ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED EMBRACING CHANGE
04 Letter to Shareholders 10 Financial Highlights 12 Financial and Operations Review 18 Board of Directors 22 Key Management 23 Corporate Information 24 Corporate Governance Report 48 Directors’ Statement 53 Independent Auditors’ Report 58 Financial Statements 127 Analysis of Shareholdings 129 Notice of Annual General Meeting 133 Additional Information on Director Seeking Re-election Proxy Form CONTENTS
THRIVING THROUGH CHANGE
1 Ministry of Trade and Industry, “MTI Upgrades 2026 Growth Forecast to 2.0 to 4.0 Per Cent”, 10 February 2026. DEAR SHAREHOLDERS, We are pleased to present to you our Annual Report for the financial year ended 30 September 2025 (“FY2025”). We have registered a profit reflecting progress made across our projects. Having successfully completed those projects which were negatively impacted by the COVID-19 pandemic restrictions and its after-effects, and by continuing to focus on productivity, efficiency and innovative technologies, we are now poised for a new chapter in our Group’s growth. Furthermore, the external business environment is much brighter with Singapore’s economy expanding by 6.9% year-on-year in the fourth quarter of 2025, with a 5.0% expansion for the whole of 2025, extending the 5.3% growth in 20241. The construction sector registered a 4.6% growth in the fourth quarter, moderating from the 5.6% expansion in the previous quarter, with growth supported by an increase in both public and private sector construction works. Despite the positive outlook for the sector, we should remain cautious, due to possible risks such as renewed escalations in the tariff actions amongst the United States and her trading partners and geopolitical tensions. These will have a downstream effect on trade dynamics, inflation and investments. FINANCIAL HIGHLIGHTS The Group recorded revenue of S$182.4 million in FY2025, representing a 5.7% increase from S$172.6 million in FY2024. We achieved gross profit of S$13.3 million and a gross margin of 7.3% in FY2025. This is compared against a negative gross margin of 3.1% and gross loss of S$5.4 million in the previous financial year. The Group recorded a 50.3% increase in other income of S$13.1 million as compared to S$8.7 million in FY2024, attributed to net foreign exchange gains from the appreciation of the United States dollar against the Singapore dollar, higher proceeds from the sale of scrap steel, and increased rental income from warehouses and dormitories. The Group’s net profit after tax was S$10.2 million compared to a net loss after tax of S$3.9 million in FY2024. Our cash and cash equivalents stood at S$26.8 million against S$20.8 million in FY2024. The Group recorded a net cash inflow of S$6.0 million while net asset value per share stood at 25.6 Singapore cents as at 30 September 2025. Balancing the need to maintain sufficient working capital and financial resources for future investments while delivering sustainable returns to shareholders, the Board is not proposing any dividends for the financial year FY2025. We believe that the Group needs to build further financial resilience after having emerged from a challenging period. ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 04 LETTER TO SHAREHOLDERS
BUILDING CONSTRUCTION – A CORE OF OUR BUSINESS Our construction business performed well, with ongoing projects making significant contributions to our profits. Efficient management of the projects with high productivity have enabled us to keep within our schedules. Solitaire on Cecil, our first mixed-use commercial construction project, consists of a 20-storey office building comprising restaurants and retail shops on the first storey with two basement carparks in the heart of the Central Business District. We are pleased to report that piling works, the most technically demanding phase of the development, have been successfully completed. With the ground risks substantially mitigated, the project has transitioned into excavation and pile cap construction works, and progress has stabilised. Management remains focused on maintaining steady progress and advancing the substructure works in accordance with the revised programme. Sky Eden@Bedok, a mixed-use residential development by Frasers Property has obtained its Temporary Occupation Permit (TOP) in September 2025. The Housing and Development Board’s Tengah Plantation C5 Build-To-Order project has been progressing well with structural works and site activities generally on schedule. Key building and civil works are advancing in accordance with the construction programme. The additions and alterations work to the Grand Hyatt Singapore, which comprised among other things, major retrofitting to over 400 guest rooms were completed in July 2025. Work on the Punggol Regional Sports Centre is also nearing completion, with TOP targeted in March 2026. Our order book as at 30 September 2025 is currently valued at approximately S$203 million with our residential projects and commercial projects in the proportion of 49.8% and 50.2% respectively. ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 05 LETTER TO SHAREHOLDERS
2 Building and Construction Authority, “Steady Construction Demand in 2026 as Singapore Steps Up Support for Built Environment Firms Through Collaboration and Innovation”, 22 January 2026. 3 Urban Redevelopment Authority, “Release of 4th Quarter 2025 real estate statistics”, 23 January 2026. 4 Maldives Ministry of Tourism & Environment, “Tourism Statistics Monthly Report, December 2025.” Total construction demand is expected to range between S$47 billion and S$53 billion in 20262 on the back of robust private as well as public sector initiatives such as Changi Airport Terminal 5, a strong pipeline of public housing developments, MRT projects like the Cross Island Line (Phase 3) and the Downtown Line Extension to Sungei Kadut, Tuas Port development, and major road and drainage improvement works. With many of the public sector projects ongoing for the foreseeable future and more in the pipeline, particularly health, educational and community facilities, total construction demand in the medium term is expected to be between S$39 billion and S$46 billion per year from 2027 to 2030. Given our track record in both the public and private sectors, we will vie for high value-added projects which offer an attractive return on investment. PROPERTY DEVELOPMENT AND INVESTMENT – SEEKING NEW OPPORTUNITIES The Group continues to monitor developments in the property sector. It remains an attractive investment class, particularly in land-scarce Singapore, with its stable political scene, businessfriendly environment and clear legal framework. While the property market is showing signs of slowing down as