OKP's Q2 net profit nearly doubles but firm still assessing damages, additional costs to it from Viaduct collapse

OKP had a net construction order book of S$299 million as at 30 June 2017, with projects extending till 2019.
OKP had a net construction order book of S$299 million as at 30 June 2017, with projects extending till 2019. ST PHOTO: NG JUN SEN

SINGAPORE - Infrastructure and civil engineering firm OKP Holdings is working closely with the authorities on the on-going investigations on the collapsed of an uncompleted PIE viaduct earlier this month.

The viaduct, which was being constructed by its subsidiary, collapsed on July 14 killing one worker and injuring 10 others.

"The group will continue to provide all necessary assistance and support to ensure that the needs of the deceased's family and the other affected workers are fully taken care of," said group managing director Or Toh Wat on July 31, in announcing the firm's financial results.

"The group is currently assessing the damages and additional costs for this project," he added.

OKP Holdings' second-quarter net profit nearly doubled from a year ago to about S$5 million driven by a surge in revenue.

Turnover for the three months to June 30 was up 43.2 per cent to S$34.4 million, spurred by better performance in the construction and maintenance segments.

Maintenance posted turnover of S$11.9 million, up 227 per cent from the same quarter a year earlier. The construction division booked a 10.4 per cent rise in revenue to S$22.5 million.

Quarterly earnings per share was up sharply at 1.61 cents, from 0.81 cents a year before, while net asset value per share came in at 38.29 cents as at June 30, improving from 36.54 cents at Dec 31.

"This set of results is supported by the pipeline of projects we have secured to-date. Last month, the group clinched two contracts from JTC worth approximately S$20.5 million to carry out infrastructure works at Singapore's Admiralty Road West, North Coast Avenue, Attap Valley Road as well as Bulim in Jurong West," said Mr Or.

Net profit for the first half rose by 130.4 per cent year-on-year to S$10 million, as revenue climbed by 31.9 per cent to S$64.1 million.

OKP had a net construction order book of S$299 million as at 30 June 2017, with projects extending till 2019.

The counter closed half a cent higher at S$0.37.