Lum Chang Holdings rebounds in H2 2024 with $7.4m net profit

In H2 2023, the company reported a $28.7m loss.

Lum Chang Holdings rebounded in H2 2024, reporting a net profit of $7.4m attributable to shareholders, a turnaround from the $28.7m loss in H2 2023.

The company also achieved a gross profit of $19.2m, recovering from a gross deficit of $10.4m in H2 2023.

In a bourse filing, the company attributed its recovery to "cost savings from finalisation of accounts with subcontractors and customers for completed construction projects."

Comparing full-year figures, gross profit soared by 1003% from $3.73m in FY23 to $41.12m in FY2024.

"The gross profits for FY23 were much lower due to increased construction costs arising from prolonged construction period and higher materials, labour and subcontractor costs," the company said.

In FY2024, the company also reported a 27.0% YoY higher revenue of $500.4m, fueled by improved revenue from its construction segment.

The construction segment's revenue rose by 309% to $111.4m in FY2024.
 
"The increase reflected the improvement in the level of construction activities from the various ongoing projects as well as the commencement of some new projects during the financial year under review," the company said.