-	-	Group			Company
-	-	S$'000		%	S$'000		%
-	-
-	-	30 June 2002	30 June 2001	Increase/ (Decrease)	30 June 2002	30 June 2001	Increase/ (Decrease)
1.(a)	Turnover	23,248	29,147	(20)	0	0	-

1.(b)	Cost of sales or classification as followed in the most recent audited annual financial statements	(20,058)	(24,848)	(19)	0	0	-

1.(c)	Gross profit/loss	3,190	4,299	(26)	0	0	-

1.(d)	Investment income	0	0	-	0	0	-

1.(e)	Other income including interest income	109	150	(27)	0	0	-


2.(a)	Operating profit before income tax, minority interests, extraordinary items, interest on borrowings, depreciation and amortisation, foreign exchange gain/(loss) and exceptional items	2,207	3,643	(39)	(8)	0	nm

2.(b)(i)	Interest on borrowings	(144)	(180)	(20)	0	0	-

2.(b)(ii)	Depreciation and amortisation	(307)	(176)	74	0	0	-

2.(b)(iii)	Foreign exchange gain/(loss)	0	0		0	0	-

2.(c)	Exceptional items (provide separate disclosure of items)	0	0	-	0	0	-
-	-
-	-	S$'000		%	S$'000		%
-	-
-	-	30 June 2002	30 June 2001	Increase/ (Decrease)	30 June 2002	30 June 2001	Increase/ (Decrease)
2.(d)	Operating profit before income tax, minority interests and extraordinary items but after interest on borrowings, depreciation and amortisation, foreign exchange gain/(loss) and exceptional items	1,756	3,287	(47)	(8)	0	nm

2.(e)	Income derived from associated companies (With separate disclosure of any items included therein which are exceptional because of size & incidence)	0	0	-	0	0	-

2.(f)	Operating profit before income tax	1,756	3,287	(47)	(8)	0	nm

2.(g)	Less income tax (Indicate basis of computation)	(464)	(833)	(44)	0	0	-

2.(g)(i)	Operating profit after tax before deducting minority interests	1,292	2,454	(47)	(8)	0	nm

2.(g)(ii)	Less minority interests	0	0	-	0	0	-

2.(h)	Operating profit after tax attributable to members of the company	1,292	2,454	(47)	(8)	0	nm

2.(i)(i)	Extraordinary items (provide separate disclosure of items)	0	0	-	0	0	-

2.(i)(ii)	Less minority interests	0	0	-	0	0	-

2.(i)(iii)	Extraordinary items attributable to members of the company	0	0	-	0	0	-

-	-	Group			Company
-	-	S$'000		%	S$'000		%
-	-
-	-	30 June 2002	30 June 2001	Increase/ (Decrease)	30 June 2002	30 June 2001	Increase/ (Decrease)
2.(i)(iv)	Transfer to/from Exchange Reserve	0	0	-	0	0	-

2.(i)(v)	Transfer to Capital Reserve	0	0	-	0	0	-

2.(i)(vi)	Transfer to Reserve Fund	0	0	-	0	0	-

2.(j)	Operating profit after tax and extraordinary items attributable to members of the company	1,292	2,454	(47)	(8)	0	nm

Note

nm - not meaningful

2(g) Income tax

The income tax charged to the profit and loss account represents the current tax rate based on taxable profits earned during the financial period. The difference between the effective tax rate and statutory tax rate for FY2001 and FY2002 was due mainly to certain non-deductible items added back for tax purposes.

