Financial Performance - The group's revenue for the six months ended June 30, 2024, remained consistent at approximately SGD 5.6 million, with no new projects awarded during the period[8]. - Gross profit increased from approximately SGD 0.2 million for the six months ended June 30, 2023, to approximately SGD 0.7 million for the current period, resulting in a gross margin of 12.5% compared to 3.6% in the previous year[10]. - Other income rose by approximately SGD 0.3 million or 15.8% to about SGD 2.2 million, primarily due to increased interest income from financial assets and management fees from a joint venture[11]. - The net loss for the period decreased by approximately 50.0% from SGD 1.0 million to SGD 0.5 million[14]. - The group reported a significant increase in contract assets, with receivables from the ultimate holding company rising to SGD 1,376,000 from SGD 170,000 in the previous year[51]. - The company reported a loss attributable to owners of SGD (464,000) for the six months ended June 30, 2024, compared to a loss of SGD (1,047,000) in 2023[66]. - Total comprehensive loss for the period was SGD 228,000, compared to SGD 1,191,000 in the previous year, reflecting a decrease of 80.9%[43]. Project and Market Outlook - The group had five ongoing projects with a total contract value of approximately SGD 57.2 million, of which approximately SGD 37.7 million was recognized as revenue by June 30, 2024[4]. - The group is adopting a more cautious approach to new project bidding in light of ongoing economic challenges and market volatility[3]. - The construction market in Singapore is expected to see strong demand, particularly in the public sector, with the private sector remaining stable in the medium term[3]. - The company plans to demolish an existing property and construct a four-story building for warehouse, office, and dormitory use, with construction expected to commence within the year[24]. Expenses and Costs - Administrative expenses increased by approximately SGD 0.5 million or 17.2% to about SGD 3.4 million, mainly due to higher depreciation, professional fees, and employee costs[12]. - Service costs decreased by approximately SGD 0.6 million or 11.1% to about SGD 4.8 million for the current period[9]. - Employee costs totaled approximately SGD 2.9 million for the period, compared to SGD 2.8 million for the same period last year[23]. - The company incurred employee benefits expenses of SGD 1,311,000 for the six months ended June 30, 2024, compared to SGD 1,338,000 in 2023[63]. Cash Flow and Liquidity - As of June 30, 2024, the company had cash and bank balances of approximately SGD 4.8 million, down from SGD 13.7 million as of December 31, 2023[16]. - The total cash and cash equivalents at the end of the period were SGD 1,718,000, a decrease from SGD 13,967,000 at the end of the previous year[53]. - The company reported a cash flow from operating activities of SGD (Singapore Dollar) -2,936,000, compared to -2,326,000 in the same period last year, indicating a decline in cash flow[51]. - The company reported a net cash outflow from investing activities of SGD -4,431,000, compared to -1,055,000 in the previous year, indicating increased investment expenditures[53]. - The company’s cash flow from financing activities showed a net outflow of SGD -298,000, slightly improved from -350,000 in the previous year[53]. Assets and Liabilities - Non-current assets totaled SGD 54,057,000 as of June 30, 2024, an increase from SGD 49,693,000 at the end of 2023[44]. - Current assets decreased to SGD 10,172,000 from SGD 20,408,000 at the end of 2023, indicating a decline of 50.2%[44]. - Total liabilities decreased to SGD 15,289,000 from SGD 20,933,000, representing a reduction of 27.1%[44]. - The company’s total liabilities decreased to SGD 6,477,000 as of June 30, 2024, from SGD 8,464,000 as of December 31, 2023[75]. - Trade payables decreased significantly to SGD 1,044,000 as of June 30, 2024, from SGD 4,166,000 as of December 31, 2023[74]. Shareholder Information and Corporate Governance - Mr. Zheng Yonghua holds 20,000,000 personal shares and 552,336,000 corporate shares, totaling 552,336,000 shares, representing 60.33% of the voting shares[28]. - Mr. Zhang Ruiqing holds 532,336,000 corporate shares, representing 58.14% of the voting shares[28]. - The company is committed to maintaining high standards of corporate governance to protect shareholder interests[38]. - The board confirmed compliance with the adopted trading code for directors during the period[39]. - The company maintained a public float of at least 25% of its issued shares, in compliance with listing rules[43]. Compliance and Risk Management - The company continues to monitor foreign exchange risks and may consider hedging significant currency risks as needed[18]. - The company adopted all new and revised International Financial Reporting Standards (IFRS) effective during the fiscal period, with no significant impact on financial performance or position[56]. - The company expects no significant impact from new standards and interpretations that are not yet effective as of June 30, 2024[56]. - The company has no significant contingent liabilities or capital commitments as of June 30, 2024[20].
守益控股(02227) - 2024 - 中期财报