GRP (BLU) H1 2025 earnings summary

Executive summary

• H1 FY2025 returned to profit: PBT S$0.493m vs loss S$0.287m; net profit S$0.271m vs loss S$0.730m, while continuing-operations revenue declined 11.6%.

• Stronger metrology results and lower administrative expenses offset weaker property revenue and delays to the affordable housing project.

Financial highlights

• H1 revenue S$9.746m, down 11.6% YoY; gross profit S$2.914m, up 8.9%. 2Q revenue S$4.780m, down 19.5%; gross profit S$1.373m, up 13.7%.

• H1 administrative expenses fell 28.8% to S$1.669m, reflecting lower payroll costs and improved FX differences, plus a S$0.16m reinstatement-cost write-back; prior-year one-time items affected the comparison.

• H1 net operating cash inflow was S$0.327m vs outflow of S$1.882m; investing cash inflow was S$0.818m, including S$0.680m from discontinued-operation disposals.

• Cash and bank balances were S$18.505m at 31 Dec 2024, up S$0.938m from 30 Jun 2024.

Outlook and guidance

• Market conditions remain challenging; the affordable housing project is delayed, and a replacement contractor is being sought following termination of EESB’s appointment.

• A consultant and the Kaiping District Mayor indicated the remaining RMB14.55m PRC-authority refund was budgeted for 2025; full recovery is expected by 31 Dec 2025.

• A proposed minority investment in Bintan Investment Management would support diversification into renewable energy and agriculture; the heads of agreement is non-binding and terms remain under review.