Industry News

Lincotrade & Associates Holdings Limited has reported a significant increase in its net profit for the first half of the financial year 2026, reaching S$3.9m, a substantial rise from the S$2.6m recorded for the entire financial year 2025. This impressive growth is attributed to a 58.2% surge in revenue, driven by strong performances in the commercial and residential segments, and a record order book of S$117.2m as of 31 December 2025.

The company’s gross profit nearly doubled to S$8.0m, supported by higher-margin commercial projects and effective cost management, particularly at its China subsidiary. Lincotrade’s Executive Director and CEO, Jackie Soh Loong Chow, credited the success to strategic initiatives and operational efficiencies, stating, “Our strategic initiatives over the past few years have gained strong momentum, yielding tangible results in our financial performance.”

In recognition of its robust financial performance, Lincotrade has announced an interim dividend of 0.88 Singapore cents per share, surpassing the final dividend of 0.66 Singapore cents per share for FY2025. This interim dividend represents a payout of approximately 41% of the net profit attributable to owners, exceeding the company’s dividend policy of at least 20%.

Looking ahead, Lincotrade aims to leverage its momentum to strengthen its order book and enhance operational capabilities, with a focus on data centre projects. The company has also expanded its operations with new subsidiaries in Singapore, Malaysia, and China, positioning itself for further growth in the region.

Avi-Tech Holdings Limited has announced a net loss of $1m for the first half of 2026, as revenue fell to $8.7m due to challenging market conditions. The Singapore-based company, which provides services to the semiconductor and electronics sectors, cited softer demand and higher costs as key factors impacting its financial performance.

The company’s CEO, Lim Eng Hong, highlighted the difficulties faced by the Engineering segment, which saw revenue drop to $2.6m from $3.2m in the same period last year. This decline was attributed to project deferments and reduced demand, particularly in the automotive and industrial sectors, which have been affected by an inventory glut.

Despite these challenges, Avi-Tech maintained a strong liquidity position with a cash balance of $37.5m. The company is focusing on strategic diversification, expanding into advanced load boards and Internet of Things (IoT) solutions to enhance resilience. Lim noted that whilst near-term revenue growth is expected to remain subdued, there are signs of inventory levels normalising.

Looking ahead, Avi-Tech is cautious about the global operating environment, citing geopolitical tensions and trade restrictions as ongoing concerns. However, the company is positioning itself to seize opportunities as market conditions stabilise, with plans to venture into the high-growth segment of Automated Test Equipment Load Boards and advance its IoT capabilities through a proposed merger and acquisition with Create Technologies.

The Board has decided not to declare an interim dividend, prioritising financial strength and strategic investments to support long-term growth.

Lum Chang Creations has received in-principle approval from the Singapore Exchange for its proposed transfer from the Catalist to the Mainboard. This move follows a period of exceptional financial performance, highlighted by a 104% surge in net profit for the first half of 2026 and its recent inclusion in the MSCI Global Micro Cap Indexes. The transfer is expected to enhance the company’s corporate profile, increase visibility among institutional investors, and broaden its shareholder base.

The company’s Managing Director, Lim Thiam Hooi, expressed pride in achieving this milestone in under a year from their initial public offering (IPO). He stated, “To be on track to achieve this milestone in under a year from our IPO is a remarkable testament to our robust business fundamentals, the dedication of our team, and the strong support from our stakeholders.”

The approval also comes with a waiver from the Singapore Exchange, facilitating the transition to the Mainboard. Lim added that the Mainboard listing would provide a stronger platform for Lum Chang Creations’ next phase of growth, both in Singapore and regionally.

This strategic move underscores the company’s readiness for expansion and its commitment to leveraging its recent financial successes to further its growth ambitions. As Lum Chang Creations prepares for this transition, it aims to capitalise on the increased exposure and opportunities that come with a Mainboard listing.

ASL Marine Holdings Ltd., a prominent marine services group, has announced a net profit of S$17.1m for the first half of FY2026, exceeding the full-year net profit of S$14.7m for FY2025. The company’s ship repairs segment led the revenue growth, increasing by 9.7% to S$93.3m. This growth, coupled with a higher gross margin of 19.3%, resulted in a 24.4% rise in gross profit to S$35.1m.

The company has also made significant strides in reducing its finance costs by 72.8% to S$4.0m, thanks to ongoing deleveraging initiatives. ASL Marine’s Managing Director, Ang Kok Tian, highlighted the strength of their recalibrated service-centric business model, particularly in the ship repairs segment. “We are encouraged by the result of our first-half net profit that has already surpassed last year’s full-year figure,” he stated.

