Boustead Singapore has reported a net profit of $36.0 million for the 1HFY2025 ended September 30, a 34% y-o-y increase from the same period a year before.
The group says that after adjusting for other gains/losses and impairments, all net of non-controlling interests, net profit would have been 48% higher y-o-y. This was due to higher gross profit and interest income, and a reversal of impairment loss, which was partially offset by other losses and higher overhead expenses.
For the 1HFY2025, the group’s revenue stood at $295.2 million, down 20% y-o-y. This came on the back of lower revenue contributions from Boustead’s Energy Engineering Division and Real Estate Solutions Division (Boustead Projects).
Gross profit for 1HFY2025 saw a 11% y-o-y increase to $116.6 million, while gross profit margin rose to 40% in the same period from 29% in 1HFY2024.
As at Sept 30, the group’s net asset value (NAV) per share saw an increase to 108.8 cents from 105.8 cents previously, as at the end of FY2024. For the same period, the group’s net liquid position came in at $274.1 million, or net liquid position per share of 55.7 cents.
The board has since declared an interim dividend of 1.5 cents per share, on the back of steady profitability from the group’s core businesses and healthy net cash position.
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Wong Fong Fui, chairman and group CEO of Boustead, says: “Despite a challenging global business environment, our group achieved commendable results. Geopolitical tensions and ongoing conflicts are fuelling greater global uncertainties and continue to dampen the macroeconomic climate, which has affected our ability to secure new contracts.”
He adds:, “During 1HFY2025, nearly all divisions saw increases in operating profit, with the group securing an overall 41% increase y-o-y. Through our risk-managed approach, we remain steadfast in pursuing favourable opportunities that will bolster new contracts and the currently lower backlog, particularly for our Energy Engineering Division and Real Estate Solutions Division. As we navigate through the present challenges and adversities, our healthy balance sheet and solid business fundamentals will pull us through the troughs of business cycles.”
Shares in Boustead Singapore F9D closed 1 cent lower, or down 0.96%, at $1.03 on Nov 12.
