Company Listing and Reputation - The company successfully listed on the Hong Kong Stock Exchange on November 8, 2019, enhancing its reputation and visibility in the demolition services industry[5]. - The company aims to utilize the net proceeds from its IPO to implement its future development and business strategies as outlined in the prospectus[5]. - The company is committed to enhancing its corporate image and reputation through its listing and ongoing business development efforts[5]. Impact of COVID-19 - The COVID-19 pandemic significantly impacted the company's operations, with construction activities in Singapore being halted from April 7 to June 1, 2020, due to government-imposed lockdown measures[6]. - The management has taken relevant actions to mitigate the adverse effects of the revised construction demand on the company's operations[7]. - The company faced operational challenges due to COVID-19, leading to project delays and a significant reduction in operational activities[48]. Financial Performance - Total revenue for the fiscal year 2020 decreased by SGD 24.2 million or 71.1% to approximately SGD 9.8 million, primarily due to the significant negative impact of COVID-19 and related government measures[10]. - The loss attributable to equity holders was approximately SGD 12.0 million, a decrease of about SGD 15.2 million or 470.8% from a profit of approximately SGD 3.2 million in the fiscal year 2019[10]. - The group reported a loss attributable to equity holders of approximately SGD 12.0 million for the fiscal year 2020, a decrease of SGD 15.2 million or 470.8% from a profit of SGD 3.2 million in 2019[63]. Construction Industry Outlook - The construction demand forecast by the Building and Construction Authority was revised down from SGD 28 billion to SGD 33 billion to a new range of SGD 18 billion to SGD 23 billion for 2020[7]. - The construction industry in Singapore saw a year-on-year decline of 28.5% in Q4 2020, an improvement from a 46.2% decline in Q3 2020, indicating a gradual recovery in construction activities[11]. - The company is optimistic about a gradual recovery in demand for demolition services in 2021, driven by public sector projects[13]. Business Strategy and Expansion - The company is committed to expanding its services in the public sector, which is expected to support the recovery of the construction industry[13]. - The company is exploring other business opportunities due to contract delays and project postponements[14]. - The company is focused on expanding its market presence and enhancing its product offerings through strategic investments and partnerships[35]. Corporate Governance and Management - The company has a strong board of directors with diverse backgrounds in finance, management, and technology, enhancing its governance and strategic oversight[35]. - The management team emphasizes the importance of compliance and corporate governance in its operations, ensuring transparency and accountability[39]. - The board consists of four executive directors, one non-executive director, and three independent non-executive directors, ensuring strong independence[184]. Environmental Responsibility - The company is committed to environmental responsibility, focusing on recycling demolition waste and complying with applicable environmental laws and regulations[103]. - The group has complied with applicable environmental laws and regulations in all material aspects for the fiscal year 2020, with total environmental compliance costs of approximately SGD 1.7 million, SGD 2.0 million, and SGD 2.3 million over the past three years[104]. Workforce and Employment - The group employed a total of 111 staff as of December 31, 2020, with approximately 32% being local employees and 68% foreign employees[92]. - The group expanded its workforce by hiring additional project management and execution personnel, with a total cost of SGD 9.1 million[113]. Financial Position and Assets - As of December 31, 2020, the group's net current assets were approximately SGD 16.2 million, a decrease of SGD 10.8 million or 40.0% from SGD 27.0 million in 2019[67]. - The total equity attributable to equity holders was approximately SGD 39.3 million as of December 31, 2020, down from SGD 51.5 million in 2019[71]. - The group faced foreign exchange risk, with a potential impact of approximately SGD 43,000 on post-tax losses and equity due to a 4% fluctuation in the exchange rate as of December 31, 2020, compared to SGD 20,000 in 2019[84]. Shareholder Information - As of December 31, 2020, Tan Chee Beng holds 505,600,000 shares, representing 50.56% of the company's equity[139]. - TCB Investment Holdings Limited, wholly owned by Tan Chee Beng, holds 341,700,000 shares, accounting for 34.17% of the equity[150]. - The largest customer contributed 37.3% of total contract revenue, with the top five customers accounting for 56.4%[127].
BENG SOON MACH(01987) - 2020 - 年度财报