or 71.9% to about 4.5 million Ringgit, primarily due to the completion of several contracts[17] - The group anticipates further growth in revenue as it continues to expand its operations in offshore construction and marine fuel sales[14] Contracts and Tenders - The group completed one offshore construction contract with an original contract value of approximately 27.7 million MYR and two building and infrastructure contracts totaling approximately 0.1 million MYR during the six months ended December 31, 2021[11] - As of December 31, 2021, the group had seven ongoing offshore construction contracts with a total original contract value of approximately 777.3 million MYR and four ongoing building and infrastructure contracts valued at approximately 263.3 million MYR[11] - The group submitted six tenders and four quotations that are still pending results, with an expected total contract value of approximately 723.2 million MYR as of June 30, 2021[12] - The group has submitted one tender and nine quotations for offshore construction contracts, with an original contract value of approximately 427.8 million MYR during the six months ended December 31, 2021[12] - The group was awarded seven contracts with an original contract value of approximately 58.2 million MYR during the reporting period[12] Financial Performance - The group recorded a profit attributable to owners of the company of approximately 0.4 million Ringgit, compared to a loss of about 2.8 million Ringgit in the previous period[28] - Gross profit improved to approximately 10.6 million Ringgit with a gross profit margin of about 4.2%, compared to a gross loss of about 0.3 million Ringgit in the previous period[20] - The company reported a pre-tax profit of 1,294 thousand MYR, compared to a pre-tax loss of 3,818 thousand MYR in the same period last year[89] - The net loss for the period was 186 thousand MYR, a significant improvement from a net loss of 3,641 thousand MYR in the previous year[89] - The company has expressed optimism about future growth and profitability, supported by improved operational performance and market conditions[89] Cash Flow and Liquidity - As of December 31, 2021, the company had cash and cash equivalents of approximately 86.7 million Ringgit, an increase from 85.3 million Ringgit as of June 30, 2021[31] - Net cash generated from operating activities for the six months ended December 31, 2021, was 1,908 thousand Ringgit, compared to 729 thousand Ringgit in 2020, representing a significant increase of 161%[96] - Cash and cash equivalents increased by 1,371 thousand Ringgit, compared to a decrease of 1,156 thousand Ringgit in the previous year, indicating a positive cash flow trend[96] - The total cash and cash equivalents at the end of the period reached 86,743 thousand Ringgit, up from 70,808 thousand Ringgit in the previous year, showing a growth of 22%[96] Assets and Liabilities - Total assets as of December 31, 2021, were 268,084 thousand MYR, up from 246,351 thousand MYR as of June 30, 2021[91] - Current liabilities increased to 161,428 thousand MYR from 139,089 thousand MYR, indicating a rise in short-term obligations[91] - The company's net asset value stood at 122,254 thousand MYR, slightly down from 122,368 thousand MYR as of June 30, 2021[91] - The group’s total liabilities, including trade and other payables, amounted to 155,390,000 MYR as of December 31, 2021, compared to 135,618,000 MYR as of June 30, 2021[158] Shareholder Information - The largest shareholder, JBB Jade Investment Limited, holds 181,816,500 shares, representing approximately 36.36% of the total issued share capital[81] - JBB Berlian Investment Limited, another major shareholder, holds 161,233,500 shares, accounting for about 32.25% of the total issued share capital[81] - The company has maintained sufficient public float, with at least 25% of its issued shares publicly held[83] Corporate Governance - The company has adopted and complied with the corporate governance code as per the listing rules during the reporting period[67] - The board confirmed compliance with the standard code for securities transactions by directors throughout the reporting period[68] - No share options have been granted, exercised, lapsed, or cancelled under the share option scheme since its adoption[69] Operational Challenges - The ongoing COVID-19 pandemic and government-imposed restrictions have caused delays in planned construction projects, impacting overall service workload[14] - Due to the turbulent economic environment and ongoing COVID-19 pandemic, construction contracts have been delayed, and several contracts expected to be awarded have been potentially canceled[64] Future Outlook - The group plans to continue strict cost control measures and actively participate in tenders to maintain market competitiveness[57] - The expected timeline for utilizing the remaining proceeds will depend on the recovery of overall economic activity, with a target to fully utilize the funds by June 30, 2024[65] - The company plans to expand its market presence and enhance its service offerings in offshore construction and transportation sectors[119]

