Huationg Global Limited reported a net profit attributable to shareholders of S$7.74 million for the six months ended Jun 30, 2026, down 10.8 % year-on-year, as higher material and fuel costs compressed margins despite a sharp rise in construction activity.

The Catalist-listed civil engineering and logistics group lifted first-half revenue 64.0 % to S$197.80 million, translating into basic earnings per share of 4.25 Singapore cents (HY2025: 4.90 cents). The board declared a tax-exempt one-tier interim dividend of 0.6 Singapore cent per share, up from 0.5 cent a year earlier, payable on 16 Sep 2026 with a book-closure date of 3 Sep 2026.

Segmentally, civil engineering remained the main growth engine, with revenue rising 58.3 % to S$177.44 million and pre-tax earnings 17.8 % higher at S$9.23 million. Inland logistics support contributed S$7.68 million in revenue and S$0.51 million in pre-tax profit, while sales of construction materials brought in S$2.72 million and S$0.15 million respectively. The newly commenced dormitory operation generated S$9.96 million in revenue and S$0.53 million in profit before tax.

Gross profit slipped 9.4 % to S$19.14 million as civil engineering and logistics margins narrowed amid higher diesel and material costs. Administrative expenses increased 12.9 % to S$9.99 million on higher staff costs, while finance costs fell 28.7 % to S$1.11 million on lower lease-related interest.

Operating cash outflow totalled S$24.38 million, reflecting a S$54.08 million rise in net contract assets as project billings lagged work progress. Capital expenditure on plant and equipment reached S$38.72 million, mainly for land acquisition and machinery. The group closed the period with S$66.80 million in cash (31 Dec 2025: S$124.61 million) and positive net current assets of S$19.0 million.

Looking ahead, management remains “cautiously optimistic” about Singapore’s construction sector, citing a steady pipeline of public infrastructure projects. The group intends to:

• Leverage its civil engineering expertise to bid for major infrastructure and offshore contracts; • Enhance its inland logistics capabilities to support core operations; • Expand its dormitory operations to diversify income.

Huationg’s outstanding order book stands at approximately S$553 million, expected to be executed over the next four years.