KSH Holdings’ net profit plunged 44.6% in Q2

Blame it on the weak property development segment.

KSH Holdings reported a profit after tax of $6.8m for Q2, down 44.6 year-on-year due to lower contributions from both its construction and property development segments.

KSH’s bottomline was also impacted by a weaker share of profits from associates given lower progress recognition at JV development projects.

According to OCBC, this set of results is mostly in line with expectations and 1HFY15 PATMI now makes up 47% of its full year forecast.

“The group continues to enjoy a strong balance sheet with S$81.3m in cash with a low gearing of 15.4% and has recently completed the acquisition of Prudential Tower with a consortium. We understand that management continues to be on the lookout for acquisition opportunities within its core business segments,” noted OCBC.