Tat Hong Equipment Service Co., Ltd. Announces 2021/22 Interim Results

SASITHORN

HONG KONG, Nov 29, 2021 – (ACN Newswire via SEAPRWire.com) – Tat Hong Equipment Service Co., Ltd. (“THES” or the “Company”, together with its subsidiaries, the “Group”) (Stock Code: 2153), the first foreign-owned tower crane service provider established in the PRC, and one of the leading crane rental companies in the Asia-Pacific region, has announced its interim results for the six months ended 30 September 2021 (the “period”).

During the period, the Group’s revenue amounted to approximately RMB415.6 million, representing an approximately 1.2% increase from that for the six months ended 30 September 2020, mainly attributable to the total TM in use increased from 1,237,026 for the period ended 30 September 2020 to 1,479,145 for the period ended 30 September 2021. The overall gross profit amounted to approximately RMB119.5 million (2020: RMB147.6 million).

Business Review
To meet the increasing customers’ demand, the Group has purchased additional tower cranes and relevant ancillary parts and components in the period. As at 30 September 2021, the Company managed a total of 1,257 tower cranes, which have been equipped to cater for the customers’ specialised range of EPC projects throughout the PRC.

The Group has continuously enhanced its manufacturing and processing capabilities for tower cranes and their ancillary structural components, and aims to establish a standardized after-market service eco-system for tower cranes. Currently, the Group is operating eight tower crane yards at the leased properties in Hefei, Wuxi, Taicang, Chongqing and Dongguan, in the PRC, mainly engaged in the stacking of equipment and the provision of repair and maintenance services.

In addition to enhancing the manufacturing capability, the Group also places emphasis on the implementation of pollution prevention equipment and dust removal system in the workshops, so as to provide a sustainable foundation for building a green, energy-saving, safe and environmental-friendly tower crane service industry value chain. Jiangsu Ronghe Tat Hong Machinery Construction Co., Ltd.* the refurbishment center of the Group, equipping with production line workshops for electrical, mechanical and hydraulic maintenance, structural machining, painting workshops and other ancillary functions, has refurbished more than 200 tower cranes.

In the area of digitization, the Group is committed to improve the operational and management efficiency through developing the digital management platform “iSmartCon”. The Group continues to upgrade and improve the safety inspection, repair and maintenance, and asset management modules of the “iSmartCon”, so as to accelerate the operational efficiency of frontline staff, as well as compliance.

Outlook
Along with the foreseeable continual increase in fixed asset investment in numerous new cities and new infrastructure, continual urbanisation process and massive government promotion of prefabricated buildings, and the global pursuit of environmental protection, the tower crane service market in the PRC is anticipated to grow further in the following years.

Mr. Sean Yau, CEO of Tat Hong Equipment Service Co., Ltd. said, “As a leading tower crane service provider in the Asia-Pacific region, we are determined to enhance our capabilities particularly in our refurbishment center and in clean energy sector, so as to capture the market opportunities. With the development initiatives of the Guangdong-Hong Kong-Macao Greater Bay Area and the Northern Metropolis, as well as the national goal of ‘carbon neutrality by 2060’, we believe it will further generate the demand for medium-to-large sized tower cranes and, in turn, drive the development of tower crane service market in the PRC.”

Mr. Roland Ng, Chairman of Tat Hong Equipment Service Co., Ltd. added, “Under gradual alleviation of the impact of the COVID-19 pandemic and recovery of the domestic economy in the PRC, the Group is confident to achieve satisfactory results for the coming months, due to our leading position and long history in the tower crane service industry and our strong relationship with Special-tier and Tier-1 EPC contractors in the PRC. Looking forward, the company will continue to provide comprehensive mix of safe, reliable and quality tower cranes and services to support and complement the customers’ core operation, so as to achieve steady growth in market size and customer base. We will continue to strive to be a leading tower crane service provider in the PRC, and generate more fruitful returns for our shareholders.”

About Tat Hong Equipment Service Co., Ltd. (Stock Code: 2153)
Tat Hong Equipment Service Co., Ltd. (“THES”) is the first foreign-owned tower crane service provider in the PRC. Since 2007, the Group has provided one-stop tower crane solution services from consultation, technical design, commissioning, construction to after-sales services primarily to Chinese Special-tier and Tier-1 EPC contractors. THES principally engages in engineering, procurement and construction projects in the infrastructure, energy, commercial and residential sectors. As one of the indirect subsidiaries of Tat Hong Holdings Ltd, a company incorporated under the laws of Singapore, THES has been listed on the Hong Kong Exchange since 13 January 2021. Under the guidance of core values “Virtue, Safety and Excellence”, THES has successfully established a leading market position and maintained stable customer relationships, and built a strong reputation in awareness to workers’ safety, service quality and technical strength.

For more information, please visit: http://www.tathongchina.com/

Copyright 2021 ACN Newswire. All rights reserved. (via SEAPRWire)

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