Mainboard-listed Boustead Singapore, the global infrastructure-related engineering services and geo-spatial technology group, says the group achieved revenue of $239.1 million and net profit attributable to owners of the company of $31.9 million for the 1QFY2011 ended 30 June 2010, an increase of 101% and 237% respectively.

The Energy-Related Engineering Division achieved revenue of $37.4 million, growing 44%. The revenue growth was mainly attributed to the good performance of the downstream oil & gas business, which progressed with momentum on its major projects globally after a robust recovery in the order book. The upstream oil & gas business experienced a slower quarter, while the solid waste energy recovery business completed its remaining restructuring activities in Australia. Contract negotiations by the division for small and medium-sized contracts are expected to progress smoothly with global crude oil prices hovering above US$80 per barrel.

Revenue at the Water & Wastewater Engineering Division rose to $7.4 million, rising 236%. The division continued to ride on its successful turnaround and achieved significant progress on its largest industrial seawater desalination plant for Toshiba Corporation at the Tanjung Jati B Power Plant in Indonesia. The division also secured a contract for a $21 million new water recycling plant in Abu Dhabi, the first of its kind in the United Arab Emirates. This contract has almost doubled the division’s order book backlog.

The Real Estate Solutions Division was the largest revenue contributor at $168.8 million, increasing 137%, partly due to the completion of the $67.8 million sale of IBM Singapore Technology Park. In Libya, the new township project continued to make progress but at a slower than expected pace as announced previously. The division maintains its focus on its business development efforts to secure design-and-build and design-build-and-lease contracts in the face of an anticipated slowdown in this sector.

Revenue from the Geo-Spatial Technology Division increased by 34% to $25.4 million, underpinned by robust demand from government agencies in Australia and South East Asia. Sustained demand is expected from government agencies, although growth for the remainder of FY2011 will not match that of 1Q FY2011.

All four core operating divisions delivered profitability.

Wong Fong Fui, Chairman and Group Chief Executive Officer of Boustead, says: “It has been a fantastic first quarter in terms of revenue and net profit. However, revenue for infrastructure-related businesses are project oriented and the strong results for the first quarter would not necessarily reflect the full year’s performance.”

Wong adds, “The group continues to be in a strong financial position and we are looking to utilise our net cash of $195.5 million to make additional strategic acquisitions. Our order book backlog of more than $580 million should see us smoothly through FY2011, which we expect to be better than FY2010.”