ASL Marine’s balance sheet has strengthened, with cash and cash equivalents more than doubling to S$48.0m. The company maintains a healthy cash flow from operating activities, generating S$31.7m in H1 FY2026. The group’s outstanding shipbuilding order book stands at approximately S$49m, with ship chartering revenue order book at S$107m.

Looking ahead, ASL Marine remains optimistic about growth prospects, buoyed by the resilient marine industry and Singapore’s S$100b coastal protection initiatives. The company has declared an interim dividend of 0.13 SG cents per share, reflecting its commitment to rewarding shareholders amidst improved performance.

JCB International Co Ltd, the international operations arm of Japan’s sole international payment brand, JCB Co Ltd, has announced its sponsorship of the NHK Symphony Orchestra Singapore Concert 2026. Scheduled for 29 April 2026 at the Esplanade Concert Hall in Singapore, the event celebrates the 60th anniversary of diplomatic ties between Japan and Singapore. This marks the orchestra’s first performance in Singapore in 24 years.

The concert will feature works by renowned Japanese composer Yuzo Toyama and Benjamin Britten’s “Four Sea Interludes” from “Peter Grimes.” The programme, inspired by the theme of the sea that connects Japan and Singapore, promises a diverse and engaging musical experience. Takumi Takahashi, Executive Vice President of JCB International Co Ltd, expressed delight in supporting the event, stating, “This year marks the 60th anniversary of the establishment of diplomatic relations between Japan and Singapore, and the concert we are sponsoring is a special event commemorating this milestone.”

JCB, a major global payment brand, has been expanding its network since launching its card business in Japan in 1961. With an acceptance network covering approximately 71 million merchants worldwide, JCB cards are primarily issued in Asian countries and territories, boasting over 175 million cardmembers. The company aims to enhance the SJ60 celebration through this sponsorship and other initiatives.

The concert is organised by the NHK Symphony Orchestra and will take place at the Esplanade – Theatres on the Bay Concert Hall in Singapore. For more information, visit the Esplanade’s official website.

Beng Kuang Group has reported a resilient financial performance for the fiscal year ending 31 December 2025, maintaining profitability despite facing revenue delays and foreign exchange losses. The company announced a proposed cash dividend of 0.6 SG cents per ordinary share, representing 23.5% of the net profit attributable to shareholders.

The group’s asset-light, service-oriented business model enabled it to sustain a gross profit margin of 37.1%, despite a 12.3% decline in revenue to S$98.16m. This decline was primarily due to timing delays in offshore asset integrity projects within the Infrastructure Engineering (IE) division. However, the underlying work scope remains intact and is expected to be recognised in future project milestones.

Beng Kuang’s strong cash generation was evident with an operating cash flow of S$26.55m, bolstered by disciplined working capital management. Total equity increased by 26.9% to S$36.14m, with cash and cash equivalents rising to S$37.38m, following the full redemption of corporate bonds.

Chief Executive Officer Yong Jiunn Run commented on the results, stating, “Our continued focus on high-value, mission-critical services reinforces the strategic relevance of our capabilities across market cycles.”

Looking forward, the group aims to leverage its BKM 2.0 strategy to target high-growth segments in the global energy market, enhancing its resilience and value. Despite the challenges, Beng Kuang remains committed to expanding its core capabilities in areas such as deck equipment, shipbuilding, and specialised industrial chemical cleaning.

The establishment of an AI Park in one-north is expected to attract AI talent, potentially increasing rental demand for housing in the area, according to Huttons Asia. The upcoming Government Land Sales (GLS) tender in Dover Drive is anticipated to draw more interest from developers, reflecting the area’s growing appeal.

The initiative to enhance AI adoption amongst companies is likely to result in a rise in the number of firms and start-ups offering AI services. This could lead to increased demand for high-specification industrial spaces and business parks, potentially driving up rents in the future.

However, whilst the demand for data centres may grow, Singapore faces constraints in land and power availability. As a result, neighbouring regions such as Johor and Batam are expected to benefit from this demand.

