Boustead Singapore Q1 net profit down 61%

SINGAPORE - Engineering services group Boustead Singapore reported a 61 per cent year-on-year drop in net profit to SS$6.3 million for the first quarter ended June 30, due to higher financing costs.

Revenue fell 8 per cent to S$116.7 million, owing to lower revenue in the energy-related engineering as the geo-spatial technology segments.

The energy-related engineering division delivered a revenue of S$34.5 million, a 17 per cent decline due to the weak business environment in the global oil and gas industries.

The geo-spatial technology business saw revenue decrease by 11 per cent to S$25.5 million, largely hurt by currency headwinds, especially the weaker Aussie dollar.

Earnings per share was 1.2 cents, down from 3.1 cents in the same period last year. Net asset value per share was 57.8 cents as at June 30, down from 73 cents as at March 31.

The counter fell nine cents or 8.26 per cent to S$1 on Wednesday.