Financial Performance - The company reported a loss attributable to owners of approximately 9.4 million MYR for the year ended June 30, 2021, compared to a profit of about 2.2 million MYR for the year ended June 30, 2020[11]. - Revenue increased by approximately 15.5 million MYR or 12.4% to about 141.0 million MYR for the year ended June 30, 2021, compared to approximately 125.5 million MYR for the year ended June 30, 2020[22]. - Revenue from offshore construction services accounted for approximately 70.7% of total revenue, increasing by about 56.9 million MYR or 132.6% to approximately 99.8 million MYR for the year ended June 30, 2021[23]. - Revenue from marine transportation increased by approximately 65.9 million MYR or 207.9% to approximately 97.6 million MYR, primarily due to increased sand transportation volume from a new contract in Singapore[24]. - Revenue from building and infrastructure services decreased by approximately 41.4 million MYR or 50.1% to approximately 41.3 million MYR for the year ended June 30, 2021[25]. - Gross profit decreased by approximately 13.1 million MYR or 66.2% to approximately 6.7 million MYR, with overall gross margin dropping from 15.8% to 4.7%[27]. - Other income decreased from approximately 2.4 million MYR to about 1.2 million MYR, mainly due to a decline in interest income from bank deposits[28]. - The group recorded a trade receivables and contract assets impairment loss of approximately 5.1 million Ringgit for the year ended June 30, 2021, compared to 3.0 million Ringgit for the year ended June 30, 2020[30]. - The group reported an income tax expense of approximately 1.8 million Ringgit for the year ended June 30, 2021, down from about 2.2 million Ringgit for the year ended June 30, 2020, due to losses incurred during the year[33]. - Financial costs increased from approximately 147,000 Ringgit for the year ended June 30, 2020, to about 302,000 Ringgit for the year ended June 30, 2021, due to the drawdown of a term loan of approximately 10.6 million Ringgit[34]. Business Operations and Strategy - The ongoing COVID-19 pandemic has caused significant disruptions to the company's operations, impacting its business scale and development momentum[11]. - The company maintains a conservative outlook on its recent business and financial performance due to the uncertainty in the market caused by the pandemic[12]. - The company aims to leverage its strong financial position and ISO certification to actively participate in various tenders and diversify its investments in Malaysia, Singapore, and Hong Kong[14]. - The company plans to optimize its business model and strengthen its market position in offshore construction and building infrastructure services[14]. - The company continues to focus on sustainable development to address uncertainties and unexpected crises in the market[12]. - The group plans to enter the marine fuel trading business, which is expected to enhance profit margins and expand opportunities in the maritime transport value chain[62]. - The group adopts strict cost control measures and actively participates in tenders to maintain market competitiveness amid ongoing uncertainties from the COVID-19 pandemic[62]. - The company aims to diversify its business model and actively participate in various tenders to strengthen its position in the offshore construction and infrastructure services sectors[63]. Corporate Governance and Management - The company has a strong emphasis on corporate governance and independent judgment from its board members[85][91]. - The company has established a diverse board with members holding various professional qualifications and extensive industry experience[90]. - The group has adopted internal control measures to ensure compliance with relevant laws and regulations, with no significant violations reported for the year[112]. - The group emphasizes the importance of employee contributions and regularly reviews compensation and benefits policies[114]. - The board considers various criteria, including financial performance and future business conditions, when proposing dividends[119]. Shareholder and Financial Position - As of June 30, 2021, the group had cash and cash equivalents of approximately 85.3 million Ringgit, an increase from 76.0 million Ringgit in the previous year[39]. - The group maintained a stable current ratio of approximately 1.8 times as of June 30, 2021, compared to 1.9 times in the previous year[40]. - The total bank loans and lease liabilities increased from approximately 1.3 million Ringgit as of June 30, 2020, to about 11.4 million Ringgit as of June 30, 2021[40]. - The group had unutilized bank financing facilities of approximately 56.4 million Ringgit as of June 30, 2021, compared to 47.0 million Ringgit in the previous year[39]. - The reserves available for distribution to shareholders as of June 30, 2021, amount to