Singapore’s 2026 budget, announced by Prime Minister Lawrence Wong on 12 February, introduces significant measures aimed at bolstering the nation’s banking, real estate, retail, and telecommunications sectors. The budget includes a 40% corporate tax rebate, capped at S$30,000 for the year of assessment 2026, which is expected to enhance the safe-haven appeal of Singapore banks, according to Rena Kwok, Bloomberg Intelligence Senior Credit Analyst. This move is anticipated to help local businesses manage cost pressures and boost competitiveness.

The budget also outlines a S$37b investment under the Research, Innovation and Enterprise plan, targeting growth in sectors such as aerospace, manufacturing, and biomedical sciences. Ken Foong, Bloomberg Intelligence Real Estate Analyst, notes that this investment will likely increase demand for industrial and office spaces, benefiting landlords like CapitaLand Ascendas and ESR-REIT.

In the banking sector, measures to support households and small businesses are expected to improve asset quality and stimulate loan demand, as highlighted by Sarah Jane Mahmud, Bloomberg Intelligence Senior South and Southeast Asia Banking Analyst. The budget’s S$1.5b allocation to revive equity markets could further enhance bank fee income.

Retail sales are set to receive a boost from budget handouts, including S$500 per Singaporean household and additional cash payments for eligible citizens. These initiatives are likely to increase turnover rents for retail mall landlords, according to Ken Foong.

Furthermore, Singapore’s focus on connectivity within its national AI mission is expected to create 5G monetisation opportunities for telcos like Singtel and StarHub. Chris Muckensturm, Bloomberg Intelligence Industry Analyst, notes that AI tax breaks and streamlined regulations will accelerate digitalisation efforts among SMEs, benefiting telcos’ high-margin ICT and managed-services revenues.

Tower Capital Asia has announced a strategic majority investment in V-Key, a leading provider of digital identity and mobile application protection and security solutions in the Asia-Pacific region. This investment underscores Tower Capital Asia’s confidence in V-Key’s technological leadership and product capabilities, particularly as secure digital experiences become increasingly vital in financial services and the broader digital economy.

V-Key’s platform, which supports over 300 applications across 15 countries, is designed to help banks, fintechs, and enterprises securely onboard users, authenticate access, and protect mobile applications and transactions. The platform’s software-based security architecture allows for efficient deployment and scalability, crucial for institutions expanding their digital services.

Danny Koh, founder and CEO of Tower Capital Asia, highlighted the importance of secure digital identity for financial institutions and digital platforms. “V-Key has built a robust platform that enables organisations to manage identity authentication and mobile app security at scale,” he said. Eddie Chau, co-founder and chairman of V-Key, expressed enthusiasm for the partnership, noting Tower Capital Asia’s long-term partnership mindset and regional network.

Joseph Gan, co-founder and CEO of V-Key, emphasised the focus on strengthening digital identity and mobile application security capabilities. The partnership aims to accelerate product innovation, strengthen V-Key’s regional presence, and deepen relationships with financial institutions and digital platforms.

Tower Capital Asia, established in 2016, manages over $900m in investments and commitments. The firm is committed to supporting V-Key’s growth and strategic initiatives, with a focus on long-term value creation in the digital security sector.

Singapore’s Budget 2026, announced today, focuses on fostering innovation and internationalisation amidst global uncertainties. The government has maintained corporate and personal tax rates, leveraging a robust fiscal position to sustain long-term stability. Deloitte Singapore experts highlighted the strategic emphasis on AI and digitalisation, with substantial tax incentives to encourage businesses to adopt AI-driven solutions and expand internationally.

The Double Tax Deduction for Internationalisation (DTDi) scheme has been enhanced, increasing the tax deduction cap from S$150,000 to S$400,000, allowing more qualifying activities to be eligible for automatic claims. This move aims to simplify processes for businesses and encourage overseas expansion. Larry Low from Deloitte Singapore noted, “The increased tax deduction cap should encourage more companies to expand overseas.”

Additionally, the Enterprise Innovation Scheme (EIS) now includes AI-related expenditures as qualifying activities, offering up to 400% tax deductions. This expansion is designed to lower the cost of AI adoption for both large enterprises and SMEs. Yvaine Gan of Deloitte Singapore stated, “AI adoption is no longer optional – it is a strategic necessity.”

The Budget also extends the Global Trader Programme for another five years, maintaining competitive tax incentive rates. However, Deloitte’s Lee Tiong Heng cautioned that more could be done to ensure Singapore remains attractive to global trading companies.

Overall, Budget 2026 positions Singapore as a forward-thinking hub, ready to tackle global challenges through innovation and strategic international partnerships.