compared to previous years, it is still performing well. Private housing pricing increased by 0.6% in the fourth quarter of 2025 compared with the 0.9% increase in the previous quarter. For the whole of 2025, the price index rose moderately by 3.3%, the smallest rise in a year since 20203. While we do not have immediate plans for land acquisition for development, given the positive outlook, we remain ready to take advantage of attractive opportunities should they arise. HOTEL DEVELOPMENT AND INVESTMENT – ROBUST TOURISM REVIVAL The Maldives continues to draw tourists, recording 2.2 million tourist arrivals for the whole of 2025, which is a 9.8% increase over the same period last year4. The Group’s two hotel investments, Mercure Maldives Kooddoo Hotel and Pullman Maldives Maamutaa Resort in which we have a 49% equity interest, however, registered combined occupancies of 49.6% which were below the average occupancy level 58.3%. We are looking at ways to attract more tourists and exploring measures to improve and enhance our hotel operations. We completed the divestment of our minority interest in Katong Holdings Pte Ltd on 30 June 2025 in accordance with the Sale and Purchase agreement. The sale would enable us to recycle the net proceeds from the sale for our working capital requirements and for potential investment opportunities with higher returns which are in line with our financial strategies. ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 06 LETTER TO SHAREHOLDERS
BUILDING FINANCIAL AND OPERATIONAL RESILIENCE Our focus remains on building financial and operational resilience. Despite a more optimistic outlook in the year ahead, there are still challenges to navigate. Operating, manpower and borrowing costs remain factors to be carefully considered and weighed against investment and expansion opportunities. Prudent financial management, productivity improvement and technological investment are essential in ensuring the Group’s competitiveness. In addition to advancing our Integrated Digital Delivery (IDD) initiatives – encompassing Design for Manufacturing and Assembly (DfMA) methodology, Advanced Precast, Building Information Modelling (BIM) and Virtual Design and Construction (VDC) – we deployed smart CCTV systems equipped with artificial intelligence (AI) capabilities at our Tengah Plantation C5 project to enhance real-time safety oversight. The system is able to identify potential safety non-compliance, including unsafe work practices and missing personal protective equipment, enabling timely intervention and corrective measures. This technology-driven approach strengthens our safety governance framework, mitigates operational risk exposure, and underscores our continued commitment to providing a safe and responsible working environment across our projects. SOCIAL RESPONSIBILITY AND SUSTAINABILITY We continue to support the next generation of professionals in the building construction industry, believing that in order to maintain high standards and innovation, we must nurture and develop young talents. Through the Institute of Technical Education’s (ITE) WorkLearn Technical Diploma programme, we have, over the years, trained several students and continued to do so in the current financial year. We have one ITE trainee continuing his Work-Learn Technical Diploma programme at the Tengah Plantation C5 site and another new ITE trainee joining us in April 2026. In FY2025, our upskilling, reskilling and self-improvement programmes included sponsoring our assistant project manager, Ms Michelle Leu a master’s degree in international construction management from Nanyang Technological University in August 2025. On the sustainability front, the solar panel installation at our Chin Bee factory has been commissioned and begun providing green energy since July 2023, supplementing the power requirement at the production floors and administration blocks of 20 Chin Bee Drive and 21 Fourth Chin Bee Road. Our 425 kWp rooftop solar photovoltaic system generates approximately 550,000 kWh of renewable electricity annually, reducing carbon emissions by an estimated 215 tonnes of carbon dioxide each year. KEEPING OUR CORE BUSINESS ROBUST Construction remains our core strength and despite the optimistic outlook of the construction industry, we are keenly aware of the inherent, cyclical and operational risks within the industry. Our focus continues to be on enhancing project execution, strengthening cost management, improving productivity and adopting new technologies to improve and deliver performance. We will take a more nimble and proactive approach in adapting our strategies to the evolving market environment. There will be a transition period for us all, especially our employees, who have always been the backbone and driving force of the Group. They are our greatest strength and through various upskilling, reskilling and training initiatives, we will ensure that everyone progresses together with the Group. The outlook for the medium-term looks promising. Singapore’s GDP forecast has been revised upwards given the economy’s resilience and the strength of the regional economies. As we have done previously, we will remain prudent and circumspect in our financial, operational and investment strategies, while at the same time, moving forward boldly should there be opportunities. APPRECIATION AND ACKNOWLEDGEMENTS It leaves us now to express our sincerest appreciation to our staff and executive management team. Their teamwork, dedication and determination have once again ensured a successful year. We would like to thank our Board of Directors whose leadership, foresight and expertise have been invaluable in helping us overcome challenges. We would also like to take this opportunity to express our heartfelt gratitude to Mr Chong Wai Siak and Mr Kenneth Koh, who will be retiring from their positions as Independent Director after the forthcoming Annual General Meeting. We thank them for their dedication in serving on our Board through the years and wish them every success and happiness. Lastly, thanks to our business partners, associates, customers, and shareholders for continuing to support the Group. While there has been a change in the executive leadership, rest assured that the transition has been smooth and that the Group continues to remain steadfast in its commitment to all its stakeholders, in bringing long-term sustainable value to all. LEO TING PING RONALD XU QUANQIANG Chairman Interim Chief Executive Officer ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 07 LETTER TO SHAREHOLDERS
EMBRACE THE CHALLENGE EXCEED THE LIMITS
