Hong Leong Asia expects to benefit from ramp-up in HDB building activity in H2

HONG Leong Asia saw a decline in revenue from its building materials segment in Singapore for the first half of this year. But the industrial conglomerate believes it will benefit from a ramp-up in public housing building activity in H2.

Revenue for building materials recognised in Singapore declined 4.4 per cent year on year (yoy) to S$195.3 million for the six months ended June, as the company’s prefabrication business was affected by “slow project offtake” in the industry.

At an earnings briefing on Wednesday (Aug 14), chief executive Stephen Ho said that because of the increase in Housing and Development Board launches in the last two years, external consultants engaged by HDB have not been able to submit the drawings for flats on time.