CSE Global net profit up 23.1% to S$7m in Q1

CSE Global has posted a net profit of S$7.1 million in the first quarter, up 23.1 per cent from the same period a year earlier, on higher takings from the Americas and the Asia-Pacific regions.

Revenue in the three months ended March 31 was S$131.8 million, up 56 per cent from the same period a year earlier, on the back of strong-flow revenues and contributions from new acquisitions, it said on Tuesday.

Order intake in the first quarter surged 46.6 per cent yea on year to S$127.2 million, driven by new orders from greenfield and
brownfield projects, and supported by stable-flow orders, it said.  The group finished the first quarter with a robust order book of S$302.7 million.

CSE Global, a process-control and communications-network system integrator, generated a cash inflow from operations of S$17.3 million in the first quarter and lowered its net debt position to S$32.7 million as at end of March 2020, compared to S$44.5 million in the preceding quarter, it said.

Group managing director Lim Boon Kheng said in an interim business update on Tuesday: "We are pleased to report a commendable set of results on the back of the growth in our key markets. However, the current market environment still presents numerous uncertainties going forward: the Covid-19 pandemic, low oil and gas prices and a weak global economic outlook. Though CSE expects to be negatively impacted from these uncertainties in the coming months, the magnitude of the impact on CSE cannot be accurately determined at this point of time."

CSE Global shares rose 2.5 Singapore cents or 5.56 per cent on Tuesday to close at S$0.475 ahead of the results announcement.

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