approximately 104.3 million MYR[150]. Risks and Challenges - The company reported a significant reliance on non-recurring contracts, with future business dependent on the ability to secure new contracts after existing ones are completed[101]. - The company's profitability may be adversely affected by delays or changes in large contracts, which can lead to unexpected increases in project costs[102]. - The overall economic conditions and government policies in the construction industry are critical, as downturns can reduce demand for the company's services[105]. - The impact of the COVID-19 pandemic has introduced uncertainty in future market conditions, potentially leading to project delays and increased competition[106]. - The company faces risks related to delayed customer payments, which can significantly affect its financial condition and operational performance[107]. Community and Environmental Initiatives - The company received the InnoESG Prize 2021 for its environmental, social, and governance initiatives, awarded by a consortium of organizations[12]. - Environmental compliance measures have been implemented, including sediment control and air quality monitoring, to ensure adherence to environmental policies[110]. - The company made charitable donations totaling approximately 144,000 MYR during the fiscal year ending June 30, 2021, compared to 250,000 MYR in the previous year[155]. - JBB Builders is actively involved in community service and has members participating in various advisory committees[92]. Employee and Compensation Policies - The group has implemented a stock option plan to incentivize employees and align their interests with the company's[130]. - The stock option plan allows for the granting of options to eligible participants for a period of ten years[131]. - The group has complied with the corporate governance code as per the listing rules during the reporting period[124]. - The group had 51 employees as of June 30, 2021, down from 62 in 2020[114].

JBB BUILDERS INTERNATIONAL LIMITED （於開曼群島註冊成立的有限公司） 股份代號：1903 JBB BUILDERS INTERNATIONAL LIMITED (Incorporated in the Cayman Islands with limited liability) Stock Code : 1903 Interim Report 2020 中期報告 Interim Report 中期報告 目錄 | --- | --- | |------------------------------|-------| | | | | | | | 公司資料 | 2 | | 管理層討論與分析 | 4 | | 企業管治及其他資料 | 14 | | 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 | 20 | | 簡明綜合現金流量表 | 21 | | 簡明綜合財務報表附註 | 22 | 公司資料 董事會 授權代表（就上市規則而言） | --- | --- | |---------------------------------- ...

Financial Performance - For the fiscal year ended June 30, 2020, the company's revenue decreased by approximately 204.4 million MYR to about 125.5 million MYR from 329.9 million MYR for the fiscal year ended June 30, 2019[13]. - The company recorded a profit attributable to owners of the company of approximately 2.2 million MYR for the fiscal year ended June 30, 2020, compared to approximately 19.6 million MYR for the fiscal year ended June 30, 2019[13]. - The company's revenue decreased by approximately 204.4 million MYR or 62.0% from about 329.9 million MYR for the year ended June 30, 2019, to about 125.5 million MYR for the year ended June 30, 2020[23]. - Revenue from offshore construction services accounted for approximately 34.1% of total revenue, decreasing by about 124.8 million MYR or 74.4% to approximately 42.9 million MYR for the year ended June 30, 2020[24]. - Revenue from land reclamation and related works decreased by about 7.8 million MYR or 41.3% to approximately 11.1 million MYR for the year ended June 30, 2020[24]. - Revenue from offshore transportation services decreased by about 117.1 million MYR or 78.7% to approximately 31.7 million MYR for the year ended June 30, 2020[25]. - Revenue from building and infrastructure services accounted for approximately 65.9% of total revenue, decreasing by about 79.5 million MYR or 49.0% to approximately 82.7 million MYR for the year ended June 30, 2020[27]. - Gross profit decreased by approximately 18.6 million MYR or 48.4% to approximately 19.8 million MYR for the year ended June 30, 2020[28]. - Overall gross profit margin increased from 11.6% for the year ended June 30, 2019, to 15.8% for the year ended June 30, 2020[28]. - Other income increased to approximately 2.4 million MYR for the year ended June 30, 2020, from about 1.7 million MYR for the year ended June 30, 2019[29]. - The net other losses amounted to approximately 1.3 million MYR for the year ended June 30, 2020, compared to a net other income of about 358,000 MYR for the year ended June 30, 2019[30]. - The company recorded a profit attributable to owners of approximately 2.2 million Ringgit for the year ended June 30, 2020, a decrease of about 88.8% compared to approximately 19.6 million Ringgit for the year ended June 30, 2019[36]. Business Strategy and Operations - The company plans to continue developing new business opportunities in Malaysia, Singapore, and Hong Kong, focusing on both public and private sector projects[16]. - The company aims