Growing to Become the Region's Leading
Total Page:16
File Type:pdf, Size:1020Kb
GROWING TO BECOME THE REGion’s LeadinG GROUNDWORK SPECIALIST Annual Report 2011 CSC Holdings Limited Contents 1 Corporate Profile 2 Scope of Services 6 Our Presence in The South East Asia Region 7 Our Projects in Singapore 8 Corporate Milestones 10 Chairman’s Message 13 CEO’s Message 18 Board of Directors 20 Key Management 24 Five Years Financial Summary 25 Financial Highlights 26 Corporate Structure 28 Corporate Information 29 Financial Contents Annual Report 2011 1 Corporate Profile CSC Holdings Limited Group of companies (“the Group”) is Singapore’s largest foundation and geotechnical engineering specialist and region’s leading ground engineering solutions provider for private and public sector works which include residential, commercial, industrial and infrastructure projects. Founded in 1975, it has been listed on the Main Board of the Singapore Stock Exchange since 1998. The Group operates principally as foundation and geotechnical engineering specialists and offers a full range of capabilities in this field which includes the construction and installation of large diameter bored piles, diaphragm walls, ground improvement works, driven piles, jack-in piles, micro piles, soil investigation and instrumentation services and automatic tunnel and structural monitoring survey. With a total regional workforce of over 1,800 employees, the Group currently operates in Singapore, Malaysia, Vietnam and Thailand. Backed by strong fundamentals and an experienced management team, the Group’s excellent reputation through the years has made professionalism, performance and good corporate governance a trademark of its business. Annual Report 2011 3 SCOPE OF SERVICES FOUNDATION AND GEOTECHNICAL ENGINEERING WORKS Large Diameter Bored Pile up to 2.5m diameter in size Contiguous Bored Pile / Secant Pile Barrette Piles Diaphragm Wall Construction up to 1.5 metres in size Jack-In-Piles Driven Piles Micro Piles OTHER GEOTECHNICAL ENGINEERING WORKS Sheet Piling Jet Grouting Deep Cement Mixing Soil Nails / Ground Anchors Cofferdam Construction Stone Columns Caissons 4 CSC Holdings Limited SCOPE OF SERVICES (cont’d) SOIL INVESTIGATION, INSTRUMENTATION AND SPECIALISED SURVEYING WORKS Soil Investigation Marine Soil Investigation Soil Laboratory Testing Geotechnical Instrumentation and Monitoring Pile Load Test Instrumentation Tension and Static Lateral Load Tests using the Glostrext Instrumentation Method Automated Structural and Tunnel Deformation Monitoring Survey Ground and Topographical Survey SALE AND LEASE OF FOUNDATION ENGINEERING EQUIPMENTS AND ACCESSORIES Sale and Leasing of hydraulic bored piling rigs Sale and Leasing of vibrohammers and other foundation engineering equipment Sale of parts, accessories and consumables for the foundation engineering industry Sale and leasing of pile driving rigs and hammers 6 CSC Holdings Limited OUR PRESENCE IN THE SOUTH EAST ASIA REGION Provision of Foundation Engineering Services in Thailand, Vietnam and Malaysia. Projects completed and in progress: A B C THAILAND VIETNAM MALAYSIA • Shrewsbury International • Riviera Point High Rise • CIMB-Mapletree Office Tower, School Condominium in Ho Chi Minh KL Sentral City • Singapore International School • Second Penang Bridge • Regency Park Condominium in • Royal Thai Navy Hospital • MEMC solar wafer Ho Chi Minh City manufacturing plant in Kuching • Bac Hung Hai Bridge in Hanoi • Mayland Condominium in Jalan • Industrial Complex in Long An Ampang, Kuala Lumpur Province • Electrified Double Track Project between Seremban and Gemas A B C Bored Piles / Diaphragm Walls Sale and Lease of Foundation Engineering Driven Piles / Equipments & Accessories Jack-in Piles S$178.8m S$52.6m S$55.9m 54% 16% 17% S$16.2m S$10.3m 5% Soil Investigation & 3% instrumentation Works S$19.6m Others 6% Micro Piles / Others Foundation Annual Report 2011 7 Revenue Net profit after tax ($ millions) ($ millions) “ We are Established 600 568.1 50 “ 483.7 locally and we are 42.5 45.4 40 extending regionally. 450 334.1 30 26.0 300 285.1 20 150 126.7 9.3 10 7.9 0 00 FY11 FY10 FY09 FY08 FY07 FY11 FY10 FY09 FY08 FY07 Our Projects in Singapore: 2008 • Integrated Resorts at Marina Bay Sands • Fusionopolis • Marina Bay Financial Centre • Integrated Resorts at Resorts World Sentosa 2009 • Renewable Energy Corporation Manufacturing Facility • Neste Oil’s NE×BTL Renewable Diesel Plant • Residential Developments in Punggol, Yishun, Sengkang and Bukit Panjang • Farrer Park Mediplex 2010 • Exxon Mobil’s Singapore Parallel Train Project in Jurong Island (An Integrated Petrochemicals Project) • Nex @ Serangoon Central • Marina Coastal Expressway 2011 • Changi Motorsports Hub • Singapore LNG Terminal • Singapore Sports Hub • D’ Leedon Condominium • MRT Stations