Group Figures
-	-	Latest period	Previous corresponding period
3.(a)	Operating profit [2(g)(i) above] as a percentage of turnover [1(a) above]	5.55%	8.42%

3.(b)	Operating profit [2(h) above] as a percentage of issued capital and reserves at end of the period	10.16%	25.21%

3.(c)	Earnings per ordinary share for the period based on 2(h) above after deducting any provision for preference dividends:-
	(i) Based on weighted average number of ordinary shares in issue	1.1 cents	2.1 cents

	(ii) On a fully diluted basis (To disclose the basis used in arriving at the weighted average number of shares for the purposes of (c)(i) above and to provide details of any adjustments made for the purpose of (c)(ii) above)	na	na

3.(d)	Net tangible asset backing per ordinary share based on existing issued share capital as at the end of the period reported on	9.53 cents	8.45 cents

3.(e) To provide an analysis of expenses based on their function within the group for

the current and previous corresponding period

	30/6/2002	30/6/2001	Increase/(Decrease)
	$'000	$'000	%
Administrative expenses	1,089	758	44
Other operating costs	310	225	38
Total operating costs	1,399	983	42

The increase in total operating expenses was due mainly to the increase in depreciation of fixed assets arising from additional fixed assets acquired, an increase in directors' remuneration, staff salaries and amortisation of intangible assets.

Note:

3(c) Earnings per share for the periods ended 30 June 2002 and 30 June 2001 were computed based on 114,260,940 issued ordinary shares of $0.10 each.

3(d) Net tangible asset backing per ordinary share at 30 June 2002 and 30 June 2001 were computed based on 114,260,940 issued ordinary shares of $0.10 each.

-	-	Group			Company
Item 4 is not applicable to interim results		S$'000		%	S$'000		%
-	-
-	-	30 June 2002	30 June 2001	Increase/ (Decrease)	30 June 2002	30 June 2001	Increase/ (Decrease)
4.(a)	Sales reported for first half year						-

4.(b)	Operating profit [2(g)(i) above] reported for first half year

4.(c)	Sales reported for second half year

4.(d)	Operating profit [2(g)(i) above] reported for second half year

5.(a) Amount of any adjustment for under or overprovision of tax in respect of prior years

There were no material adjustments for under or overprovision of tax in respect of prior years.

5.(b) Amount of any pre-acquisition profits

There are no pre-acquisition profits.

5.(c) Amount of profits on any sale of investments and/or properties

Not Applicable

5.(d) Any other comments relating to Paragraph 5

Nil

6. Segmental Results

The Company operates in two business segments - road construction and road maintenance.

Segmental results, assets and liabilities include items directly attributable as well as those that can be allocated on a reasonable basis.

Business Segments

The Company has the following main business segments:

Road construction - it relates to the construction of urban and arterial roads, expressways, vehicular bridges and flyovers.

Road maintenance - it relates to re-construction work performed on roads, road reserves, pavements, footpaths and kerbs, guardrails, railings, drains, signboards as well as bus bays and shelters.

	Revenue	Revenue	Increase/ (Decrease)	Profit before interest and tax	Profit before interest and tax	Increase/ (Decrease)
	30/6/2002	30/6/2001		30/6/2002	30/6/2001
	$'000	$'000	%	$'000	$'000	%

Road construction	13,664	13,750	(1)	1,603	2,714	(41)
Road maintenance	9,584	15,397	(38)	297	753	(61)

Total	23,248	29,147	(20)	1,900	3,467	(45)

7.(a) Review of the performance of the company and its principal subsidiaries

The Group's turnover decreased by 20% from $29.1 million to $23.2 million as compared with the corresponding period last year. This was due mainly to a decrease in revenue generated from road maintenance. The revenue contribution from the newly awarded road maintenance projects in the West Sector namely Urban South RM0103 and Urban Central RM0103 have not been significant as these projects commenced only in the late second quarter of FY2002 due to a delay in site handover. The revenue from these projects was offset by the decrease of revenue from the existing road maintenance which were near completion in the first half of FY2002.

The Group's profit before tax decreased by 47% from $3.5 million to $1.9 million for the six months ended 30 June 2002. The decrease was due mainly to the following:

(a) Decrease in gross profit as a result of decrease in revenue as mentioned in the previous paragraph.
(b) Depreciation increased as a result of additional fixed assets acquired.
(c) Increase in directors' remuneration.
(d) Staff payroll expenses increased with additional headcount in the late second quarter of FY2002.
(e) Amortisation of intangible assets. The increase in intangible assets represents mainly goodwill on consolidation which amounted to $1.892 million in connection with the restructuring exercise which was set out in the Company's Prospectus dated 13 July 2002.
(f) The increase in professional fees was due mainly to tender charges that relate to administration and handling fees as part of the tendering process in the late second quarter of FY2002. There was an increase in the number of projects tendered in FY2002 as compared to FY2001.