to strengthen its market position in offshore construction and building and infrastructure services[16]. - The company has received conditional approval from the Malaysian Ministry of International Trade and Industry to resume operations at construction sites that had commenced before the enforcement of movement restrictions[13]. - The company will implement strict cost control measures and monitor the development of the COVID-19 pandemic to mitigate potential adverse impacts on business operations and financial performance[15]. - Despite challenges, no contracts have been canceled by clients since the fiscal year ended June 30, 2020, and project progress is expected to gradually resume as the pandemic improves[16]. - The board anticipates a reduction, delay, or cancellation of existing project numbers in the market, increasing industry competition[15]. - The company submitted 4 bids and 13 tenders for contracts with a total estimated value of approximately 1,278.0 million MYR as of June 30, 2020[21]. - The total order amount as of June 30, 2020, was approximately 1,201.1 million Malaysian Ringgit[61]. Financial Position and Capital Management - The company will take appropriate measures, such as raising bank loans, to meet working capital needs when necessary[15]. - The company maintained a stable current ratio of approximately 1.9 times as of June 30, 2020, compared to 1.6 times as of June 30, 2019[40]. - Cash and cash equivalents decreased to approximately 76.0 million Ringgit as of June 30, 2020, from 114.6 million Ringgit as of June 30, 2019, primarily due to net cash outflows from operations[39]. - The company had lease liabilities of approximately 1.3 million Ringgit as of June 30, 2020, down from 2.3 million Ringgit as of June 30, 2019[39]. - The company’s total borrowings, including bank loans and lease liabilities, decreased from approximately 2.8 million Ringgit as of June 30, 2019, to about 1.3 million Ringgit as of June 30, 2020[40]. - The company has reserves available for distribution to shareholders amounting to approximately 109.0 million Ringgit as of June 30, 2020[146]. Employee and Governance - The company has expanded its board with independent non-executive directors to enhance governance and oversight[81]. - The board includes members with extensive backgrounds in finance, accounting, and corporate governance, ensuring a diverse skill set[86]. - The company has adopted a share option scheme to incentivize employees and align their interests with the company's performance[125]. - The share option scheme allows the board to grant options to eligible participants for a period of ten years from the adoption date[127]. - The company emphasizes the importance of employee contributions and regularly reviews compensation and benefits policies[110]. - The board will continuously review the dividend policy and retains the discretion to update or modify it at any time[118]. - The company has not experienced significant changes in its main business operations during the year[97]. - The management team has extensive experience in the construction industry, with key personnel holding relevant qualifications and certifications[94]. - As of June 30, 2020, the company had approximately 62 full-time employees, down from 76 in 2019[60]. Risk Management - The company faces credit risk primarily from individual customer characteristics, with significant credit concentration risk from major customers[48]. - The group has not implemented any foreign exchange hedging policies but monitors foreign exchange risks closely[53]. - The group believes that the interest rate risk from short-term fixed deposits and bank loans is not significant[52]. - The profitability of the company may be adversely affected by delays or changes in large contracts, which can lead to unexpected increases in project costs[100]. - The company's revenue may significantly differ from original contract amounts due to change orders or adjustments issued by clients during project execution[102]. - The overall performance of the company is influenced by the economic conditions of the markets in which it operates, with potential impacts from economic downturns or changes in government policies[103]. - The COVID-19 pandemic has introduced uncertainties that could negatively affect future business performance, including revenue and profitability[104]. Community and Corporate Responsibility - The company is actively involved in community service and supports initiatives for women in flexible work arrangements[89]. - Charitable contributions made by the group during the year amounted to approximately 250,000 Ringgit, compared to 254,000 Ringgit in the previous year[151]. - The company has implemented environmental compliance measures in contracts, including sediment curtain installation and air quality monitoring[106]. - The company has maintained compliance with relevant laws and regulations, with no significant violations reported during the fiscal year ending June 30, 2020[108].

