Tiong Seng Holdings, the construction group and property developer, today reported a 53% fall in net profit attributable to equity holders to $6.7 million for the second quarter ended 30 June 2010 (2Q2010) from $14.2 million in 2Q2009. Revenue fell 26% to $70.2 million from $94.8 million.

The group saw a year‐on‐year decrease in construction contract revenue to $64.0 million in 2Q2010 (2Q2009: $83.3 million) due to lesser work done for completed projects and projects close to completion such as the Capella, Tribeca, The Wilkie, Sky@11, Marina Bay Financial Centre Tower 3 and Sentosa Integrated Resorts.

Nonetheless, Tiong Seng says it has a further $37.5 million in revenue that it has yet to recognise for work conducted on newly‐commenced projects, namely the Wharf, Volari, Hotel at Upper Pickering Street and NUS Kent Vale Staff Housing, in accordance with its revenue recognition policy.

This was partially offset by an increase in work for ongoing projects such as the additions and alterations works at Raffles City Shopping Centre, Hilltops and Shelford Suites which generated revenue of $44.4 million and $33.5 million for 1H2010 and 2Q2010 respectively.

In China, revenue from completed development properties decreased as the Group completed and recognised the profits for the pre‐sold units in Tianmen Jinwan Building in Tianjin in March 2009.

In line with its accounting policy, all units sold since the commencement of sales in October 2007 till its completion were recognised in Q12009. Revenue in 2Q2010 was therefore derived only from the sale of the remaining completed units.