7.(b) Where a forecast, or a prospect statement, has been previously disclosed to shareholders,

the issuer must explain any variance between the forecast or prospect statement and the
actual results

During the first half of FY2002, the Company achieved a turnover of $23 million which represented approximately 47% of the forecast turnover of $49 million as disclosed on page 61 of the Company's prospectus dated 13 July 2002.

7.(c) A statement by the Directors of the Company whether any item or event of a material or

unusual nature, which would have affected materially the results of operations of the Group
and Company, has occurred between the date to which the report refers and the date on
which the report is issued. If none, to give a negative statement.

On 26 July 2002, the Company was admitted to the Official List of the Stock Exchange of Singapore Dealing and Automated Quotation System ("SGX SESDAQ"). The listing, by way of an Initial Public Offer ("IPO") raised $4.4 million before listing expenses, has strengthened our financial position and thus the balance sheet. The financial effects of the IPO have not been reflected in the unaudited balance sheet as at 30 June 2002 (as shown in Note 10 below).

Except as disclosed above, the directors are not aware of any item or event of a material or unusual nature that has occurred in the interval between the end of the period ended 30 June 2002 and the date of this report which would affect substantially the results of the Company and the Group for the financial period in which this report is made.

8. A commentary at the date of this announcement of the competitive conditions of the

industry in which the group operates and any known factors or events that may affect
the group in the next reporting period

The market sentiment for the construction industry continues to be weak and the Singapore construction industry is likely to be affected by the current uncertain global political outlook combined with the continuing economic downturn. Whilst the Government has announced their increase in spending and support for construction and infrastructure projects, the impact on the recovery of the construction industry is still uncertain.

Despite the challenging operating environment, the Group has secured 2 road maintenance projects namely Improvement to Old Roadside Drains in Kembangan Estate (PUB000/DD/3020133) and Planned Maintenance of Roads in East Sector for a Period of One Year (PT105) which are worth about $18.6 million and which will contribute to the Group's turnover and profitability from FY2002 to FY2004.

One of the subsidiaries, Eng Lam Contractors Co (Pte) Ltd ("EL"), formerly a B2 grade contractor, has recently been qualified for a B1 grade under the revised Contractors Registration System regulated by the Building and Construction Authority which will allow EL to tender for public sector construction projects of up to $30 million.

The Group will remain focussed on its core business of civil engineering construction. Based on the secured contracts on hand and barring any unforseen circumstances, the Group expects to at least maintain its performance in the second half of the financial year ending 31 December 2002.

9. Dividend

(a) Any dividend declared for the present financial period? -		None	-

(b) Any dividend declared for the previous corresponding period?		None
(c) Total Annual Dividend
-
-	Latest Year ()	Previous Year ()

Ordinary
Preference	0	0
Total:

(d) Date payable

Not applicable

(e) Books closure date

Not applicable

(f) Any other comments relating to Paragraph 9

NIL

10.(a) Balance sheet

	Group	Group	Company	Company
	$'000	$'000	$'000	$'000
	30/6/2002	30/6/2001	30/6/2002	30/6/2001
Fixed assets	5,395	8,004	-	-
Subsidiaries	-	-	11,426	11,426
Investment properties	2,371	3,300	-	-
Intangible assets	1,822	75	-	-
Preliminary expenses	350	-	350	-

Current assets
Construction in progress	1,179	3,466	-	-
Trade debtors	4,849	8,552	-	-
Amount due from related parties (non-trade)	-	25	-	-
Other debtors, deposits and prepayments	344	99	-	-
Amount due from director of the Company (non-trade)	-	1,490	-	-
Amount due from director of subsidaries (non-trade)	-	76	-	-
Amount due from shareholders of the Company (non-trade)	-	14	-	-
Fixed deposits	4,507	4,370	-	-
Cash and bank balances	1,558	215	-	-

