TEE International revenue dropped 32% in 1Q15

Ongoing projects registering low returns.

TEE International remains cautious with its projects and expansion plans in Singapore and the region, as business outlook stays challenging.

In 1Q15, revenue decreased by $26.5m to $42.3m as compared to $68m for 1Q14, mainly due to lower revenue recognised from on-going projects. Correspondingly cost of sales decreased by S$22.4 million to S$38.8 million as compare to S$61.2 million in 1QFY2014.

Here’s more from TEE International:

With the completion of the disposal of Interlift, administrative expenses decreased by S$0.8 million to S$4.9 million in 1QFY2015 as compared to S$5.7 million in 1QFY2014. Finance costs increased from S$0.7 million in 1QFY2014 to S$1.0 million in 1QFY2015, the increase mainly due to increase of borrowings. 

Excluding the recognition of the one-off project cost overrun of S$18.9 million, the actual results for 1QFY2015 are in line with the general prospects commentary previously disclosed in the full year results announcement is about S$440 million.

Overall, the Group expects the business environment to remain challenging, and will be selective in seeking growth opportunities in Singapore and the region. Meanwhile, the Group is focused on delivering its outstanding projects on time and within budget.