Soilbuild Construction Group Ltd: 1HFY2025 Financial Results and Outlook
Soilbuild Construction Group Ltd, a leading Singapore-based builder with a strong track record in both private and public sectors, has released its 1HFY2025 financial results. The company continues to demonstrate robust business momentum, strong profitability, and a clear commitment to sustainability and operational excellence. Below is a structured analysis of the key financial metrics, performance trends, and outlook based strictly on the disclosed data.
Key Financial Metrics & Performance
| Metric |
1HFY2025 |
FY2024 |
1HFY2024 |
YoY Change |
QoQ Change |
| Revenue (S\$ million) |
272.8 |
153.9 |
120.4 |
+77.3% |
+59.9% |
| Gross Profit (S\$ million) |
43.6 |
14.8 |
7.4 |
+193.5% |
+194.6% |
| Net Profit (S\$ million) |
28.3 |
26.6 |
7.4 |
+282.9% |
+6.4% |
| Basic EPS (S\$ cents) |
17.1 |
5.0 |
5.0 |
+242.0% |
Unchanged |
| Interim Dividend (S\$ cents/share) |
2.0 |
1.0 |
0.1 |
+1900% |
+100% |
| Net Asset Value/Share (S\$ cents) |
64.8 |
50.0 |
N/A |
+29.6% |
+29.6% |
| Current Ratio |
1.26 |
1.13 |
N/A |
Improved |
+11.5% |
| Net Gearing Ratio |
0.03 |
0.54 |
N/A |
Improved |
-94.4% |
Historical Performance Trends
- Consistent Profitability: Net profit of S\$28.3 million in 1HFY2025 has already surpassed the full-year FY2024 net profit of S\$26.6 million, reflecting a sharp improvement in operational performance.
- Order Book Strength: The company maintains a robust order book of S\$1.19 billion as at 30 June 2025, providing strong revenue visibility going forward.
- Improving Balance Sheet: Total assets have increased to S\$333.7 million, with cash and cash equivalents at S\$58.4 million, and a marked reduction in net gearing ratio from 0.54 to just 0.03.
Dividends
Soilbuild continues to demonstrate its commitment to rewarding shareholders:
- 1HFY2025 Interim Dividend: 2 cents per share
- FY2024 Final Dividend: 1 cent per share
- FY2024 Special Dividend: 1 cent per share
- 1HFY2024 Interim Dividend: 0.1 cent per share
This marks a substantial increase in dividend payouts, aligning with improved profitability.
Chairman’s Statement
Full Chairman’s Statement:
“Order Book of More Than S\$1.0 Billion provides revenue visibility and the Group continue to focus on improving the quality of our growth with long-term commitments and larger scale projects. Our multi-disciplinary capabilities is also proving to be a key area of strength and differentiation. Potential for better order book visibility as the Group will continue to solicit projects from our affiliation with this established real estate group. Over 49 years of experience in the construction business with various projects securing various awards. Risks diversification via multi-category sector approach allows our Group to shift our focus according to market trends. Reflects the Group’s imperative to drive growth and profitability.”
Tone: Positive, focused on sustainable growth and risk management.
Exceptional Earnings, Expenses & Fund Flows
- Exceptional Net Profit Growth: Net profit increased by 282.9% YoY and gross profit by 193.5% YoY, which are unusually high and attributed to improved operational efficiency and cost control initiatives.
- Operational Cash Flow: Net cash from operating activities for 1HFY2025 was S\$47.1 million (vs. S\$18.6 million in 1HFY2024), reflecting strong cash generation.
- No disclosures of asset revaluation, fundraising, or divestments.
Macroeconomic Environment & Outlook
- Sector Demand: BCA estimates construction demand in Singapore to reach S\$39–46 billion per year from 2026 to 2029, with the public sector leading.
- Sustainability: Soilbuild’s focus on green building has positioned it well for tenders, as up to 5% of evaluation points are now allocated to sustainability from FY2024 onwards for large projects.
- Order Book: S\$360 million in new projects secured since 1 Jan 2025.
Conclusion & Investment Recommendations
Overall Financial Performance: The company exhibits strong momentum, with record earnings, improved cash flow, increased dividends, and a healthy balance sheet. The positive outlook, bolstered by a large order book and macro tailwinds, further supports its robust position.
Recommendations
- If you currently hold Soilbuild Construction Group Ltd stock: Consider maintaining or increasing your position, as the fundamentals and outlook remain positive. The company’s dividend policy and strong order book provide additional confidence.
- If you do not currently hold the stock: Investors may consider initiating a position, given the company’s strong earnings growth, enhanced dividend payouts, and favorable sector dynamics. However, always monitor for potential sector volatility or execution risks.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Investors should perform their own due diligence and consider their individual circumstances before making any investment decisions.
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