Page 17 - ar2012

Group Performance
For the fnancial year ended 30 June 2012 (“FY2012”),
the Group recorded revenue of S$37.4 million, an
improvement of S$4.0 million or 11.8% year-on-year
(“y-o-y”) as compared to S$33.4 million in FY2011. The
marine segment, which remained as the Group’s biggest
revenue contributor, grew by S$2.8 million or 11.0% to
S$27.9 million in FY2012, which accounted for about
74.7% of the Group’s revenue in FY2012. Singapore
received a total of 2.1 billion gross tons of vessel arrivals
at its ports in 2011, the highest since 2004 . With more
vessels calling at Singapore’s ports, the Group thus
experienced an increase in demand for its rigging and
mooring equipment, thereby driving up the revenue
contribution from the marine segment.
In FY2012, the offshore oil & gas segment surged by
S$1.1 million or 72.3% y-o-y to S$2.7 million. This
strong performance was attributed to the consolidation
of results from the Group’s newly acquired subsidiary,
TEHO Engineering, from May 2012 onwards. Meanwhile,
revenue contribution from the others segment edged up
marginally from S$6.7 million in FY2011 to S$6.8 million
in FY2012.
Geographically, the Group registered broad based
improvement across its three markets. Sales from
Singapore increased 8.2% y-o-y to S$29.4 million in
FY2012, while revenue from Rest of Asia advanced 20.6%
y-o-y to S$5.5 million. Revenue from Rest of the World
soared by 46.6% to S$2.5 million. Sales to the marine
and offshore oil & gas segments contributed mainly to
the increase in Singapore for FY2012. Marine segments
were also the major contributors in the other geographical
markets.
In line with the increase in sales volume, the Group
posted higher gross proft of S$11.1 million, a growth
of S$1.9 million or 20.1% y-o-y over FY2011. Overall
gross proft margin climbed from 27.7% in FY2011 to
29.8% in FY2012, primarily due to weakening USD/SGD
exchange rates that was in favour of the Group. With the
consolidation of TEHO Engineering’s 2 months results,
gross proft margin for the offshore oil & gas segment
jumped by 8.2 percentage points in FY2012. The marine
segment registered an increase of 1.4 percentage points
while gross proft margin for the others segment went up
by 3.6 percentage points.
Other items of income increased by S$0.2 million, or
210.1% y-o-y to S$0.3 million in FY2012, largely due
to gains recognized from the disposal of plant and
equipment.
Business Review
TEHO INTERNATIONAL INC LTD Annual Report 2012 15