Restructuring for the next lap
Amid a slowdown, Tat Hong is focusing on shedding fat.
THERE is a sense of freshness inside crane supplier Tat Hong Holdings' new corporate offices in the Edward Boustead Centre along Ubi Avenue 4, which it moved into last September. Office cubicles have not yet accumulated clutter. Some tables are empty.
It is a suitable setting to speak of change. Tat Hong is in the midst of a downturn in its major Australia and Singapore markets, due to competition and the commodities slump.
Revenue in its latest third quarter ended Dec 31, 2014, fell 7 per cent to S$154.9 million. Net profit was down 63 per cent to S$4.5 million, though that was due to the lack of a one-off S$13 million gain a year ago.
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