Keong Hong (5TT) H1 2025 earnings summary

Executive summary

• H1 FY2025 revenue rose 50.0% YoY to S$122.9m; net profit was S$7.5m versus a S$9.5m loss in H1 FY2024.

• Construction-project progress drove higher revenue and a return to gross profit; associate losses and slower Maldives resort occupancy remained headwinds.

Financial highlights

• Revenue increased 50.0% to S$122.854m; cost of sales rose 35.3% to S$114.847m.

• Gross profit was S$8.007m versus a S$2.969m gross loss; other income increased to S$9.226m, including S$3.8m net FX gain.

• Administrative expenses fell 24.3% to S$5.627m; finance costs declined 31.5% to S$0.834m.

• Net profit attributable to owners was S$7.479m versus a S$9.520m loss; total comprehensive income was S$4.852m.

Outlook and guidance

• Focus remains on completing current projects on time, returning progressively to profitability, prudent cash-flow management and maintaining balance-sheet resilience.

• Construction order book was ~S$261m at 31 March 2025; residential projects represented ~56%, with commercial projects making up the balance.

• TOP was obtained in March 2025 for the final Grand Hyatt Singapore Hotel additions and alterations phase; reopening was planned for June.

• Sale of a 20% stake in Katong Holdings for S$34.5m was pending shareholder approval; completion was extended to 30 June 2025, with proceeds intended for working capital and potential opportunities.