ISOTeam has posted earnings of $6.5 million for its FY2024 ended June, surging 363.1% higher y-o-y.
This was mainly due to significant improvements in the performance of its repairs and redecoration (R&R); additions and alteration (A&A); and coating and painting segments, which boosted revenue to 17.9% higher y-o-y to $130.2 million.
To this end, FY2024 earnings per share stood at 0.91 cents, from 0.28 cents in FY2023.
Gross profit margin recovered to levels just before the pandemic era, mainly due to the steady improvement in margins on projects secured post Covid-19 as industry prospects turned positive. For its FY2024, gross profit margin increased 5.4 percentage points to 15.5%, which boosted gross profit 82.4% higher y-o-y to $20.2 million.
As at 30 June 2024, ISOTeam’s order book stood at $193.1 million, which will support its activities until 2027.
The company has proposed dividends of 0.08 cents per share for FY2024.
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ISOTeam executive director and CEO Anthony Koh says the company’s decision to dispose of non-core subsidiaries in FY2023 to focus on its bread and butter A&A and R&R business enabled it to capture the post-pandemic upswing in demand for upgrading and maintenance work — particularly from the public sector.
“The success of this strategy is clearly reflected in our FY2024 performance. Internally, our goal is to double our market share for HDB repainting works to 30.0% by 2027, which we believe is achievable as we continue to reap the benefits from our renewed focus on our core competencies,” he adds.
Shares in ISOTeam closed at an unchanged 6.4 cents on Aug 27.
