Tat Hong's profits plunged 32% to $12.1m

Revenue also dropped 19% to $167.4m.

According to OCBC Investment Research, both Tat Hong’s 3QFY14 revenue and PATMI came in below its expectations.

3QFY14 revenue fell 19% YoY to S$167.4m while PATMI declined 32% to S$12.1m.

Here's more:

Revenue declined YoY across all divisions other than Tower Crane Rental, which we view as a continuing trend from previous quarters’ results. Similar to the preceding quarter, the decline in PATMI is primarily due to lower profit contribution from Australia and Indonesia.

GP margin also dropped across all divisions other than General Equipment Rental on a YoY basis. In particular, we note that Tower Crane Rental’s GP margin also dropped by 4.2ppt, which is a surprise given management’s previous guidance of cost management in that segment.