Revenue Performance - Revenue decreased by approximately 79.4 million MYR or 46.5% to about 91.3 million MYR for the six months ended December 31, 2019, compared to approximately 170.7 million MYR for the same period in 2018[20]. - Revenue from offshore construction services decreased by approximately 65.5% to about 36.1 million Ringgit for the six months ended December 31, 2019, compared to approximately 104.7 million Ringgit for the same period in 2018[21]. - Revenue from reclamation and related works accounted for about 25.2% of total offshore construction services revenue, decreasing by approximately 13.3% to about 9.1 million Ringgit[21]. - Revenue from offshore transportation services represented about 74.8% of total offshore construction services revenue, declining by approximately 71.3% to about 27.0 million Ringgit[22]. - Revenue from building and infrastructure services accounted for approximately 60.5% of total revenue, decreasing by about 16.2% to approximately 55.2 million Ringgit[25]. - For the six months ended December 31, 2019, the company reported revenue of 91,308 thousand MYR, a decrease from 170,652 thousand MYR in the same period of 2018, representing a decline of approximately 46.4%[94]. Contractual Activities - The group completed a total of 3 offshore construction contracts with an original contract value of approximately 7.8 million MYR and 5 building and infrastructure contracts with an original contract value of approximately 50.1 million MYR during the six months ended December 31, 2019[18]. - As of December 31, 2019, the group had 6 ongoing offshore construction contracts with an original contract value of approximately 500.7 million MYR and 11 ongoing building and infrastructure contracts with an original contract value of approximately 483.0 million MYR[18]. - The group submitted 1 quotation for offshore construction contracts and 10 tenders and 5 quotations for building and infrastructure contracts, with an original contract value of approximately 782.3 million MYR during the six months ended December 31, 2019[18]. - The expected total contract value for 10 submitted tenders and 6 quotations as of December 31, 2019, is approximately 1,076.1 million MYR[19]. - The group was awarded 5 contracts with an original contract value of approximately 40.4 million MYR, of which 3 were granted by new clients[19]. Financial Performance - Gross profit decreased by approximately 13.6% to about 14.6 million Ringgit, while overall gross profit margin increased from 9.9% to 16.0%[26]. - The company recorded a profit attributable to owners of approximately 4.2 million Ringgit, a decrease of about 3.1 million Ringgit compared to the previous period[34]. - The company did not recommend an interim dividend for the six months ended December 31, 2019[35]. - The company confirmed additional impairment of approximately 2.2 million Ringgit for overdue trade receivables and contract assets for the six months ended December 31, 2019[30]. - The company reported a net cash outflow from operating activities of MYR (2,221,000) for the six months ended December 31, 2019, compared to a cash inflow of MYR 8,218,000 in the same period of 2018[104]. - The company incurred a net loss of MYR 2,709,000 due to the initial application of HKFRS 9, impacting retained earnings[101]. - The company’s total comprehensive income for the period was MYR 7,073,000, compared to a loss of MYR 195,000 in the previous year[101]. Liquidity and Financial Position - As of December 31, 2019, the company had cash and cash equivalents of approximately 105.6 million Ringgit, a decrease from 114.6 million Ringgit as of June 30, 2019[38]. - The current ratio remained stable at approximately 1.7 times as of December 31, 2019, compared to 1.6 times as of June 30, 2019[39]. - The debt-to-equity ratio increased from approximately 2.1% as of June 30, 2019, to about 5.6% as of December 31, 2019, primarily due to increased bank loans and lease liabilities[39]. - The group maintained a robust liquidity position, with no significant changes in capital structure as of December 31, 2019[40]. - The company’s cash deposits with licensed banks amounted to approximately 6,964,000 LKR as of December 31, 2019, an increase from 5,593,000 LKR as of June 30, 2019[15]. Operational Challenges - The decrease in revenue was primarily due to the completion of several major contracts, which contributed significantly to the revenue for the six months ended December 31, 2018[20]. - The group faced delays in new contract commencements due to clients needing more time to obtain government approvals for offshore construction projects and changes in client design layouts[20]. - The company is focused on enhancing its operational efficiency and addressing challenges posed by adverse weather conditions and client-driven schedule changes[20]. Shareholder Information - As of December 31, 2019, major shareholders