Thanks to robust performance in most segments.
Sky-high expansion and acquisitions costs did little to faze ISOTeam in the first half of FY16 as it posted a 4.7% YoY climb to $4.3m in attributable net profit.
According to the company’s announcement, ISOTeam’s net profit also saw an 11.6% YoY jump to $4.3m. This is thanks to strong performances in its addition and alteration (A&A), coating and painting (C&P), and other segments bolstering revenue growth by 14.7% to $44.7m. Repairs and redecoration (R&R), however, partially offset the revenue hike as it crashed 53.7% to $24m.
Meanwhile, the company saw a whopping 120.5% jump in marketing and distribution expenses to $900,000, and a 62.9% in general and administrative expenses to $5.4m during H1.
As at the end of January 2016, the company’s orderbook reached a record high of $89.7m. This comprises $43.2m worth of new R&R, A&A, C&P, waterproofing, and interior design projects secured during the half-year, which will be progressively delivered over the next 24 months.
Looking forward, ISOTeam anticipates construction related services industry to be battered by headwinds in the coming 12 months with tight price competition and skyrocketing foreign workers’ levies. Notwithstanding this, the company expressed cautious optimism regarding clinching new projects as the local government continues to invest in older estates’ rejuvenation and renewal.
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