Hock Lian Seng (J2T) H1 2025 earnings summary

Executive summary

• H1 2025 revenue rose 3.5% YoY to $103.3m, while profit before tax fell 58.4% to $10.0m amid lower gross profit and other income.

• Civil engineering activity strengthened, but construction cost pressure and weaker property sales weighed on profit; the civil engineering order book was $335m at 30 June 2025.

Financial highlights

• Revenue was $103.304m vs $99.808m YoY; gross profit was $7.853m vs $21.288m, down 63.1%.

• Profit before tax was $10.006m vs $24.048m; net profit after tax was $8.682m vs $20.410m.

• Other income fell 15.4% to $5.412m, primarily on lower rental income, government grants and interest income.

• Operating cash flow was $4.603m vs $28.990m; cash and short-term deposits ended at $152.755m, down $6.448m from year-end 2024.

Outlook and guidance

• Prior prospect commentary remained in line with actual results; civil engineering order book stood at $335m at 30 June 2025, mainly from Aviation Park and Serangoon North station projects.

• Shine @ TuasSouth had sold 59.2% and leased 39% of total units; management plans competitive infrastructure tenders and to explore other business opportunities.