of Sixth Avenue Station, King Albert Park Station, Tan Kah Kee Station and Stevens Road Station 8 CSC Holdings Limited REVENUE FOR FY11 CORPORATE MILESTONES VIETNAM S$2.8 Million THAILAND S$0.4 Million MALAYsia S$28.0 Million 1975 1981 1996 Founding of Ching Soon Incorporation of CS Incorporation of CS Bored Engineering Pte Ltd. Construction & Geotechnic Pile System Pte Ltd. Pte Ltd. Incorporation of CS Geotechnic Pte Ltd. 2000 2002 2004 Incorporation of Kolette Acquisition of THL Joint Venture with Tat Hong Pte Ltd. Engineering Pte Ltd. Group’s subsidiary, Tat Hong HeavyEquipment Pte Ltd to form THL Foundation Equipment Pte Ltd. 2009 2010 2011 Acquisition of 70% equity Acquisition of 30% stake in Acquisition of 70% stake in stake in Spectest Sdn Bhd. Double Wong Foundation ICE Far East Pte Ltd. Pte Ltd. Incorporation of G-Pile Engineering Sdn Bhd. Incorporation of Siam CSC Engineering Co., Ltd. Annual Report 2011 9 1997 1998 1999 Incorporation of CSC Listing of CSC Holdings Joint venture with Santarli Holdings Limited. Limited on the main board Construction Pte Ltd to form of the Stock Exchange of Excel Precast Pte Ltd. Singapore. Incorporation of CS Industrial Land Pte Ltd. 2006 2007 2008 Incorporation of CS India Acquisition of G-Pile Sistem Incorporation of CSC Ground Pte Ltd. Sdn Bhd. Engineering Sdn Bhd, earmarked as a Joint Venture Acquisition of L&M Acquisition of Soil vehicle with IJM Construction Foundation Specialist Investigation Pte Limited. Sdn Bhd, a wholly owned Pte Ltd. subsidiary of IJM Corporation Incorporation of L&M Ground Berhad. Engineering Sdn Bhd. Acquisition of 70% equity stake in Wisescan Engineering Services Pte Ltd. Incorporation of L&M Foundation Specialist (Vietnam) Limited Company. Incorporation of L&M Foundation Specialist (Middle East) Limited Liability Company. 10 CSC Holdings Limited CHAIRMAN’S MESSAGE Dear Shareholders, Following a challenging year in FY 2010 (”FY10”), and one-tier final ordinary dividend of 0.10 Singapore given the competitive environment we operate in, we cents, which if approved by shareholders at our Annual are encouraged by our overall performance for FY General Meeting to be held on 20 July 2011, will be 2011 (“FY11”). We started the year on a strong note paid out on 2 September 2011. This is in addition to the and registered three quarters of sequential growth and interim dividend of 0.40 Singapore cents that was paid profits. However, the Group posted a loss for fourth out in December 2010. The total dividend payout for quarter arising from a provision made for the Changi the financial year would thus amount to 0.50 Singapore MotorSports Hub project. Despite all this, our team cents per ordinary share, which translates to a dividend came together to display both our deep-rooted business payout ratio of 77.2%. resilience and set the stage for future growth. YEAR IN REVIEW Overall, the higher level of business activities led to an increase in revenues of 17% in FY11 to $333.4 million, While the business environment was competitive compared to $285.1 million in the previous financial in FY11, we recognised the signs and started to put year FY10. The Group won several significant projects into place strategies that would help us maintain and during the year. Revenues were further enhanced by enhance our strong overall market position. contributions from the Group’s Westpoint Business Hub In view of the above, and in line with our longer- in Tuas and the strong showing from our equipment term strategy of diversifying geographical revenues, rental business. the Group made good progress in securing notable projects in Malaysia (second Penang Bridge and an DIVIDEND industrial project for a solar wafer manufacturing In line with our continuing practice of delivering a steady plant in Kuching), Thailand (Singapore International dividend payout for shareholders in profitable times, School, Bangkok) and Vietnam (Riviera Point high rise the Board of Directors is recommending a tax-exempt apartment, Ho Chi Minh City). Annual Report 2011 11 The Group’s strategy to grow its geographical Based on reports from the Building and Construction revenues and footprint, and to continually strengthen Authority of Singapore (BCA), it is anticipated that our technical capabilities, was further boosted with the the Singapore government will continue on its path recent initiatives undertaken. These initiatives include to upgrade the city’s infrastructure and, in particular, incorporating a 49% joint venture company in Thailand, civil engineering works and the MRT system. The Siam CSC Engineering Co. Ltd. (“SCE”), acquiring a Malaysian government too has plans for long-term 30% equity stake in Double Wong Foundation Pte Ltd economic growth and has also announced that it (“Double Wong”) as well as acquiring a 70% equity