included JBB Jade Investment Limited and JBB Berlian Investment Limited, holding 36.36% and 32.25% of the issued share capital, respectively[84]. - The company maintained a sufficient public float of at least 25% of its issued shares as required by the listing rules[86]. Future Outlook - The company remains optimistic about future prospects, with no contracts canceled since the start of the fiscal year ending June 30, 2020, despite facing challenges[59]. - The Malaysian government is expected to announce a fiscal stimulus package to boost the economy and mitigate negative impacts from the pandemic and other uncertainties[59]. - The company plans to focus on existing projects in Johor Bahru while seeking new business opportunities in both public and private sectors[60]. Accounting Standards and Compliance - The group adopted new and revised Hong Kong Financial Reporting Standards effective from July 1, 2019, including HKFRS 16 on leases, which introduces a single accounting model for lessees[113]. - The initial impact of adopting HKFRS 16 resulted in adjustments to the right-of-use assets and lease liabilities as of July 1, 2019[115]. - The company recognized a lease liability of 2,486 thousand HKD as of July 1, 2019, with 1,215 thousand HKD classified as current and 1,271 thousand HKD as non-current[128]. Employee and Management Information - As of December 31, 2019, the company had approximately 74 full-time employees, a slight decrease from 76 employees as of June 30, 2019[56]. - The total remuneration for key management personnel, including executive directors, was 1,494,000 LKR for the six months ended December 31, 2019, up from 648,000 LKR in the previous year[200].

Financial Performance - The company's revenue decreased by approximately 207.9 million MYR or 38.7% to about 329.9 million MYR for the fiscal year ending June 30, 2019, compared to approximately 537.8 million MYR for the previous year due to reduced workload in offshore construction services [17]. - The net profit attributable to the company's owners for the year was approximately 19.6 million MYR, down from about 23.1 million MYR for the previous year, primarily due to the decrease in revenue and gross profit [17]. - For the fiscal year ended June 30, 2019, the group's revenue decreased by approximately 207.9 million MYR or 38.7% to about 329.9 million MYR from approximately 537.8 million MYR for the fiscal year ended June 30, 2018 [30]. - Gross profit decreased by approximately 32.6 million MYR or 45.9% to about 38.4 million MYR for the fiscal year ended June 30, 2019, from approximately 71.0 million MYR for the fiscal year ended June 30, 2018 [35]. - Overall gross profit margin decreased from 13.2% for the fiscal year ended June 30, 2018, to 11.6% for the fiscal year ended June 30, 2019 [35]. - Other income decreased to approximately 1.7 million MYR for the fiscal year ended June 30, 2019, from about 2.9 million MYR for the fiscal year ended June 30, 2018 [36]. - The net other income for the fiscal year ended June 30, 2019, was approximately 358,000 MYR, compared to a net loss of about 2.0 million MYR for the fiscal year ended June 30, 2018 [37]. - Income tax expenses decreased by approximately 4.9 million Ringgit or 38.9% to about 7.7 million Ringgit for the year ended June 30, 2019, from approximately 12.6 million Ringgit for the year ended June 30, 2018 [41]. - Profit attributable to owners of the company was approximately 19.6 million Ringgit for the year ended June 30, 2019, a decrease of about 15.2% from approximately 23.1 million Ringgit for the year ended June 30, 2018 [43]. Revenue Breakdown - Revenue from offshore construction services accounted for approximately 50.8% of total revenue for the fiscal year ended June 30, 2019, decreasing by about 291.1 million MYR or 63.4% to approximately 167.7 million MYR from about 458.8 million MYR for the fiscal year ended June 30, 2018 [31]. - Revenue from land reclamation and related works represented approximately 11.3% of total offshore construction services revenue, decreasing by about 79.3 million MYR or 80.8% to approximately 18.9 million MYR for the fiscal year ended June 30, 2019 [31]. - Revenue from offshore transportation accounted for approximately 88.7% of total offshore construction services revenue, decreasing by about 211.8 million MYR or 58.7% to approximately 148.8 million MYR for the fiscal year ended June 30, 2019 [32]. - Revenue from building and infrastructure services accounted for approximately 49.2% of total revenue, increasing by about 83.2 million MYR or 105.3% to approximately 162.2 million MYR for the fiscal year ended June 30, 2019 [34]. Contracts and Tenders - The company submitted 3 tenders and 17 quotations for offshore construction contracts, and 10 tenders and 7 quotations for building and infrastructure contracts, with a total original contract value of approximately 957.5 million