REVENUE (S$’000) Group’s revenue increased by 5.7% to S$182.4 million. The increase in revenue was primarily attributable to higher revenue recognition from construction projects that have made significant progress during the current reporting year, such as Tengah Plantation C5 and Solitaire on Cecil. FY2021 76,952 FY2022 148,067 FY2023 199,789 FY2025 182,368 FY2024 172,597 GROSS PROFIT/LOSS (S$’000) Cost of sales decreased to S$169.1 million as compared to S$178.0 million in FY2024, due to effective cost and project management. The Group’s gross profit stood at S$13.3 million as compared to a gross loss of S$5.4 million in FY2024. The improved gross profit was driven primarily by the near-completion of pre-pandemic projects, which incurred higher construction costs. Improved construction productivity also played a significant part. Gross profit margin was 7.3% as compared to a negative gross profit margin of 3.1% in FY2024. 13,307 FY2021 7,488 FY2022 (30,792) FY2023 (26,366) FY2025 FY2024 (5,428) NET PROFIT/LOSS AFTER TAX (S$’000) The Group recorded a net profit after tax of S$10.2 million as compared to a net loss after tax of S$3.9 million in FY2024. FY2021 (20,180) FY2022 (46,591) FY2023 (51,216) FY2025 FY2024 (3,916) 10,154 ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 10 FINANCIAL HIGHLIGHTS
RETURN ON EQUITY (PER CENT) NET ASSET VALUE (SINGAPORE CENTS) RETURN ON ASSETS (PER CENT) BASIC EPS (SINGAPORE CENTS) FY2021 (5.8) FY2022 (16.1) FY2023 (22.1) FY2025 FY2024 (2.1) 5.5 FY2021 (11.6) FY2022 (38.7) FY2023 (57.1) FY2025 FY2024 (5.6) 18.3 FY2021 (7.5) FY2022 (19.5) FY2023 (22.1) FY2025 FY2024 (1.7) 4.3 FY2021 67.5 FY2022 47.2 FY2023 21.8 FY2025 25.6 FY2024 21.5 ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 11 FINANCIAL HIGHLIGHTS
Keong Hong Holdings Limited (“Keong Hong” or together with its subsidiaries, the “Group”) recorded an improvement in financial performance for the full year ended 30 September 2025 (“FY2025”) as compared to the previous year (full year ended 30 September 2024 or “FY2024”). We recorded revenue of S$182.4 million or a 5.7% increase over FY2024’s revenue of S$172.6 million. The increase in revenue was attributed to higher revenue recognised from construction projects, such as Sky Eden@Bedok, Tengah Plantation C5 and Grand Hyatt Singapore that made significant progress during the current year. Cost of sales decreased to S$169.1 million (FY2024 cost of sales: S$178.0 million) due to effective cost management. Consequently, the Group’s gross profit stood at S$13.3 million in FY2025 as compared to a gross loss of S$5.4 million in FY2024. The improved gross profit was driven primarily by the near-completion of pre-pandemic projects, which incurred higher construction costs. Improved construction productivity also played a significant part. Gross profit margin was 7.3% as compared to a negative gross profit margin of 3.1% in FY2024. The Group’s other income rose by 50.3% to S$13.1 million as compared to S$8.7 million for the corresponding period last year. This improvement was mainly attributable to net foreign exchange gains from the appreciation of the United States dollar against the Singapore dollar, higher proceeds from the sale of scrap steel, and increased rental income from warehouses and dormitories. Finance costs decreased by 26% to S$1.6 million in FY2025 from S$2.1 million in FY2024 due to lower levels of borrowings during the current financial period. The Group recorded a net gain of S$85,000 from its joint ventures in FY2025 as compared to a net gain of S$44,000 in FY2024, which was mainly attributable to the share of interest income from joint ventures. The Group’s share of losses of associates decreased by 7.0% to S$9.9 million in FY2025 as compared to S$10.6 million in FY2024. The decrease was mainly due to the absence of losses from the Group’s investment in an associate that was disposed of on 30 June 2025. The Group consequently recorded a net profit after tax of S$10.2 million as compared to a net loss after tax of S$3.9 million in FY2024. The Group’s balance sheet as at 30 September 2025 registered a net cash position of S$26.8 million as compared to S$20.8 million in FY2024. Total assets stood at S$177.7 million as compared to total liabilities of S$117.5 million (FY2024: total assets of S$194.3 million and total liabilities of S$143.8 million). The Group’s gearing ratio was 0.54 as compared to 0.65 in FY2024, due mainly to repayment of borrowings and lesser operating activities towards the end of the financial year. The Group recorded earnings per share of 4.3 Singapore cents and a net asset value per share of 25.6 Singapore cents. BUILDING CONSTRUCTION – HIGHLIGHTS The Group’s current project pipeline consists of Solitaire on Cecil and Tengah Plantation C5. Solitaire on Cecil is a Grade A office cum commercial development in the Central Business District comprising a 20-storey building with restaurants and retail shops on the first storey and two basement car parks. We are pleased to report that piling works, the most technically demanding phase of the development, have been successfully completed. With the ground risks substantially mitigated, the project has transitioned into excavation and pile cap construction works, and progress has stabilised. Management remains focused on maintaining steady progress and advancing the substructure works in accordance with the revised programme. Works on the Housing and Development Board’s Tengah Plantation C5 Build-To-Order project, which includes 15 residential blocks with heights ranging from 6 to 15 storeys, landscaped courtyards, fitness stations and playgrounds, have been progressing well with structural works and site activities generally on schedule. Key building and civil works are advancing in accordance with the construction programme. During the course of the year, the Group had completed several projects. Phase 4 of the Grand Hyatt Singapore project, which consisted of refurbishment to over 400 rooms was completed in July 2025. Phase 2 of the new National Skin Centre at Mandalay Road, comprising a five-storey building with basement and Mechanical and Electrical roof with basement was awarded the Certificate of Substantial Completion in the first quarter of 2025. The Punggol Regional Sports Centre is in the final stages of completion and is slated to obtain its Temporary Occupation Permit in March 2026. The new sports centre has a wide range of world-class facilities, including a 5,000-seater football stadium, a swimming complex with five pools, an indoor sports hall with 20 badminton courts and three convertible basketball courts, sheltered tennis and futsal courts, a fitness gym and wellness studio as well as community activity rooms and event spaces. While global headwinds may impact business performance, the construction sector in Singapore is anticipated to remain strong. The Building and Construction Authority’s (BCA) projection is that