ISDN guides for 24% higher revenue of S$361.9m in FY2020

MAINBOARD-listed ISDN Holdings is expecting revenue of S$361.9 million for the full year ended Dec 31, 2020, approximately 24 per cent higher compared to FY2019.

The projected revenue growth comes as company management accounts showed that the group experienced strong growth momentum during the financial year, said the engineering solutions provider in a filing on Monday.

As such, ISDN expects to record more than 80 per cent growth in profit for FY2020 after offsetting allowances for impairment, which the group attributes to its "prudent approach to the pandemic risk environment".

ISDN's latest update is further to its positive profit alert posted last Friday, through which the group said it expected a FY2020 net profit increase of over 80 per cent from a year ago.

In its Feb 19 filing, the group said the anticipated growth in net profit would be driven by continued strong demand from the core industrial automation business, as well as growth in construction revenue from the energy business as it made further commercial progress on its mini-hydropower plants.

Last year, ISDN reported its FY2019 results on Feb 28, 2020.

Based on this, the group could report its FY2020 results this Friday, according to CGS-CIMB in a Feb 5 company note on ISDN. As at 3.31pm, shares of ISDN were trading 3.5 Singapore cents, or 5.3 per cent, lower at 63 cents.