MYR during the fiscal year [18]. - The company was awarded 23 contracts with an original contract value of approximately 788.6 million MYR, of which 7 contracts were awarded by new clients [18]. - Expected revenue recognition from offshore construction contracts and building and infrastructure contracts is approximately 479.4 million MYR and 307.4 million MYR, respectively, for the fiscal year ending June 30, 2019 [18]. - The company has submitted 4 tenders and 8 quotations that are pending results, with an expected contract value of approximately 706.1 million MYR [18]. Future Prospects and Strategy - The board is confident in the future prospects of offshore construction, building, and infrastructure businesses due to favorable government initiatives and the company's strengthened financial resources from the global offering [21]. - The company aims to expand its customer base and actively seek new projects in Malaysia despite the challenges posed by changing economic and political dynamics [21]. - The group anticipates challenges due to changing local and global economic conditions, but remains confident in its financial stability and future growth prospects in the construction sector [67]. - The group believes that long-term government policies on large-scale infrastructure projects will benefit its business demand [68]. Corporate Governance and Compliance - The company has implemented various corporate governance measures post-listing to ensure compliance with ethical and governance standards [22]. - The group is committed to complying with relevant laws and regulations, with no significant violations reported for the fiscal year ending June 30, 2019 [114]. - Independent non-executive directors have reviewed the compliance and execution of the non-competition agreement and found it to be adhered to by independent shareholders [191]. Shareholder Information and Dividends - The board proposed a final dividend of 0.02 Hong Kong dollars per share, totaling 10 million Hong Kong dollars, to be paid on December 13, 2019, subject to approval at the upcoming annual general meeting [44]. - The board will consider various criteria for dividend distribution, including actual and expected financial performance, overall financial condition, and future business strategies [126]. - The company retains the right to review and amend its dividend policy at any time, with no legal obligation to declare dividends [127]. - As of June 30, 2019, the reserves available for distribution to shareholders amounted to approximately 106.4 million Malaysian Ringgit [158]. Employee and Workforce Information - The group has approximately 76 full-time employees as of June 30, 2019, down from 86 in 2018 [64]. - The group reported a total of 76 employees as of June 30, 2019, down from 86 in the previous year, indicating a reduction in workforce [116]. Risk Factors - The group faced significant risks related to the ability to secure new contracts after existing ones are completed, which could impact future profitability [106]. - The group's performance is influenced by the overall economic conditions and government policies affecting the construction industry, which is cyclical in nature [110]. - The group's profitability may be adversely affected by unforeseen circumstances during contract execution, such as design changes or adverse weather conditions [108]. - The group’s revenue may significantly differ from original contract amounts due to change orders or adjustments made by clients during project execution [109]. Financial Position and Resources - As of June 30, 2019, the group had cash and cash equivalents of approximately 114.6 million Ringgit, an increase from 41.6 million Ringgit as of June 30, 2018 [46]. - The current ratio remained stable at approximately 1.6 times as of June 30, 2019, compared to 1.1 times as of June 30, 2018 [47]. - The group had bank loans of approximately 0.5 million Ringgit as of June 30, 2019, down from 0.7 million Ringgit as of June 30, 2018 [46]. - Credit risk is concentrated, with 43% of trade receivables and contract assets coming from the largest customer as of June 30, 2019, down from 69% in the previous year [54]. Investments and Subsidiaries - The group plans to establish a wholly-owned subsidiary in Hong Kong to engage in sand and gravel trading and construction business, aiming to leverage Malaysia's abundant resources and the stable demand from China and Hong Kong [68]. - The company has a joint venture, JBB Kimlun Sdn. Bhd., in which Kimlun holds 40% of the issued share capital [163]. - The company has not made any significant acquisitions or disposals of subsidiaries, associates, or joint ventures as of June 30, 2019 [62]. Environmental Compliance - The group emphasizes environmental compliance and has implemented measures such as sediment curtains and air quality monitoring to ensure adherence to environmental policies [111].