	12,437	18,307	-	-
Current liabilities
Trade creditors	3,966	6,435	-	-
Other creditors	38	49	1	-
Amount due to a subsidiary (non-trade)	-	-	357	-
Amount due to a director of a subsidiary (non-trade)	-	20	-	-
Hire purchase creditors	279	134	-	-
Long term bank loans (secured) - current portion	80	100	-	-
Short term bank loan (secured)	-	-	-	-
Bank overdrafts (secured)	488	4,069	-	-
Accrued operating expenses	574	4,397	-	-
Provision for income tax	1,086	1,196	-	-

	6,511	16,400	358	-

Net current assets/(liabilities)	5,926	1,907	(358)	11,426
Less:
Non-current liabilities
Hire puchase creditors	(735)	(1,077)	-	-
Long term bank loans (secured)	(1,996)	(2,171)	-	-
Deferred taxation	(415)	(304)	-	-

	12,718	9,734	11,418	11,426
Represented by:

Share capital	11,426	11,426	11,426	11,426
Unappropriated profits	1,292	(1,692)	(8)	-
	12,718	9,734	11,418	11,426

10.(b) Cash flow statement

	01/01/2002 to 30/06/2002	01/01/2001 to 30/06/2001
	$'000	$'000

Cash flows from operating activities

Profit before tax	1,756	3,287
Adjustments for:
Depreciation of fixed assets	636	591
Amortisation of intangible assets	120	25
Loss on disposal of fixed assets	7	2
Gain on disposal of fixed assets	(30)	(1)
Interest income	(14)	(48)
Hire purchase interest	54	39
Bank overdraft interest	10	76
Long term bank loans interest	78	66


Operating profit before working capital changes	2,617	4,037
Construction in progress	(1,066)	(4,229)
Trade debtors	2,993	(135)
Other debtors, deposits and prepayments	(134)	58
Amount due from directors of the company (non-trade)	1,590	68
Amount due from directors of subsidaries (non-trade)	75	-
Amount due from related parties (non-trade)	118	-
Amount due from shareholders of the company (non-trade)	14	(1)
Trade creditors	(2,884)	(3,756)
other creditors	(22)	38
Amount due to a director of a subsidary (non-trade)	(11)	1
Accrued operating expenses	183	3,621


Cash generated from operations	3,473	(298)
Hire purchase interest paid	(54)	(39)
Bank overdraft interest paid	(10)	(76)
Long term bank loans interest paid	(78)	(66)
Interest income received	14	48
Income tax paid	(706)	(68)


Net cash gnerated from operating activities	2,639	(497)

Cash flows from investing activities
Purchase of fixed assets	(168)	(676)
Proceeds from disposal of fixed assets	659	189
Purchase of investment properties	-	(132)

Net cash generated from/(used in) investing activities	491	(620)


Cash flow used in financing activities
Payment to hire purchase creditors	(469)	(157)
Proceeds from long term bank loans	1,100	-
Dividend paid to shareholders	(1,892)	-
Repayment of long term bank loans	(1,329)	(100)
Repayment of short term bank loan	(50)	-

Net cash generated from/(used in) financing activities	(2,640)	(257)

Net increase (decrease) in cash and cash equivalents	490	(1,376)

Cash and cash equivalents at beginning of period	5,087	1,892

Cash and cash equivalents at end of the period (Note A)	5,577	516

Note:	As at 01/01/2002	As at 30/06/2002	As at 01/01/2001	As at 30/06/2001

(A) Cash and cash equivalents

Fixed deposits	4,394	4,507	5,585	4,370
Cash and bank balances	1,710	1,558	100	215
Bank overdrafts	(1,017)	(488)	(3,793)	(4,069)

