Vistar Holdings Limited (the “Company” and together with its subsidiaries, the “Group”; Stock code: 8535.HK ), an established electrical and mechanical (“E&M”) engineering services provider in Hong Kong, has achieved outstanding results for the year ended 31 March 2022. Its revenue was approximately HK$405.17 million, a year-on-year increase of approximately 32.8% reaching a historic high since the Company’s listing on the GEM of The Stock Exchange of Hong Kong Limited in 2018.
Benefiting from the business growth, installation service projects contributed approximately HK$306.90 million to the Group’s annual revenue. The five substantially-completed sizeable installation projects brought in a combined revenue of approximately HK$187.15 million.
For the year ended 31 March 2022, profit attributable to equity holders of the Company was approximately HK$20.78 million (for the year ended 31 March 2021: approximately HK$28.51 million). After excluding the listing expenses incurred during the reporting period in relation to the proposed transfer of listing of the Company’s shares from GEM to the Main Board, the Group’s operations recorded a normalised profit of approximately HK$33.06 million, an improvement of about 16.0% over the previous year.
The Board has resolved to declare a final dividend of HK0.50 cents per share for the year ended 31 March 2022. Together with the interim dividend of HK0.35 cents per share already paid, total dividend for the year was HK0.85 cents per share, maintaining a stable dividend payout ratio (for the year ended 31 March 2021: HK0.85 cents per share).
Mr Poon Ken Ching Keung, Chairman and Chief Executive Officer of Vistar Holdings, said, “Although facing the ongoing pandemic, global supply shortage of resources, inflation and an unstable market environment, the Group has drawn on its leading engineering technology and extensive project management experience to provide E&M engineering services to the Three Runway System (3RS) developments at the Hong Kong International Airport surrounding supportive infrastructure facilities, Wong Chuk Hang MTR station expansions and Hong Kong Island east central business district redevelopment. During the year, we have achieved satisfactory performance. Revenue surged to a new high and normalised profit also recorded growth. Looking ahead, we believe that the policies of the Hong Kong Government will inject remarkable momentum into Hong Kong’s economic recovery. In particular, the Lantau Vision and Northern Metropolis land development mega-projects are expected to significantly increase the demand for construction and related engineering services in the city. We will continue to improve the quality and efficiency of our output through standardisation, and actively strive to secure more projects in order to expand our business to the next level”.
For the year ended 31 March 2022, the Group has commenced three sizeable projects with a combined initial contract amount of approximately HK$113.12 million. The Group has many other secured or identified business projects presenting promising yields.
The Group is confident that the proposed transfer of listing would provide greater access to capital, on top of profits reinvested over the years, to fund the entire expansion scheme that will firmly establish it as a leading E&M engineering company in the future.
In addition, the Group revised its dividend policy and undertakes to distribute dividend at a rate of no less than 30% of the annual consolidated net profit attributable to shareholders of the Group in any financial year.
About Vistar Holdings Limited
Vistar Holdings Limited is one of the leading E&M engineering service provider in Hong Kong, specialising in installation, alteration and addition works and maintenance of fire service systems. Its wholly-owned subsidiary, Guardian Fire Engineers and Consultants, Limited, has been providing engineering services in Hong Kong since 1972. The Group’s customers come from both the private and public sectors. The private sector mainly includes property developers, property owners and main contractors engaged by property developers, while the public sector mainly includes government departments such as Hong Kong Housing Authority and Hong Kong Electrical and Mechanical Services Department.
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Topic: Press release summary