Financial Performance - The company's revenue increased by approximately 15.5% from about SGD 83.9 million in the fiscal year ending September 30, 2018, to approximately SGD 96.9 million in the fiscal year ending September 30, 2019[10]. - The gross profit margin slightly increased from approximately 15.7% to about 17.4% due to improved profitability in private client services[10]. - The net profit after tax was approximately SGD 4.9 million, a decrease from about SGD 6.8 million in the previous year, primarily due to increased listing and administrative expenses[10]. - The group's revenue increased by approximately 15.5% from SGD 83.9 million for the year ended September 30, 2018, to SGD 96.9 million for the year ended September 30, 2019[18]. - Net profit decreased by approximately 27.9% from SGD 6.8 million for the year ended September 30, 2018, to SGD 4.9 million for the year ended September 30, 2019, primarily due to listing expenses of SGD 3.8 million[18]. - Excluding listing expenses, net profit would have increased by approximately 17.6% to SGD 8.6 million for the year ended September 30, 2019[19]. - The construction services segment generated SGD 96.4 million in revenue, accounting for 99.5% of total revenue, with civil engineering contributing SGD 79.5 million (82.0%) and building construction SGD 15.7 million (16.3%) for the year ended September 30, 2019[26]. - Revenue from private clients increased significantly by approximately SGD 14.0 million or 44.3%, primarily due to 23 new private sector projects contributing SGD 17.3 million in revenue[29]. - Service costs rose by approximately 13.2% from SGD 70.7 million for the year ended September 30, 2018, to SGD 80.0 million for the year ended September 30, 2019, in line with revenue growth[30]. - Gross profit increased by approximately 28.0% from SGD 13.2 million for the year ended September 30, 2018, to SGD 16.9 million for the year ended September 30, 2019, with a gross margin improvement from 15.7% to 17.4%[31]. Financial Position - The company maintained a strong financial position with bank balances and cash of approximately SGD 20.9 million and a net debt-to-equity ratio of about 10.1% as of September 30, 2019[10]. - The net asset value was approximately SGD 52.3 million, equivalent to a net asset value per share of about SGD 0.11[10]. - The company had cash and cash equivalents totaling approximately SGD 20.9 million as of September 30, 2019, compared to SGD 3.7 million in the previous year[43]. - The debt-to-equity ratio as of September 30, 2019, was approximately 50.2%, a significant improvement from 101.4% in the previous year[48]. - The net proceeds from the share sale amounted to approximately HKD 86.3 million, which will be allocated to various purposes including strengthening financial status and enhancing fleet[58]. - The company pledged bank deposits and properties to secure bank financing, with performance guarantees amounting to approximately SGD 9.1 million as of September 30, 2019[54]. Corporate Governance - The company has a strong governance structure, with independent non-executive directors overseeing strategy and performance[62]. - The company has adopted all code provisions of the Corporate Governance Code as its own corporate governance practices since its listing on September 19, 2019[74]. - The board consists of two executive directors and three independent non-executive directors, ensuring independent judgment in overseeing the group's operations[76]. - The remuneration committee was established in August 2019, consisting of one executive director and two independent non-executive directors, to review and approve the remuneration policies for directors and senior management[81]. - The nomination committee was also established in August 2019, comprising one executive director and two independent non-executive directors, to oversee the nomination process for directors[84]. - The independent non-executive directors have confirmed their independence in accordance with the Listing Rules, ensuring adherence to relevant guidelines[77]. - The board is responsible for reviewing the effectiveness of the group's risk management and internal control systems[76]. - The company has committed to high standards of corporate governance to protect shareholder interests and enhance corporate value[74]. - The company has established a nomination committee responsible for reviewing the board's structure, size, and composition, considering skills, knowledge, experience, and diversity[87]. - The company has adopted a board diversity policy aimed at maintaining high standards of corporate governance and enhancing board efficiency through diverse perspectives[99]. Environmental, Social, and Governance (ESG) - The group is committed to sustainable development and has established an Environmental, Social, and Governance (ESG) working group to oversee related initiatives[172]. - The company plans to continue enhancing its ESG performance and create greater value for the community[182]. - The total greenhouse gas emissions for the year ending September 30, 2019, amounted to 6,001.43 tons of CO2 equivalent[200]. - Direct greenhouse gas emissions from gasoline and diesel consumption (Scope 1) were recorded at 5,973.28 tons of CO2 equivalent[200]. - Indirect greenhouse gas emissions from purchased electricity (Scope 2) were 28.15 tons of CO2 equivalent[200]. - The company achieved a greenhouse gas emissions density of 26.57 tons of CO2 equivalent per employee, based on 226 full-time employees[200]. - The company has implemented an environmental management policy to regularly review and improve its environmental performance[190]. - Compliance costs related to environmental regulations are expected to continue in proportion to the company's operational scale[190]. - The company has adopted measures to reduce direct greenhouse gas emissions, including purchasing vehicles that meet EU emission standards and optimizing fuel consumption[197]. Shareholder Information - The company has ensured that at least 25% of its issued share capital is held by the public as of the report date[165]. - Major shareholders hold 360,000,000 shares, representing 75% of the issued share capital[142]. - The board of directors and senior management's shareholdings as of September 30, 2019, indicate that Mr. Fang and Mr. Zhang each hold 360,000,000 shares, representing 75% of the issued share capital[138]. - There are no provisions in the company's articles of association regarding preemptive rights for existing shareholders when new shares are issued[125]. - The company did not enter into any equity-linked agreements during the year or at the end of the fiscal year[126]. - The company has not purchased, sold, or redeemed any of its listed securities during the year ended September 30, 2019[145]. - The stock option plan allows for the issuance of up to 48,000,000 shares, which is 10% of the total shares issued as of the report date[150]. - No stock options were granted or exercised during the year ended September 30, 2019[155]. - The stock option plan is valid for ten years from the date of adoption, with no options granted to date[155]. - The exercise price for stock options will be determined by the board and must be at least the highest of the closing price on the date of the offer, the average closing price over the previous five trading days, or the nominal value[153]. Operational Insights - The company has over 30 years of experience in the Singapore construction industry, with key executives being co-founders[60]. - The executive team includes individuals with extensive backgrounds in construction management and finance, with experience ranging from 17 to over 30 years[70]. - The company has been involved in multiple sectors, including retail and food services, prior to its current focus on construction[61]. - The main business activities include construction services, property investment, and logistics related to construction materials, with no significant changes reported for the year ending September 30, 2019[116]. - The company became the holding company of the group on December 18, 2018, as part of a restructuring plan for its public listing[113]. - The company’s shares have been listed on the Stock Exchange since September 19, 2019[115]. - The company has not participated in any other pension plans aside from the Central Provident Fund for the year ending September 30, 2019[163]. - The group has not conducted any significant post-balance sheet events after September 30, 2019, until the report date[168]. - The company faces major risks and uncertainties as detailed in the management discussion and analysis section of the annual report[124].
S&T HLDGS(03928) - 2019 - 年度财报