Yongnam’s sixth year of record earnings

Singapore-based Yongnam Holdings announced a sixth consecutive year of record earnings. The company attributed this to stronger a contribution from higher margin ‘specialist’ civil engineering projects. This division of Yongnam has executed cut and cover projects, notably Singapore Circle Line stations.

In a statement on Wednesday the company revealed a 16.5 per cent jump in net profit to SGD 63.4M (USD 50.7M). This was despite a 0.7 per cent drop in revenue to SGD 332.7M (USD 266M).

A spokesman said, “Geographically, Singapore continued to be the group’s core contributor, accounting for SGD 284.7M (USD 227.6M) or 85.6 per cent of group revenue, down six per cent from SGD 302.6M (USD 241.9M) in the 2010 financial year.

“Revenue booked from the rest of Asia (excluding Singapore) grew from SGD 24.5M (USD 19.6M) in 2010 to SGD 44.3M (USD 35.4M) in 2011, accounting for 13.3 per cent whilst the Middle East contributed the balance SGD 3.7M (USD 2.96M) or 1.1 per cent of total revenue.”

Seow Soon Yong, Yongnam CEO added, “We are delighted to deliver another year of record performance. Our consistent outstanding performance is a clear reflection of Yongnam’s strong competitive advantage in the infrastructural and specialist construction industry.”