Hyflux Q2 profit plunges 90% on higher staff and amortisation costs

DESPITE having revenue more than double, a surge in raw materials and subcontractors' cost, and higher amortisation costs weighed down results for Hyflux for its second quarter.

Net profit plummeted 90 per cent to S$2.6 million from the previous year, the group said in a Singapore Exchange filing on Thursday evening.

For the three months ended June 30, revenue rocketed 174.3 per cent to S$260.0 million from the previous year. The rise in revenue was due mainly to contribution by the TuasOne waste-to-energy project and Qurayyat Independent Water Project in the Sultanate of Oman, it added.

The group recorded a loss of 1.58 Singapore cents in the quarter, compared with an earnings per share of 1.68 cents a year ago.

Dividend per share sank to 0.2 Singapore cent from 0.7 Singapore cent in the year-ago period.

Hyflux shares closed at 56 Singapore cents on Thursday before results announcement.