total construction demand in 2026 will range between S$47 billion and S$53 billion with total construction demand projected to reach an average of between S$39 billion and S$46 billion per year from 2027 to 2030 driven by public sector housing, community educational and health projects and significant urban rejuvenation works1. While challenges will remain, such as shortage of skilled labour and fluctuating raw material prices, the Group remains committed to focus efforts on winning both private sector and public housing, healthcare and other addition and alteration projects, given our strong track record in these sectors. PROPERTY DEVELOPMENT AND INVESTMENTS The property market remained strong in 2025 although it is showing signs of gradually slowing down in 2026. Private housing pricing increased by 0.6% in the fourth quarter of 2025 compared with the 0.9% increase in the previous quarter. For the whole of 2025, prices of private residential properties increased by 3.3%, marking the smallest increase in a year since 20202. The property sector in Singapore is forecasted to remain strong given the limited supply of land, high quality infrastructure, stable 1 Building and Construction Authority, “Steady Construction Demand in 2026 as Singapore Steps Up Support for Built Environment Firms Through Collaboration and Innovation”, 22 January 2026. 2 Urban Redevelopment Authority, “Release of 4th Quarter 2025 real estate statistics”, 23 January 2026. ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 12 FINANCIAL AND OPERATIONS REVIEW
3 UN Tourism, “International tourism up 5% in first half of 2025 despite global challenges”. 4 Maldives Ministry of Tourism & Environment, “Tourism Statistics Monthly Report, December 2025”. government, robust economy, growing population and influx of high-net-worth residents. We will continue to be open to development opportunities even though there are no immediate plans for land acquisition. HOTEL DEVELOPMENT AND INVESTMENTS The tourism sector continued to perform strongly. International tourism increased by 5% in the first six months of 2025 despite global challenges. Most destinations in the world experienced increase numbers of visitor arrival3. The Maldives’ tourism sector, in line with global trends, continued to perform strongly. The country received 2.2 million visitors for 2025 as compared with 2.0 million tourists in the previous year (a 9.8% increase)4. The combined average occupancy of Mercure Maldives Kooddoo Hotel and Pullman Maldives Maamutaa Resort for 2025 was 49.6%, lower than the industry average of 58.3%. We continue to monitor the performance of these two properties and are taking other operational and cost management measures to enhance efficiency and cost effectiveness. In tandem with the recovery and growing tourism flows to the Maldives, we are intensifying efforts to capture demand from key source markets, including the expanding China outbound travel segment, through strengthened trade partnerships and focused marketing initiatives to drive occupancy and improve revenue performance in the coming periods. SUSTAINING COMPETITIVENESS THROUGH INNOVATION, DIGITALISATION AND PRODUCTIVITY We continue to strengthen our competitiveness through the systematic adoption of innovative construction methods, digital technologies and productivity-driven solutions across our projects. Design for Manufacturing and Assembly (DfMA) technologies are now fully embedded in our project delivery approach. The use of Prefabricated Bathroom Units (PBU), and Mechanical, Electrical and Plumbing (MEP) modules enables a greater proportion of works to be completed off-site in controlled manufacturing environments. This enhances quality consistency, improves site safety, shortens construction timelines and reduces manpower reliance, thereby driving overall productivity gains. During the year, we further advanced our digitalisation journey by strengthening our Building Information Modelling (BIM) and Virtual Design and Construction (VDC) capabilities, including deeper integration across design coordination, construction sequencing and cost management workflows. Our project teams have also actively progressed in adapting to the new CORENET X digital submission framework, enhancing model-based collaboration and regulatory coordination in line with Singapore’s digital building approval transformation. This positions the Group to respond effectively to evolving industry requirements and reinforces our readiness for future regulatory digital mandates. ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 13 FINANCIAL AND OPERATIONS REVIEW
In addition, we deployed smart CCTV systems with artificial intelligence (AI) capabilities at our Tengah Plantation C5 project to enhance real-time safety monitoring. The system is able to detect potential safety non-compliance, such as unsafe work practices and missing personal protective equipment, allowing for prompt corrective action. This proactive, technology-driven approach strengthens our safety management framework, reduces risk exposure and supports a safer working environment on site. We remain committed to investing in innovation, digitalisation and automation initiatives to enhance operational efficiency, strengthen safety standards and sustain long-term competitive advantage. A SKILLED, PRODUCTIVE AND SATISFIED WORKFORCE Staff training programmes are a mainstay of our efforts to improve productivity, enhance efficiency and maximise our employees’ potential. As with previous years, our staff were sent for various reskilling, upskilling and other productivity training programmes to enable them to operate effectively and, more importantly, safely at the worksites and our offices. With digitalisation and automation the way forward, we ensured that all our staff are enabled and empowered in leveraging innovative technology. Selected employees have attended specialised technical and safety training programmes, including Schwing Truck Mounted Concrete Pump Operator Training (Stage 1), Overhead Crane Operation Course and WSQ (Workforce Skills Qualifications) Perform Metal Scaffold Erection. We continued to send our staff for training in certification courses such as Good Industry Practices, QEHS Internal Auditors Course – ISO 9001:2015, ISO 14001:2015 and ISO 45001:2018 and WSQ Manage Workplace Safety and Health In Construction Sites (MWSHCS) course, formerly known as Construction Safety Course for Project Managers to ensure they are kept up-to-date on the latest safety legislation, industry practices and innovations. Our basic skilled workers were enrolled for higher skills training such as in the BCA Coretrade Skills training and Multi-Skilling training. To-date, 39.9% of our 193 work permit holders are higher skilled (R1) certified, surpassing the minimum 10% as required by the Ministry of Manpower. We once again achieved our work-site safety targets which were over and above compliance with the Workplace Safety and Health Act. Our Group’s workplace injury rate of 1.8 was well below the industrial average workplace injury rate of 28.2. Training in workplace safety included SCAL-WSH Training, Plant and Machinery Operator Training and designation of Peer Support Leaders to reach out to fellow workers with mental health issues or in distress. The CultureSAFE programme continues to play an integral role in cultivating a progressive and prevalent Workplace Safety and Health (WSH) culture in the organisation which extends beyond merely executing WSH practices. Rather, every employee embodies and exhibits our WSH values for an accident-free, safe and healthy work environment. We are committed to promoting a healthy work-life balance by encouraging our employees to participate in recreational activities. Accordingly, we support involvement in programs and initiatives that enhance both physical and mental well-being - such as ItsRainingRaincoats (IRR), an initiative that connects Singaporeans and migrant workers. Our overseas staff in the Maldives were also given essential training for their jobs such as x-ray operation, airline security, wildlife hazard management training and more. We continue to invest in professional development across Mercure Maldives Kooddoo and Pullman Maldives Maamutaa. During the year, the Pullman recreation team attained internationally recognised fitness certifications, while both resorts partnered with Maldives National University to provide internship and structured on-the-job training opportunities. Regular in-house training on service standards, food safety and sustainability practices further reinforced operational excellence. These initiatives support workforce capability building and enhance overall guest experience. In FY2025, we recoded 1,821 training hours, or 4.99 hours of training per staff and 7.25 hours of training per worker were expended. A more in-depth account of our sustainability, training and social governance initiatives can be found in our Sustainability Report 2025. SUSTAINABILITY EFFORTS AND CORPORATE RESPONSIBILITY Our corporate social responsibility efforts included support for educational programmes, donations to charitable organisations and scholarship awards for our staff and workers. ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 14 FINANCIAL AND OPERATIONS REVIEW
5 Ministry of Trade and Industry, “MTI Upgrades GDP Growth Forecast to 2.0 to 4.0 Per Cent”, 10 February 2026. In FY2025, our upskilling, reskilling and self-improvement programmes included support for our senior engineers and managers in the form of sponsorship for their master’s degree programmes. Our assistant project manager, Ms Michelle Leu successfully graduated with a master’s degree in international construction management from Nanyang Technological University in August 2025. We continued our Institute of Technical Education (ITE) sponsorship, supporting ITE’s Work-Learn Technical Diploma programme. We are going to provide career development training for another ITE trainee under the Work-Learn Technical Diploma programme for the academic year starting April 2026. The beneficiaries of our charitable donations in FY2025 were Singapore Children’s Society, Singapore Island Country Club May Day Charity, NuSkin Force for Good Foundation and Its Raining Raincoats Ltd. Among our various sustainability programmes, energy use due to the nature of our industry remains one area of focus. The Group continues to prioritise the use of renewable energy sources instead of non-renewable sources where feasible to preserve the environment, reduce production and operating costs, and meet compliance standards. We incorporate, where possible, green-label appliances and energy-efficient light fittings to reduce energy consumption and emissions. The solar panels installed on the rooftop of our Chin Bee factory remain in operation and continue to generate low carbon energy for factory use, with the potential to channel excess solar energy to the electrical grid where applicable. The Group also utilises solar energy to power noise meters and traffic warning signs. To preserve the pristine and natural beauty of the Maldives and to counter damage to corals to tourist activities, the Group continues to impose rules on boat operators on the island such as anchoring, boat operation, boat sewage, and garbage disposal. Strict rules have also been placed surrounding activities such as fishing, marine wildlife viewing, snorkelling and scuba diving. We continued to maintain the corals at our corals nursery and those transplanted to Ocean Villas and Underwater Villas. OUTLOOK FOR 2026 The Ministry of Trade and Industry has forecasted that Singapore’s GDP growth is projected to be around 2.0 to 4.0 percent in 2026, given Singapore’s economy had performed better than anticipated in 2025. The global economy has outperformed expectations with most major economies registering stronger than anticipated growth in the fourth quarter of 2025. Nevertheless, downside risks are present such as a renewed escalation in tariff actions and geopolitical tensions5. Despite these factors, we remain optimistic for the year ahead. We have turned in a commendable performance in FY2025 and we aim to build on this momentum to achieve higher levels of growth and to also look for ways to diversify our business. With a tried and tested strategy of financial prudence, coupled with productivity improvement and technological investment, we are confident of continued and sustainable success. ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 15 FINANCIAL AND OPERATIONS REVIEW
SUSTAINABLE CHOICES INFINITE POSSIBILITIES
