Soilbuild Construction Group posted a 25.8% year-on-year rise in net profit to S$35.6 million for the six months ended Jun 30, 2026, buoyed by higher-margin work in its core Singapore construction projects and disciplined cost control.
Revenue grew 6.5% YoY to S$290.6 million, while gross profit climbed 21.0% to S$52.7 million, lifting the gross margin to 18.1% from 16.0%. The board declared an interim dividend of 1.6 Singapore cents a share, equivalent to about S$10.6 million and representing a 30% payout ratio. The prior-year interim distribution was 2.0 cents a share on a pre-share-split basis.
Construction revenue surged 24.8% YoY to S$265.5 million, driven by progress at the PSA Supply Chain Hub @ Tuas, Loyang Way, Toa Payoh HDB, Tampines North and Lok Yang projects. This outpaced a 59.3% fall in Precast & Prefabrication sales to S$24.2 million as several jobs remained in the design and planning phase. Lower finance costs, down to S$0.8 million from S$1.3 million, helped offset a rise in administrative expenses to S$9.4 million. Operating cash flow strengthened to S$56.5 million, lifting cash and cash equivalents to S$185.2 million as at end-June.
The weaker precast contribution and higher staff and professional fees partly tempered earnings, but the overall cost base remained contained. Other expenses inched up to S$3.1 million on higher depreciation and maintenance, while the group’s net debt position continued to improve, with borrowings trimmed to S$48.5 million.
Management said the order book stood at about S$800 million, comprising S$560 million in construction contracts and S$240 million in precast and prefabrication work. Since year-end, the company has added one industrial building project in Seletar West Road and three precast supply contracts worth a combined S$180 million. It is prioritising bids that underpin margin resilience, particularly high-specification industrial facilities incorporating energy-efficient and zero-emission features.
Executive director and chief executive officer Lim Han Ren said the half-year results reflected 50 years of “disciplined execution and operational excellence”, noting that Singapore’s resilient construction market and the group’s S$800 million backlog provide clear revenue visibility. He indicated that the firm will continue to pursue “quality opportunities” while preserving financial flexibility to fund future growth and maintain shareholder returns.
With total assets of S$410.4 million and equity of S$159.6 million, Soilbuild Construction believes its strengthened balance sheet positions it to capitalise on public- and private-sector demand, even as official data point to moderating but still positive construction growth in Singapore.