"This is especially key in light of Singapore’s increasingly stringent foreign workforce participation rules over the past few years," says Loh, adding that Hong Leong Asia expects that this system could undergo full implementation in 2026.
UOB Kay Hian's Adrian Loh has kept his "buy" call and $2.82 target price for Hong Leong Asia, as he reaffirms the building materials company's exposure to the construction upcycle.
Hong Leong Asia runs 12 batching plants across six locations in Singapore, with a total annual capacity of some 3 million m³ of ready-mix concrete (RMC).
Loh notes that the company has recently piloted the use of AI, so as to reduce manpower requirements due to improvements in scheduling and dispatch to enhance plant utilisation.