MR LEO TING PING RONALD Non-Executive and Non-Independent Chairman MR LEO TING PING RONALD, 74, was appointed to the Board on 15 April 2008. Following the expiration of his service contract, Mr Leo retired from his role as Chief Executive Officer on 30 June 2025. He remains as a Director and is redesignated as the Non-Executive and Non-Independent Chairman of the Board. Additionally, Mr Leo will provide advisory support for the construction projects of Keong Hong Construction Pte Ltd. Mr Leo is a civil engineer with over 40 years of post-graduate experience in the industry. From 1974 to 1983, he served as a senior structural engineer in the Structural Engineering Department at the Housing and Development Board (HDB). In 1980, as head of the construction technology unit at HDB, Mr Leo spearheaded initiatives towards prefabrication and mechanisation in the local construction industry. He subsequently joined Eng Hup Heng Construction Pte Ltd from 1983 to 1985 as General Manager, overseeing construction and management projects for the Housing and Urban Development Corporation, HDB housing, factories, and institutional buildings. In 1985, Mr Leo joined Keong Hong Construction Pte Ltd as Managing Director. Under his leadership, the company grew from a subcontractor into an established design and build main contractor with Building and Construction Authority A1 Grading. He led the Group’s initial public offering on the Catalist Board of the Singapore Exchange Securities Trading Limited on 16 December 2011, and the Group was subsequently transferred to the Mainboard on 2 August 2016. Mr Leo graduated from the National University of Singapore with a Bachelor of Engineering (Civil) with First Class Honours in 1974, and a Master of Science (Construction Engineering) in 1977. He became a member of The Institution of Engineers Singapore in 1978, an associate of The Institute of Structural Engineers, United Kingdom, in 1992, and was registered as a professional engineer with the Singapore Professional Engineers Board in 1979. Mr Leo is not related to any existing Director, executive officer or substantial shareholder of the Company or any of its principal subsidiaries. MR XU QUANQIANG Executive Director and Interim Chief Executive Officer MR XU QUANQIANG, 47, was appointed to the Board on 29 March 2021 as a Non-Executive Non-Independent Director. He was subsequently re-designated as Executive Director on 1 September 2022, tasked with overseeing the Group’s investments, and was re-elected on 28 March 2024. Mr Xu was appointed as Interim Chief Executive Officer on 8 July 2025, responsible for overseeing business operations and expansion. Mr Xu holds directorships in several entities, including Kori Holdings Limited, FT Development Pte. Ltd., Forevertrust International (S) Pte. Ltd., LJHB Capital (S) Pte. Ltd., PT Forevertrust International Indonesia, Wisestone Pte. Ltd., Innotrust Pte. Ltd. and two subsidiaries of the Group. He previously served as Director of BSI Group Singapore Pte Ltd from 2013 to 2016. In addition to overseeing the Group’s investments, Mr Xu is the Chief Executive Officer of LJHB Holdings (S) Pte Ltd (“LJHB”), responsible for LJHB’s strategic decisions and regional growth plans. LJHB is the controlling shareholder of the Group and is primarily engaged in asset investment in the real estate, hospitality, and tourism sectors. He concurrently holds the role of Chief Executive Officer in related companies of LJHB, including Continental Hope Singapore Industrial Development Pte. Ltd. Prior to joining LJHB, Mr Xu held senior leadership positions such as Chief Executive Officer of Ronghua Group Pte Ltd, Regional General Manager of GIC Group Pte Ltd, Country General Manager of BSI Group Singapore Pte Ltd, and Assistant Vice President (Sales) of TUV SUD PSB Pte Ltd. Mr Xu holds a Master of Business Administration degree from the University of South Australia. He is a Certified Property Manager awarded by the Institute of Real Estate Management (REM) USA and a Certified Commercial Investment Member of the CCIM Institute USA. Mr Xu represents the interest of LJHB on the Board of the Company. He does not hold shares in either LJHB or LJHB Capital (S) Pte Ltd. ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 18 BOARD OF DIRECTORS
MR ER ANG HOOA, AGED 73, joined the Group in 1996. He was appointed to the Board on 26 September 2011 and was re-elected on 28 March 2025. Since June 2010, Mr Er has been the Project Director of the wholly owned subsidiary, KH Construction, where he is responsible for all operational activities relating to the Group’s construction projects. He also holds directorships in the Group’s subsidiaries and associated companies. Prior to his current role, Mr Er served as General Manager from 2005 to 2010, Assistant General Manager from 2001 to 2004, and Senior Project Manager from 1996 to 2000 of KH Construction. Mr Er graduated from the University of Dundee, United Kingdom, with a Bachelor of Science in Civil Engineering in 1978, and from Imperial College London, United Kingdom, with a Master of Science in Structural Steel Design in 1985. He also obtained a graduate diploma in management and administration from Bradford University, United Kingdom, in 1986. Mr Er is not related to any existing Director, executive officer or substantial shareholder of the Company or any of its principal subsidiaries. MR FONG HENG BOO Lead Independent Director Chairman – Audit Committee Member – Nominating Committee, Remuneration Committee MR FONG HENG BOO, 76, was appointed to our Board on 1 January 2022 and was re-elected on 28 March 2025. He was appointed as Lead Independent Director on 29 February 2024. With more than 46 years of experience in auditing, finance, business development, and corporate governance, Mr Fong previously served at the Auditor-General’s Office (AGO), Singapore, where he held the position of Assistant AuditorGeneral until his departure in 1993. He was also Director (Special Duties) at the Singapore Totalisator Board, leading finance and investment functions. Mr Fong retired from the board of CapitaLand China Trust Management Limited in 2022, where he was a non-executive independent director since 2013. He currently holds directorships in TA Corporation Ltd, Livingstone Health Holdings Limited, Agency for Integrated Care Pte Ltd, and Bonvest Holdings Limited. Mr Fong graduated from the University of Singapore (now known as the National University of Singapore) with a Bachelor of Accountancy (Honours) in 1973. He was a Fellow Member of the Institute of Singapore Chartered Accountants. MR ER ANG HOOA Executive Director ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 19 BOARD OF DIRECTORS
