Greetings, fellow investors and market watchers! Today, we’re diving deep into the latest financial performance of HO HUP CONSTRUCTION COMPANY BERHAD, as revealed in their quarterly report for the financial period ended 31 March 2025. This report provides a crucial snapshot of the company’s journey through a period of strategic restructuring and significant financial adjustments.
Ho Hup, a diversified group with interests in construction, property development, and building materials, is clearly navigating a complex landscape. While the report highlights ongoing losses, it also underscores the group’s concerted efforts to strengthen its financial foundation through debt reduction and asset optimization. Let’s break down the key figures and strategic moves that define this quarter.
Core Data Highlights: A Closer Look at the Numbers
Understanding Ho Hup’s performance requires looking at both the immediate quarter and the longer fifteen-month period due to a change in their financial year end. The Group’s financial year end has been changed from 31 December 2024 to 30 June 2025. As such, direct comparative financial information for preceding year corresponding periods is not available. We will focus on the quarter-on-quarter performance against the immediate preceding quarter (31 December 2024) where relevant, and the overall fifteen-month performance.
Fifth Quarter Ended 31 March 2025 (Q5 2024) vs. Immediate Preceding Quarter (Q4 2024)
The latest quarter shows a mixed bag of results when compared to the immediate preceding quarter:
Q5 2024 (31 Mar 2025)
- Revenue: RM2,293,000
- Loss Before Tax: RM(23,762,000)
- Loss for the Financial Period: RM(29,135,000)
- Basic Loss Per Share: (5.25) sen
Q4 2024 (31 Dec 2024)
- Revenue: RM52,396,000
- Loss Before Tax: RM(169,890,000)
- Loss for the Financial Period: Not directly comparable in report
- Basic Loss Per Share: Not directly comparable in report
Revenue: The Group’s revenue for the current quarter saw a substantial decrease, falling from RM52.4 million in Q4 2024 to RM2.3 million in Q5 2024. This significant 95.6% drop is primarily attributed to the ongoing Group restructuring exercises and a decline in sales across its property development and construction divisions. The report notes that construction revenue was impacted by the reversal of inter-segment revenue related to the KK project, while the property development division recognized no revenue due to lack of sales and construction progress on the KK project, following a restraining order on Golden Wave Sdn Bhd, an indirect subsidiary.
Loss Before Tax: Despite the sharp decline in revenue, there’s a notable improvement in the loss before tax. The loss significantly reduced from RM169.9 million in Q4 2024 to
