Lum Chang Holdings Ltd posted a net profit of S$10.61 million for the six months ended 31 Dec 2025 (1H2026), up 122 per cent year-on-year, as healthier margins and a sharp pickup in its restoration and interior fit-out arm offset lower top-line contributions from core construction work.

Basic earnings per share climbed to 1.94 Singapore cents from 0.93 cents a year earlier, mirroring the profit surge. The board declared an interim ordinary dividend of 0.5 cent and a one-off special dividend of 1.5 cents per share, both tax-exempt and payable on 16 Mar 2026 to shareholders on record as at 6 Mar 2026. The aggregate interim payout of 2.0 cents matches that of the previous year.

Group revenue eased 8 per cent to S$220.55 million, dragged by a 19 per cent contraction in the Construction segment to S$154.37 million after several projects neared completion. This was partly cushioned by a 38 per cent jump in Restoration & Interior fit-out revenue to S$51.58 million, underpinned by higher activity from ongoing conservation and new fit-out contracts. Property development and investment revenue rose 53 per cent to S$14.10 million, reflecting stronger sales from the affordable-housing phase of its Malaysian project.

By segment, pre-tax earnings were as follows: • Restoration & Interior Fit-out: S$13.82 million (1H2025: S$6.70 million) • Construction: S$1.80 million (1H2025: –S$0.19 million) • Property Development & Investment: S$0.48 million (1H2025: S$1.77 million) • Investment Holding & Others: –S$2.61 million (1H2025: –S$1.69 million)

Gross profit expanded 53 per cent to S$29.65 million, lifting the margin to 13.4 per cent from 8.1 per cent a year ago as project mix improved and cost controls took hold. Finance expenses fell 38 per cent to S$0.68 million amid lower interest rates, while administrative and general costs rose 28 per cent to S$16.73 million following higher staff costs and professional fees linked to the July 2025 listing of subsidiary Lum Chang Creations, which raised S$8.3 million.

Headwinds persisted in associated companies, which swung to a modest S$14,000 loss from a S$1.49 million profit a year earlier, mainly due to the absence of prior-year write-backs. Joint-venture losses narrowed significantly to S$78,000 from S$1.81 million after the group stopped recognising further losses from the Singapore integrated development Tekka Place.

On the balance-sheet front, cash and cash equivalents rose to S$88.9 million from S$80.1 million at end-June, aided by S$8.9 million in operating inflows. Net borrowings increased to S$45.8 million from S$40.0 million, reflecting short-term funding for property development and working capital. The order book for construction and fit-out projects stood at S$981 million as at 31 Dec 2025 following S$63.4 million of new wins during the half.

Looking ahead, management said it expects Singapore’s construction demand to stay resilient at S$47 billion to S$53 billion in 2026, underpinned by public infrastructure such as Changi Airport Terminal 5 and hospital projects. Even so, the group foresees sustained pressures from higher costs and tighter labour conditions, and will maintain a focus on disciplined cost control, timely delivery and selective bidding to defend margins.