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]
坤集团(00924) - 2020 - 中期财报