T T J’s 1HFY2021 - Quite bad if you ask me.... got orderbook, but clients receiving products are all delayed, slow drag to recovery indeed.....
(S$m) 1HFY2021 1HFY2020 Chg (%)
Revenue 23.1 42.4 (45)
Gross profit 2.0 6.2 (68)
Gross profit margin (%) 8.6 14.5 (5.9) points
Profit before tax 2.5 2.2 13
Net profit attributable to shareholders 1.6 1.4 19
Earnings per share (cts) 0.46 0.39 18
Gross profit margin dipped from 14.5% in 1HFY2020 to 8.6% in 1HFY2021, as the Group’s
projects executed in 1HFY2020 generated higher gross margins.
Said T T J’s Chairman and Managing Director, Mr Teo Hock Chwee (张福水): “T T J is on a
gradual recovery track following the restarting of all our local construction projects. This is
bolstered by an expected recovery in construction demand and cautious optimism around a
global recovery from the pandemic and its related macroeconomic effects, contingent on the
successful implementation of the COVID-19 vaccination plans.
Nevertheless, we will continue to be vigilant about potential headwinds ahead in the form of a resurgence of the
COVID-19 infection, economic risks and increasing competition in our industry. Meanwhile,
with a healthy order book and a strong cash position,
the Group remains focussed delivering high quality work and on keeping up a steady and sustainable recovery momentum.”
According to the Building and Construction Authority (“BCA”), total construction demand in
Singapore is projected to recover to between S$23 billion and S$28 billion in 20211 with the
public sector contributing about 65% of total demand.
Stronger demand is anticipated for public housing and infrastructure projects such as the Jurong Region MRT Line, the Cross Island MRT Line Phase 1 and the Deep Tunnel Sewerage System Phase 2. Private sector
construction demand, projected to range between S$8 billion and S$10 billion, will be
supported by projects such as the redevelopment of en-bloc sale sites, retrofitting of
commercial developments and construction of high-specification industrial buildings.
Construction demand in the medium term, between 2022 and 2025, is projected to reach
between S$25 billion to S$32 billion, similarly led by public sector demand.
As of 5 March 2021, the Group’s order book remains healthy at S$148 million which is
expected to be substantially completed between FY2021 and FY2022.
The Group continues to receive a mix of project enquiries from the public and private sectors.
Press Release 1HFY2021.ashx (sgx.com)