MR CHONG WAI SIAK, 78, was appointed to our Board on 1 October 2019 and was re-elected on 28 March 2024. Mr Chong joined HDB in 1971 and advanced to Senior Principal Structure Engineer. In 1980, he was appointed to establish and lead Construction Technology Pte Ltd, a government-owned construction company, to promote mechanisation and new technologies within the construction industry. In 1989, Mr Chong joined NSL Ltd (formerly NatSteel Ltd), holding senior roles including Deputy President of NSL and President/CEO of its major subsidiary, Eastern Industries/Eastern Pretech Group. He managed operations and business activities in Singapore and across Malaysia, Indonesia, Hong Kong, China, the Philippines, Vietnam, the United Arab Emirates, and Finland, focusing on construction products and services, property development, and engineering design. He retired from the NSL Group in 2014. Mr Chong served as Director of Changi Airport Planners & Engineers Pte Ltd from 2007 to 2014. He has previously served as a Council Member in the Singapore Contractors Association Ltd and the Institution of Engineers, Singapore, and as a member of various advisory and technical committees of the former CIDB and SISIR. Mr Chong holds a Bachelor of Science (Honours) in Civil Engineering and a Master of Science in Structural Engineering from the University of Manchester, Institute of Science and Technology, United Kingdom, obtained in 1970 and 1971, respectively. He was a Chartered Engineer (UK), a registered Professional Engineer with both the Singapore and Malaysia Engineering Boards, and a member of the Institution of Civil Engineers (UK), as well as the Institution of Engineers, Singapore and Malaysia. MR KOH TEE HUCK KENNETH, 67, was appointed to our Board on 30 September 2021 and was re-elected on 28 March 2024. Mr Koh began his legal career in 1984 with Singapore’s then largest law practice. While actively involved in dispute resolution, he focused on infrastructure and construction work upon joining a London-based international law firm. His practice encompasses court, arbitration, adjudication, and mediation representation, as well as advisory work in engineering, procurement, and construction contracts. After several years in a local partnership, he co-founded UniLegal LLC and chaired its board of directors from 2002 to 2018. He currently serves as its consultant. Mr Koh graduated with a Bachelor of Laws in 1983 from the National University of Singapore and is an Advocate & Solicitor of the Supreme Court of Singapore. He is a member of the Singapore Academy of Law, the Law Society of Singapore, the Society of Construction Law (Singapore), and the Singapore Institute of Directors (SID). He was recognised as a Senior Accredited Director by SID on 16 January 2024. His previous appointments include Honorary Legal Advisor to the Singapore Contractors Association Ltd, and he is the author of the Singapore chapters in two international publications. MR KOH TEE HUCK KENNETH Independent Director Chairman – Nominating Committee Member – Audit Committee, Remuneration Committee MR CHONG WAI SIAK Independent Director Chairman – Remuneration Committee Member – Audit Committee, Nominating Committee ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 20 BOARD OF DIRECTORS
MS WONG EE KEAN, 41, was appointed to our Board on 31 January 2024 and was re-elected on 28 March 2024. Ms Wong has over 20 years of financial advisory and legal experience in international capital markets and real estate including initial public offerings and mergers and acquisitions. She last held the position of CEO and Executive Director of Industrial Securities (Singapore) Corporate Advisory Pte Ltd. Prior to that, Ms Wong served as the CEO of a corporate finance advisory firm with a core focus on REITS, business trusts, real estate and capital markets. Ms Wong was previously a corporate lawyer and partner at WongPartnership, where she practiced law for over a decade, having represented listed companies and institutional clients on a broad range of corporate transactions, including IPOs, follow-on offerings, block trades and private placements. Ms Wong graduated from the National University of Singapore with a Bachelor of Laws (Honours) in 2005 and a Master of Science in Real Estate in 2015. MS WONG EE KEAN Non-Executive Independent Director Member – Audit Committee, Nominating Committee, Remuneration Committee ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 21 BOARD OF DIRECTORS
MR HENG FOOK CHANG, 55, joined the Group in July 2024 as Chief Financial Officer. He oversees the Group’s financial, accounting, and corporate secretarial functions. Before joining the Group, Mr Heng served as Financial Controller at Boldtek Holdings Limited, a SGX Catalist-listed company. He has also held senior executive roles at various SGX Mainboard-listed companies, managing responsibilities that include financial accounting, treasury operations, corporate secretarial duties, and regulatory compliance. Mr Heng holds a Bachelor of Commerce (Accounting and Finance) from Curtin University of Technology, Western Australia, and a Master of Commerce in Professional Accounting from Macquarie University, New South Wales. He is a member of the Institute of Singapore Chartered Accountants and is a Certified Practising Accountant (Australia). MR HENG FOOK CHANG Chief Financial Officer ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 22 KEY MANAGEMENT
BOARD OF DIRECTORS NON-EXECUTIVE AND NON-INDEPENDENT CHAIRMAN Leo Ting Ping Ronald INTERIM CHIEF EXECUTIVE OFFICER Xu Quanqiang (appointed on 8 July 2025) EXECUTIVE DIRECTORS Er Ang Hooa Xu Quanqiang LEAD INDEPENDENT DIRECTOR Fong Heng Boo INDEPENDENT DIRECTORS Chong Wai Siak Fong Heng Boo Koh Tee Huck Kenneth Wong Ee Kean AUDIT COMMITTEE Fong Heng Boo (Chairman) Chong Wai Siak Koh Tee Huck Kenneth Wong Ee Kean (appointed on 3 April 2025) NOMINATING COMMITTEE Koh Tee Huck Kenneth (Chairman) Chong Wai Siak Fong Heng Boo Wong Ee Kean (appointed on 3 April 2025) REMUNERATION COMMITTEE Chong Wai Siak (Chairman) Fong Heng Boo Koh Tee Huck Kenneth Wong Ee Kean (appointed on 3 April 2025) COMPANY SECRETARY Lim Guek Hong REGISTERED OFFICE 20 Chin Bee Drive Singapore 619866 Tel: (65) 6564 1479 Fax: (65) 6566 2784 Website: www.keonghong.com Investor Relations: ir@keonghong.com SHARE REGISTRAR B.A.C.S Private Limited 77 Robinson Road #06-03 Robinson 77 Singapore 068896 AUDITORS FORVIS MAZARS LLP 135 Cecil Street #10-01 Singapore 069536 PARTNER-IN-CHARGE Zhang Liang (appointed on 22 August 2022) PRINCIPAL BANKERS Overseas-Chinese Banking Corporation United Overseas Bank Limited ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 23 CORPORATE INFORMATION
The Company is committed to a high standard of corporate governance to ensure effective self-regulation practices are in place to enhance corporate performance and accountability. This report outlines the Company’s corporate governance practices throughout the financial year ended 30 September 2025 (“FY2025”), with specific references made to the principles of the Code of Corporate Governance 2018 (the “Code”). Pursuant to Rule 710 of the Listing Manual of the Singapore Exchange Securities Trading Limited (the “SGX-ST”) (“SGX-ST Listing Manual”), the Board of Directors (the “Board”) confirms that the Company has for FY2025 complied with the Principles as set out in the Code. The Board also confirms that where there are deviations from the provisions of the Code, explanations for the deviation and how the Group’s practices are consistent with the intent of the relevant principle, are provided in the sections below: BOARD MATTERS The Board’s Conduct of its Affairs Principle 1: The company is headed by an effective Board which is collectively responsible and works with Management for