Ley Choon Group Holdings booked a net profit of S$10.0 million for the year ended 31 Mar 2026, down 31.0 per cent year-on-year, as higher construction activity was offset by a squeeze in gross margins and a jump in tax expense.

Group revenue increased 10.3 per cent to S$143.9 million, lifting basic earnings per share to 0.664 Singapore cent from 0.963 cent a year earlier. The board has proposed a final tax-exempt dividend of 0.15 Singapore cent per share, half the 0.30 cent declared for FY2025, with payment and books-closure dates to be announced.

Pipes & Roads remained the workhorse, contributing S$141.4 million, or 98 per cent, of group turnover—up 10.3 per cent YoY—thanks to stronger cable- and pipe-laying as well as airport-related works. Construction Materials revenue inched up 8.9 per cent to S$2.6 million. Pre-tax earnings from Pipes & Roads slipped 9.0 per cent to S$23.4 million, while Construction Materials delivered S$0.5 million. The “Other operations” segment widened its loss marginally to S$10.7 million, leaving group pre-tax profit at S$13.2 million, down 15.2 per cent.

Group gross profit fell 8.3 per cent to S$24.7 million, and the gross margin narrowed to 17.2 per cent from 20.7 per cent. Management cited lower contributions from projects that have reached substantial completion, a less favourable project mix and rising oil-linked material and fuel costs. Administrative expenses crept up 3.2 per cent to S$13.5 million, while finance costs expanded 38.4 per cent to S$0.5 million, reflecting higher lease-related interest. Income-tax expense nearly tripled to S$3.2 million, further compressing bottom-line performance.

Looking ahead, the company pointed to Building and Construction Authority forecasts of S$47 billion-S$53 billion in Singapore construction demand for 2026, underpinned by major infrastructure projects such as Changi Terminal 5 and the Thomson-East Coast Line Extension. Even so, management warned that geopolitical tensions and volatile oil prices could keep cost pressures elevated. The group is reviewing its domestic lease footprint and will maintain a “prudent and disciplined” stance on costs and cash flow. As at end-March, Ley Choon’s order book stood at about S$346.3 million, to be executed over the coming periods.