OKP Holdings H1 revenue at S$113.8 million, profit at S$27.3 million on stronger construction and maintenance margins

SGX Filings
Aug 11

OKP Holdings Limited posted a net profit of S$27.3 million for the six months ended Jun 30, up 43.8 % year-on-year, as higher-margin construction and maintenance projects lifted earnings despite weaker rental income from its investment properties.

Basic earnings per share rose to 5.12 Singapore cents from 3.56 cents a year earlier. The board declared a special interim, one-tier tax-exempt dividend of 0.6 Singapore cent per share, payable on 28 Sep 2026, with books closing at 5 p.m. on 7 Sep 2026.

Group revenue increased 9.0 % to S$113.8 million. Construction remained the mainstay, contributing S$79.4 million (+9.5 % YoY), while maintenance revenue climbed 11.0 % to S$33.2 million. Rental income fell 40.9 % to S$1.1 million following vacancies at the Bennett Street property in Perth, which is undergoing upgrading.

Gross profit jumped 33.1 % to S$42.8 million, lifting the gross margin to 37.6 % from 30.8 % a year earlier. Construction gross margin widened to 43.4 % (1H25: 39.0 %) on higher-value projects, and maintenance margin improved to 24.7 % (1H25: 9.5 %) as projects moved into more profitable phases. Finance expenses eased 22.9 % to S$0.8 million after loan repayments that followed the sale of two Singapore investment properties.

Rental operations remained a drag, with segment gross profit shrinking to S$0.1 million as the Perth asset’s occupancy gap offset higher structural-improvement spending and currency gains.

During the half, OKP secured new LTA commuter-infrastructure contracts worth S$252.6 million, bringing its order book to S$727.3 million with visibility through 2031. Management is also refurbishing the Perth building to enhance long-term rental yields and continues to seek selective property-development opportunities through joint ventures.

Management said the outlook for public-sector civil-engineering works remains favourable, underpinned by Singapore’s pipeline of rail, airport and coastal-protection projects, although labour costs and supply-chain pressures persist. The group intends to focus on disciplined tendering, cost control and the adoption of digital and automation solutions to sustain margins while maintaining a prudent capital structure.

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