Boustead Projects has reported earnings of $7.7 million for 1HFY2023 ended Sept 30, up 30% y-o-y, as it booked higher interest income and higher earnings contributed from associates and joint ventures.
Revenue, in the same period, however, was down 34% y-o-y to $117.7 million, due to lower revenue booked from engineering and construction.
“Overall, we delivered a respectable performance for 1H FY2023, amidst the challenging and complex operating environment, where global inflation and tighter local conditions for manpower, materials and supply chain pose potential adverse risks,” says Wong Yu Wei, the company’s executive deputy chairman.
“The progressive clearing of projects secured pre-pandemic will free up resources that will enable us to take on new projects in the high value-added sectors,” he adds.
Thomas Chu, the company’s managing director, says that two of the engineering and construction projects have achieved “meaningful progression” and are seen to be completed in the current FY203. They are JTC Kranji Green and Surbana Jurong Campus.
The company, post-pandemic, is rebuilding its order backlog with new jobs including a $300 million contract from a Fortune 500 firm, bringing its total order book to $452 million.
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“With a healthier order backlog and stable financial position, Boustead Projects remains well-positioned to pursue value-creation opportunities across the region,” the company says.
Boustead Projects shares closed Nov 10 at 85 cents, up 0.6% for the day, and down 15.5% year to date.
