SINGAPORE (Nov 3): Hyflux saw a tripling of 3Q earnings to S$21.5 million, or 0.38 cents per share, from S$6.4 million a year ago on higher revenue.

Revenue more than doubled to a record S$295.9 million, lifted mainly by TuasOne waste-to-energy (WTE) project and Qurayyat Independent Water Project (IWP) in the Sultanate of Oman.

Municipal projects contributed a 93% or S$275.5 million to total revenue while industrial sector contributed 6% or S$18.7 million.

Middle East, North Africa and Singapore are expected to drive revenue as Hyflux executes its EPC order book with the TuasOne and Qurayyat projects and other projects in Saudi Arabia.

Construction for the Ain Sokhna IWPP in Egypt is currently pending finalisation of the contract.

The company remains caution about business outlook in the near-term with the sustained drop in oil prices and weak Singapore power market.

Hyflux will continue to tender for projects in key markets of Middle East, Africa, Americas and part of Asia. The headwinds faced in the Singapore power market will continue to offset earnings from construction activities in the near-term.

Olivia Lum, executive chairman and group chief executive officer, says, “With the recent divestment of Galaxy NewSpring, we will continue to seek opportunities for capital recycling to support long-term growth.”

The proceeds of US$136.5 mil from the divestment of Galaxy will be deployed for future development of new projects.

Shares of Hyflux closed up 1.5 cents at 46.5 cents.