Tuan Sing narrows H2 net loss to S$5.1 million on higher revenue, improved margins

TUAN Sing Holdings : T24 0% reported a narrowed net loss of S$5.1 million for the six months ended Dec 31, 2022, compared to a net loss of S$17.1 million the previous year.

This was mainly due to higher revenue during the second half (H2), along with better gross profit margins, Tuan Sing said in a regulatory filing on Friday (Feb 24).

Loss per share for the period, including a fair-value gain of S$1.9 million, stood at 0.4 Singapore cents per share from 1.4 Singapore cents per share previously.

Revenue for H2 2022 rose 8 per cent to S$111.3 million, up from S$103.1 million in the year-ago period, while gross profit gained 57 per cent to S$40.8 million on lower cost of sales.

The rise in revenue was driven by increased topline earnings from the group’s hospitality and real estate investments, Tuan Sing said, though it was moderated by a S$19.4 million decline from its industrial services segment in the second half, due to an absence of coal deliveries.

The board has proposed a final dividend of 0.7 Singapore cents per share, unchanged from the previous year.

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For the full year ended Dec 31, 2022, net profit fell 95 per cent to S$4.6 million, from S$83.7 million previously. Revenue for FY2022 contracted 9 per cent to S$225.3 million.

“With rising interest rates and higher construction costs putting pressure on profit margins, the group is adopting a cautiously optimistic outlook for the real estate market,” said Tuan Sing.

The counter closed 1.5 per cent or S$0.005 higher to S$0.345 on Friday, prior to the earnings announcement.