Boustead Singapore's 2Q profit plunged 26% to $7.6m

H1 net profit was also down 12%.

Mainboard-listed Boustead Singapore Limited (Boustead), a progressive global infrastructure-related engineering services and geo-spatial technology group, announced its unaudited financial results for the second quarter and first half ended 30 September 2016 (2Q FY2017 and 1H FY2017 respectively).

For 2Q FY2017, the Group registered revenue of S$113.5m, total profit of S$11.9m and net profit of S$7.6m.

Quarterly revenue, total profit and net profit were 1%, 13% and 26% lower year-on-year respectively.

After adjusting for other gains and losses net of non-controlling interests, quarterly net profit would be 32% lower year-on-year.

For 1H FY2017, the Group registered revenue of S$227.2m, total profit of S$22.4m and net profit of S$14.6m. Half-year revenue, total profit and net profit were 2%, 1% and 12% lower year-on-year respectively.

After adjusting for other gains and losses net of non-controlling interests, half-year net profit would be 30% lower year-on-year.

Most of the Group’s weaker performance in both 2Q FY2017 and 1H FY2017 is attributable to the depressed state of the global oil & gas industries, which significantly impacted the results of the Energy-Related Engineering Division.

The greater percentage decrease in net profit versus total profit in both 2Q FY2017 and 1H FY2017 is due to non-controlling interests at Boustead Projects Limited, which contributed proportionally more of the Group’s total profit in 2Q FY2017 and 1H FY2017 as compared to the corresponding periods of FY2016.