Its revenue grew to $123.9m due to increasing construction activities.

SGX-listed Ley Choon Group Holdings Limited (Ley Choon) recorded a 104.3% year-over-year (YoY) rise in its net profit to $9.7m in FY2023, which ended on 31 March.

Net profit for FY2022 was $4.8m.

The group's revenue increased 33.4% YoY to $123.9m from $92.9m due to the company ramping up its construction activities.

Its gross profit margin expanded by 1.5 points YoY to 13.2% from 11.7% due to a "favourable project mix and revenue growth during the period."

The company also reduced its total borrowings to $19.9m as of 31 March from $27.9m, improving its debt-to-equity ratio to 0.4 times from 0.7 times.

Looking forward, Ley Choon CEO and executive Chairman Toh Choo Huat expects a sizeable number of older infrastructures needing replacement in the near future.

"In the coming year or so, we will capitalize on this uptrend and bid for more projects to replenish or even grow our order book further," Toh said in the group's SGX filing.

“However, we will be prudent and selective with the projects we choose to participate in, taking into consideration working capital needs, manpower allocation, as well as managing the relatively higher raw material costs. Ultimately, we want to steer the group towards a sustainable growth path that will benefit shareholders in the long term," Toh added.