Financial Performance - For the six months ended June 30, 2025, the company's revenue was S$4,874,401, a decrease of 59.9% compared to S$12,150,977 in the same period of 2024[19]. - The cost of services for the same period was S$5,746,312, resulting in a gross loss of S$871,911, compared to a gross profit of S$2,426,059 in 2024[19]. - The company reported a loss before taxation of S$2,739,828, a significant decline from a profit of S$264,397 in the previous year[19]. - The net loss for the period was S$2,739,930, compared to a profit of S$244,118 in the same period of 2024[19]. - Total comprehensive expense for the period amounted to S$2,629,996, contrasting with a comprehensive income of S$196,383 in 2024[19]. - Basic loss per share was S$0.57, compared to earnings of S$0.05 per share in the previous year[19]. - Other income for the period was S$364,519, slightly up from S$348,632 in 2024[19]. - The company reported a net loss of S$2,739,930 for the six months ended June 30, 2025, compared to a loss of S$3,845,718 for the same period in 2024[25]. - The loss after taxation for the six months ended June 30, 2025, was approximately S$2,740,000, compared to a profit of approximately S$244,000 in 2024, primarily due to decreased revenue and a shift from gross profit to gross loss[123]. Expenses and Cost Management - Selling expenses decreased to S$58,604 from S$115,080 in the previous year, indicating a reduction in marketing costs[19]. - Administrative expenses were S$2,149,626, a decrease from S$2,337,077 in 2024, reflecting cost control measures[19]. - Finance costs decreased to S$24,206 from S$58,137, showing improved financial management[19]. - Total staff costs, including directors' remuneration, decreased to S$2,047,535 in 2025 from S$2,327,941 in 2024, a reduction of approximately 12%[58]. - The cost of materials recognized as expenses was S$1,502,858 in 2025, down from S$3,074,767 in 2024, indicating a decrease of about 51%[56]. - The total subcontractor costs recognized as expenses were S$2,144,465 in 2025, down from S$3,625,072 in 2024, representing a decrease of approximately 41%[56]. - Depreciation expenses for property, plant, and equipment were approximately S$105,000 in 2025, a decrease from approximately S$445,000 in 2024, reflecting a reduction of about 76%[61]. - The Group incurred depreciation expenses on right-of-use assets of approximately S$240,000 in 2025, down from approximately S$331,000 in 2024, a decrease of about 27%[66]. Assets and Liabilities - As of June 30, 2025, total assets less current liabilities amounted to S$7,910,784, a decrease of 25.5% from S$10,621,255 as of December 31, 2024[21]. - Net current assets decreased to S$4,699,174, down 37.7% from S$7,460,727 at the end of 2024[21]. - Cash and cash equivalents at the end of the period were S$1,061,338, a decrease of 33.1% from S$1,587,881 at the beginning of the period[26]. - Trade receivables significantly decreased to S$711,285 from S$2,537,913, indicating a reduction of 72%[21]. - Contract assets also declined to S$6,291,871, down 10.8% from S$7,055,953[21]. - The company's net assets stood at S$6,063,293, a decrease of 30.2% from S$8,693,289 at the end of 2024[23]. - Borrowings increased to S$668,150 from S$226,444, reflecting a significant rise in financing needs[21]. - Trade payables decreased to S$2,085,829 as of June 30, 2025, from S$2,299,428 as of December 31, 2024, a decline of approximately 9%[79]. Shareholder Information - The company did not recommend the payment of dividends for the six months ended June 30, 2025, consistent with 2024[52]. - No dividends were paid, proposed, or declared for the ordinary shareholders for the six months ended June 30, 2025[102]. - Mr. Wei Guangjun holds 3,502,500 shares, representing approximately 0.73% of the total issued share capital, while together with Houyin (International) Group Company Limited, they hold 104,652,500 shares, representing approximately 21.80%[142]. - As of June 30, 2025, Houyin (International) Group Company Limited holds 101,150,000 shares, representing approximately 21.07% of the issued share capital of the Company[148]. - Together, Mr. Wei Guangjun and Houyin (International) Group Company Limited hold a total of 104,652,500 shares, representing approximately 21.80% of the total issued capital of the Company[149]. Corporate Governance - The Company has complied with all code provisions of the Corporate Governance Code during the six months ended June 30, 2025[159]. - The Company has adopted a code of conduct regarding securities transactions by directors, with no non-compliance reported[155]. - The Board comprises four executive Directors, two non-executive Directors, and three independent non-executive Directors as of the report date[176]. - The Audit Committee reviewed the unaudited results for the six months ended June 30, 2025, and provided advice and comments[175]. Strategic Initiatives and Market Outlook - The Group's strategy includes expanding and strengthening its market position in the structural steel work industry in Singapore through increased projection capacity and workforce[123]. - The Group is expanding its capacity to meet increased demand and is actively pursuing projects from various clients to reduce reliance on a single customer[128]. - Singapore's total construction demand in 2025 is projected to range between S$35 billion and S$39 billion, with medium-term demand expected to reach between S$39 billion and S$46 billion annually from 2026 to 2029[133]. - The Building and Construction Authority (BCA) estimates total construction demand in 2025 to be between approximately S$47 billion and S$53 billion, driven by large-scale developments like Changi Airport Terminal 5 and Marina Bay Sands expansion[134]. - The strong demand for construction is supported by public housing development, healthcare facilities, and infrastructure works, including the Thomson-East Coast Line Extension and Cross Island Line[135]. - The Group is venturing into the China silver economy market by distributing Tibetan Plateau yak dairy products, aligning with its long-term growth strategy[130]. Employee Information - The Group employed a total of 127 employees as of June 30, 2025, a slight decrease from 128 employees as of December 31, 2024[110]. - The Group has adopted a share option scheme to incentivize its employees[110]. - No share options were outstanding under the share option scheme as of January 1, 2025, and June 30, 2025, with 48,000,000 shares available for grant, representing 10% of the issued share capital[162].
高原之宝(08402) - 2025 - 中期财报