	5,087	5,577	1,892	516

10.(c) Statement of changes in equity

	Issue Capital	Proposed Dividends	Reserves	Total
	$'000	$'000	$'000	$'000

Balance at 1 January 2001	4,700	-	2,580	7,280
Profit for the period	-	-	2,454	2,454
Arising from eliminated on Restructuring Exercise	6,726	-	(6,726)	-
Balance at 30 June 2001	11,426	-	(1,692)	9,734

Dividends for 2001 - proposed	-	1,892	(1,892)	-
Profit for the period	-	-	1,471	1,471
Arising from eliminated on Restructuring Exercise	-	(1,892)	1,892	-
Balance at 31 December 2001	11,426	-	(221)	11,205

Profit for the period	-	-	1,292	1,292
Dividends for 2001-paid	-	(1,892)	-	(1,892)
Arising from eliminated on Restructuring Exercise	-	1,892	221	2,113
Balance at 30 June 2002	11,426	-	1,292	12,718

10.(d) Explanatory notes that are material to an understanding of the information provided in

10.(a), (b) and (c) above

(1) The information presented is based on the proforma group structure as stated in the Company's Prospectus dated 13 July 2002, treated as if our group structure had been in existence during the periods under review.

(2) The financial effects of the IPO are not reflected in the balance sheet as at 30 June 2002 as the Company was admitted to the Official List of SGX SESDAQ on 26 July 2002.

(3) The decrease in net book value of fixed assets by $2.6 million was due mainly to the disposal of a freehold property at No. 40 Springleaf Avenue and a leasehold property at No. 107 Meng Suan Road.

(4) The decrease in investment properties was due mainly to a provision for diminution in value made in respect of one of the properties.

(5) The increase in intangible assets represents mainly goodwill on consolidation which amounted to $1.892 million in connection with the restructuring exercise which was set out in the Company's Prospectus dated 13 July 2002.

(6) The construction in progress resulted from more work performed than advance billings. The decrease was due to lesser delays in payment certification in FY2002.

(7) The decrease in trade debtors and trade creditors is in line with the decline in turnover.

(8) The decrease in amounts due from directors, directors of subsidiaries and shareholders was due to full settlement in FY2002.

(9) The decrease in bank overdraft was due mainly to repayments.

(10) Cost of works were lower which is in line with the turnover resulting in a reduction of accrued operating expenses by $3.8 million.

11. Details of any changes in the company's issued share capital

	Number of ordinary shares
Issued and fully paid-up ordinary shares of $1.00 each as at date of incorporation	2
Issue of ordinary shares of $1.00 each pursuant to the Restructuring Exercise	11,426,092
	11,426,094

Sub-Division of shares	114,260,940
Issue of new shares pursuant to the listing of the Company on SGX SESDAQ	22,000,000
Post-Invitation share capital	136,260,940

On 25 July 2002, the Company issued 22,000,000 new ordinary shares of $0.10 each at $0.20 per share pursuant to its IPO, details of which are set out in the Company's Prospectus dated 13 July 2002.

12. The group's borrowings and debt securities as at the end of the financial period reported

on, and comparative figures as at the end of the most recently announced financial
statements

(a) Amount repayable in one year or less, or on demand

As at 30/06/2002		As at 31/12/2001

Secured	Unsecured	Secured	Unsecured

568	-	1,262	-

(b) Amount repayable after one year

As at 30/06/2002		As at 31/12/2001

Secured	Unsecured	Secured	Unsecured

1,996	-	2,042	-

Not applicable

13. A statement that the same accounting polices and methods of computation are followed

in the financial statements as compared with the most recent audited annual financial
statements. Where there have been any changes or departure from the accounting policies
and methods of computation, including those required by an accounting standard, this
should be disclosed together with the reasons for the change and the effect of the change

Accounting policies and methods of computation used in the half year financial statements are consistent with those applied in the financial statements for the year ended 31 December 2001.

BY ORDER OF THE BOARD

Wee Woon Hong
April Glenys Tay
Company Secretaries
24/09/2002