Financial Performance - Revenue increased by approximately 5.9% from about SGD 18.8 million in 2023 to about SGD 19.9 million in 2024[3] - Gross profit decreased by approximately 38.7% from about SGD 3.1 million in 2023 to about SGD 1.9 million in 2024[4] - The company recorded a profit of approximately SGD 0.8 million in 2024, compared to a loss of about SGD 7,000 in 2023[5] - Total comprehensive income for the year amounted to SGD 2.357 million, up from SGD 0.869 million in 2023[9] - Basic and diluted earnings per share increased to SGD 0.09 in 2024 from SGD 0.00 in 2023[9] - Other income for 2024 totaled SGD 5,276,000, up from SGD 4,449,000 in 2023, reflecting an increase of about 18.6%[21] - Profit for the fiscal year ending December 31, 2024, was approximately SGD 0.8 million, compared to a loss of about SGD 7,000 for the fiscal year ending December 31, 2023[60] Assets and Liabilities - Non-current assets increased to SGD 56.666 million in 2024 from SGD 49.693 million in 2023[10] - Trade receivables rose significantly to SGD 4.565 million in 2024 from SGD 0.944 million in 2023[10] - Total liabilities increased to SGD 21.676 million in 2024 from SGD 20.933 million in 2023[11] - The company’s net assets increased to SGD 51.525 million in 2024 from SGD 49.168 million in 2023[11] - Trade payables rose to SGD 6,278,000 in 2024 from SGD 4,166,000 in 2023, reflecting increased operational activity[39] - Accrued operating expenses increased to SGD 3,034,000 in 2024 from SGD 1,566,000 in 2023, indicating higher operational costs[40] - The debt as of December 31, 2024, was approximately SGD 5.4 million, a decrease from SGD 5.7 million in the previous year[62] Revenue Sources - The revenue from construction contracts for the design, construction, and installation of electromechanical systems increased to SGD 19,929,000 in 2024 from SGD 18,809,000 in 2023, representing a growth of approximately 5.96%[18] - Major clients contributing over 10% of total revenue included Client A with SGD 13,791,000 and Client B with SGD 3,692,000 in 2024, while Client B had contributed SGD 12,728,000 in 2023[18] - The total revenue from remaining performance obligations as of December 31, 2024, was SGD 30,411,000, compared to SGD 24,889,000 in 2023, indicating an increase of approximately 22.5%[19] Operational Highlights - Service costs rose by approximately 13.9% to about SGD 18.0 million, driven by increased construction activities[55] - As of December 31, 2024, the company had six ongoing projects with a total contract value of approximately SGD 63.4 million, of which about SGD 52.0 million was recognized as revenue[50] - The company secured two new projects with a total contract value of approximately SGD 23.8 million during the fiscal year ending December 31, 2024[51] Market Outlook - The construction market in Singapore is expected to continue growing, supported by large infrastructure projects and urban redevelopment, with a projected growth of 4.5% in the construction sector for 2024[47] - The nominal total value of construction demand in 2025 is expected to range between SGD 47 billion and SGD 53 billion, which is 0.3% to 11.7% higher than pre-pandemic levels[47] Governance and Compliance - The company has adopted a code of conduct for directors' securities trading, confirming compliance for the fiscal year ending December 31, 2024[77] - The board believes the company has fully complied with the corporate governance code applicable for the fiscal year ending December 31, 2024[78] - The roles of the chairman and CEO are clearly separated, with Mr. Zheng Yonghua serving as the executive chairman and Mr. Zhang Ruiqing as the CEO[79] Audit and Legal Matters - The independent auditor's report indicates a qualified opinion due to insufficient audit evidence regarding the classification of a 49% investment in D.D. Resident Co. Ltd[86][88] - The ongoing legal proceedings are not expected to have a significant adverse impact on the company's overall business or daily operations[91] - The audit committee shares the same view as Baker Tilly regarding the audit qualification and will maintain close communication with the board and Baker Tilly on the progress[92] Future Plans - The company plans to invest in enhancing its workforce and adopting new construction technologies to improve productivity and maintain competitive advantages in bidding and project delivery[48] - The company will continue to monitor the macroeconomic environment and implement contingency plans to ensure smooth project progress and strict cost control[48]
守益控股(02227) - 2024 - 年度业绩