Mainboard-listed construction and property group Tiong Seng Holdings Ltd. has announced that revenue for the full year ended 31 December 2011 soared 64 percent year-on-year to S$414.5 million, mainly attributed to higher revenue contributions from all business segments.
The company's construction contracts segment recorded a 55 percent increase in revenue to S$350.7 million, while revenue from sales of property development has more than doubled to around S$53.8 million. This was due to sales of 443 units of Phase 1 of the City Residence project in Cangzhou and to the sale of 13 units of Tianmen Jinwan Building in Tianjin, both in China.
In Singapore, Tiong Seng boosted its order book with construction projects totalling S$784 million. This comprises the construction of the 622-unit The Luxurie residential project at Sengkang Square worth S$151 million, a proposed condo development at Bedok worth S$190 million, the 150-unit The Glyndebourne condo off Dunearn Road worth S$104 million, and the eco-town development - Waterway Terraces I and II in Punggol that's worth S$339 million.
Meanwhile, the company's higher revenue from construction contracts was attributed to work done for new and on-going projects, including The Wharf Residences, Hundred Trees, NUS Staff Housing at Kent Vale, Waterway Terraces I, The Glyndebourne, Treehouse and The Volari.
Commenting on the outlook for the construction sector, Pek Lian Guan, Chief Executive of Tiong Seng Holdings, said the landscape "is expected to remain challenging, with higher construction costs, higher material costs and foreign workers' levies, reduction in the number of foreign workers, and stiff competition from large foreign contractors."
However, he noted that the group "remains in good stead for the long haul given our investments to raise productivity and efficiency, and our ability to consistently fill our order book."
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