the long-term success of the company. Principal Duties of the Board All Directors objectively discharge their duties and responsibilities at all times as fiduciaries in the best interests of the Company, and hold management accountable for performance. The Board oversees the business affairs of the Group, approves the financial objectives and the strategies to be implemented by the management of the Company (the “Management”) and monitors standards of performance and issues of policy. In addition to its statutory duties, the Board’s principal functions are: Provision 1.1 (i) supervising the overall management of the business and affairs of the Group and approving the Group’s corporate and strategic policies and direction; (ii) formulating and approving financial objectives of the Group and monitoring its performance such as reviewing and approving of financial results announcement and financial statements; (iii) overseeing the processes for evaluating the adequacy of internal controls and risk management including the review and approval of interested person transactions; (iv) assuming responsibility for corporate governance and compliance with the Companies Act 1967 and the rules and regulations of the relevant regulatory bodies; (v) evaluating performance of Management; (vi) reviewing and approving the remuneration framework for the Board and key executives; and (vii) considering sustainability issues e.g. environmental and social factors, as part of its strategic formulation. The Company’s Constitution requires a Director and, the Chief Executive Officer (or person(s) holding an equivalent position), who is in any way whether directly or indirectly interested in a contract or proposed contract with the Company, to declare the nature of his interest at a meeting of the Directors in accordance with Section 156 of the Companies Act 1967 (the “Act). A Director and, Chief Executive Officer (or person(s) holding an equivalent position), shall not vote in respect of any contract or proposed contract or arrangement with the Company in which he has a personal material interest, directly or indirectly, and shall not be counted in the quorum present at the meeting. Accordingly, the Board is obliged to exercise reasonable due diligence and independent judgement when making decisions. It sets appropriate tone-from-the-top and desired organizational culture and ensures proper accountability within the Group. When there is any conflict of interest, Directors will voluntarily recuse themselves from the discussions and decisions involving the issues of conflict. ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 24 CORPORATE GOVERNANCE REPORT
Board Orientation, Training and Updates Upon the appointment of a new Director, the Company will provide him/her with a formal letter, setting out his/her duties and obligations. The Company has put in place an orientation program for all newly appointed Director(s) to assimilate him/her into his/her new role and will provide him/her with a set of the Company’s policies, terms of reference of various board committees (where applicable) and corporate meeting calendar for the year. He/She will be briefed by Management on the business activities of the Group and its strategic directions as well as the duties and responsibilities as a Director. Provision 1.2 Changes to regulations and accounting standards are monitored closely by Management. To keep pace with the regulatory changes, where these changes have an important bearing on the Company’s or Director’s disclosure obligations, Directors are briefed by the Company Secretary on the continuing obligations under the SGX-ST Listing Manual and are regularly provided with news releases, articles and updates on changes to the Listing Manual from time to time. The Directors have also been kept abreast of the principles and provisions of the Code. During the financial year, a number of Directors attended the Listed Company Directors courses conducted by the Singapore Institute of Directors (“SID”) and other professional organisations including but not limited to “SID Directors Conference 2024: Directorship in Transition: Redefining Roles, Risks & Results”, “CGS: Understanding Directors’ Duties in Climate Risk”, “ARC: Elevating Shareholder Value with Good Governance”, “CTP-1: Navigating D&O Insurance: Essential Protection for Directors & Executives’, “CTP-17: Driving Impact through Board Management”, and “SID-CTP4: Strategies for a New World Order”. Appropriate external training for Directors conducted by the SID and other organisations will be arranged by the Company when necessary. Pursuant to Rule 720(7) of the Listing Manual, all directors have to undergo training on sustainability matters as prescribed by the SGX-ST. All the Directors have attended the LED-Environmental, Social and Governance Essentials (Core) conducted by the SID. Rule 720(7) Matters Requiring Board Approval The Board has adopted a set of internal guidelines on the matters requiring Board’s approval. Matters that are specifically reserved for the approval of the Board include, among others, any material acquisitions and disposals of assets, corporate or financial restructuring, share issuance, proposal of dividends, announceable matters, legal claims and litigation, and other matters as may be considered by the Board from time to time. Provision 1.3 Delegation to Board Committees The Board has delegated certain functions to various Board Committees, namely the Audit Committee (“AC”), the Remuneration Committee (“RC”), and the Nominating Committee (“NC”). Each Committee operates within clearly defined terms of reference and operating procedures, which are reviewed periodically. All Board Committees are chaired by an independent director. While these Board Committees are delegated with certain responsibilities, the responsibility for decisions relating to matters under the purview of the Board Committees ultimately lies with the Board. Provision 1.4 Attendance at Board and Board Committees Meetings The Company’s Constitution permits directors of the Company (the “Directors”) to attend meetings through the use of audio-visual communication equipment. Provision 1.5 The Board and Board Committees conduct meetings on a regularly basis which are planned in advance. Ad-hoc meetings are conducted as and when circumstances require. In between Board meetings, important matters concerning the Company are also put to the Board for its decision by way of circulating resolutions in writing for the Directors’ approval together with supporting memorandum, enabling the Directors to make informed decisions. Provisions 1.5 & 1.6 ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 25 CORPORATE GOVERNANCE REPORT
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