NSL (N02) H2 2024 earnings summary

Executive summary

• Group revenue rose 2% year-over-year to S$302.7m for 2024, driven by Environmental Services growth.

• Adjusted profit before tax increased 70% to S$34.1m, mainly from Precast and Environmental Services divisions.

• Net profit attributable to equity holders was S$21.3m, reversing a loss of S$18.7m in 2023.

• Significant non-cash impairment losses in 2023 (S$35.6m) were not repeated in 2024; 2024 saw a S$4.0m goodwill impairment.

• No interim dividend declared for 2024; S$7.5m final dividend paid for the previous period.

Financial highlights

• Gross profit margin improved to 23% in 2024 from 18% in 2023, led by Precast Malaysia and Environmental Services.

• Operating cash flow was S$24.5m, down from S$38.3m in 2023, mainly due to working capital outflows.

• Net cash outflow for the year was S$2.9m, with cash and equivalents at S$120.4m as of year-end.

• Net asset value per share increased to S$0.78 from S$0.73 year-over-year.

• Basic EPS was 5.69 cents, up from a loss of 5.01 cents per share in 2023.

Outlook and guidance

• Precast business expected to remain satisfactory, supported by order books in Singapore, Malaysia, and Dubai.

• PBU business in Finland faces continued challenges due to weak housing market.

• Environmental Services demand expected to remain stable across segments.