Revenue Performance - For the six months ended September 30, 2024, the total revenue was approximately SGD 24.1 million, a decrease of SGD 5.0 million compared to SGD 29.1 million for the same period in 2023[13]. - The decrease in revenue was primarily due to a reduction of approximately SGD 4.1 million in gas pipeline project revenue and SGD 0.7 million in water pipeline project revenue[13]. - The company's revenue for the first half of 2025 decreased by approximately 5.0 million SGD or 17.2% to about 24.1 million SGD, down from approximately 29.1 million SGD in the first half of 2024[22]. - Revenue from gas pipeline projects decreased by approximately 4.1 million SGD, while revenue from water pipeline projects decreased by approximately 0.7 million SGD, primarily due to the completion of related projects from previous years[22]. - Revenue for the six months ended September 30, 2024, was 24,056 thousand SGD, a decrease of 17.3% compared to 29,064 thousand SGD for the same period in 2023[144]. - The revenue from gas-related construction contracts was SGD 7,874,000, down 34.5% from SGD 11,930,000 in the previous year[182]. - The revenue from water-related construction contracts was SGD 15,964,000, a slight decrease of 4.3% compared to SGD 16,679,000 in the same period of 2023[182]. Financial Performance - Gross profit for the first half of 2025 was approximately 2.7 million SGD, a decrease of about 0.3 million SGD from 3.0 million SGD in the first half of 2024, with a gross margin of 11.2% compared to 10.2% in the previous year[24]. - The company recorded a loss of approximately 9.6 million SGD in the first half of 2025, an increase of about 1.1 million SGD from a loss of approximately 8.5 million SGD in the first half of 2024[32]. - The company reported a loss per share from continuing operations of (6.80) Singapore cents, compared to (6.43) Singapore cents in the previous year, reflecting a decline of 5.8%[148]. - The group reported a loss before tax of SGD 9,676,000 for the six months ended September 30, 2024, compared to a loss of SGD 8,193,000 in the same period of 2023[178]. - Operating loss before tax for the six months was (9,676) thousand SGD, compared to (8,193) thousand SGD in the previous year, indicating an increase in loss of 18.1%[144]. Expenses and Costs - The cost of sales decreased by approximately 4.7 million SGD or 18.1% to about 21.4 million SGD in the first half of 2025, aligning with the revenue decrease[23]. - Administrative expenses rose to approximately 14.3 million SGD in the first half of 2025 from about 11.4 million SGD in the same period of 2024, driven by increased rent and professional fees[28]. - The administrative expenses and financial costs for the six months ended September 30, 2024, were SGD 14,349,000 and SGD 587,000 respectively, compared to SGD 11,379,000 and SGD 861,000 in the previous year[178]. Assets and Liabilities - Total assets as of September 30, 2024, were 104,648 thousand SGD, down from 112,131 thousand SGD, a decrease of 6.7%[151]. - The company's equity attributable to owners decreased to 60,608 thousand SGD from 69,686 thousand SGD, a decline of 13.1%[151]. - Total liabilities decreased from 42,272 thousand to 37,240 thousand, a reduction of approximately 12.0%[153]. - Current liabilities increased from 24,729 thousand to 26,601 thousand, an increase of about 7.5%[153]. - Non-current liabilities decreased significantly from 17,543 thousand to 10,639 thousand, a decrease of approximately 39.5%[153]. Cash Flow and Financing - Cash flow from operating activities generated a net cash of 7,045 thousand, compared to a cash outflow of 17,943 thousand in the previous year[161]. - The company incurred a net cash outflow of (351) thousand from investing activities, compared to (5,675) thousand in the previous year[164]. - The company's total borrowings decreased by approximately 5.5 million SGD to about 17.7 million SGD as of September 30, 2024, primarily due to repayments of bank and other loans[40]. - The net asset value as of September 30, 2024, was approximately 67.4 million SGD, down from about 69.9 million SGD as of March 31, 2024[42]. Corporate Governance and Compliance - The company has adopted corporate governance codes to enhance accountability and shareholder value, ensuring compliance as of September 30, 2024[141]. - The audit committee reviewed the unaudited interim results and confirmed compliance with applicable accounting standards and regulations[142]. - The company continues to evaluate and enhance its corporate governance practices to align with best practices[141]. Strategic Initiatives - The board is actively exploring new business opportunities globally to identify markets with growth potential for diversification[14]. - The management believes that all ongoing projects are progressing according to schedule and are not expected to incur any liabilities[17]. - The group aims to strengthen its market position in the construction industry and develop the Trendzon Innovation City industrial park in China[14]. - The company is committed to enhancing its core competitiveness and stabilizing operations in a challenging business environment[13]. - The company is exploring market expansion opportunities and new strategies to enhance its service offerings in the construction and engineering sectors[168]. Shareholder Actions - The company announced a share consolidation on July 19, 2024, merging every 10 shares into 1 share, increasing the par value from HKD 0.01 to HKD 0.1[68]. - A rights issue was proposed at a subscription price of HKD 0.18 per share, with a total of 566,720,000 shares available for subscription[71]. - The total proceeds from the rights issue were approximately HKD 102.0 million, with a net amount of about HKD 100.2 million after expenses[71]. - The board proposed a share consolidation and rights issue to enhance capital structure and shareholder value[86].
卓航控股(01865) - 2025 - 中期财报