Beng Soon Machinery Holdings Limited (Beng Soon Machinery, 01987) reported its audited results for the year ended 31 December 2025 (FY2025).
Revenue and Profitability • Revenue grew 10.9% year on year to S$37.15 million, driven by a higher volume of demolition projects and increased proceeds from earth-depositing services. • Gross profit rose 7.0% to S$11.38 million; gross margin softened to 30.6% (FY2024: 31.8%) as project-related costs outpaced topline growth. • Profit from operations edged up 12.1% to S$1.21 million, but higher tax charges and finance costs limited bottom-line growth. • Net profit attributable to shareholders declined 27.7% to S$0.25 million, translating into unchanged basic EPS of S$0.03 cent.
Cost Structure • Cost of sales and services rendered increased 12.8% to S$25.77 million, reflecting expanded project scope and higher direct labour and subcontracting expenses. • Administrative expenses rose 3.1% to S$10.13 million, mainly on higher staff and depreciation costs. • Finance costs were stable at S$0.32 million.
Balance Sheet and Liquidity • Cash and cash equivalents stood at S$14.25 million (31 Dec 2024: S$14.06 million). • Net current assets totalled S$25.82 million, down 1.9% from the previous year, with current lease liabilities increasing to S$2.64 million (2024: S$1.66 million). • Total equity edged up to S$40.61 million, while lease liabilities lifted the gearing ratio to 29.2% (2024: 27.9%). • No significant contingent liabilities, capital commitments, or borrowings were reported.
Dividend • The Board did not declare a final dividend for FY2025 but recommended a one-off special dividend of HK$0.015 (approximately S$0.0025) per share, subject to shareholder approval at the May 2026 AGM.
Operations and Outlook • Beng Soon Machinery secured 27 new demolition contracts and completed 20 projects during FY2025; the remaining backlog is expected to contribute about S$10.20 million in future revenue. • Management cited sustained public- and private-sector redevelopment activity in Singapore, with the Building and Construction Authority forecasting 2026 construction demand of S$47–53 billion. • The Group will continue focusing on operational efficiency, cost control, and selective project bidding to maintain profitability amid competitive conditions.
Other Highlights • All net proceeds of HK$77.50 million from the 2019 listing have been fully utilised, chiefly for expanding the machinery fleet. • No material acquisitions, disposals, or post-year-end events were reported. • The company remains compliant with Hong Kong’s Corporate Governance Code, with the exception of the combined Chairman/CEO role.
The annual report will be available on the company’s and the Hong Kong Stock Exchange’s websites in due course.
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