# FINANCIAL INFORMATION

operating activities represented profit before tax for the year adjusted for income tax paid, income tax refund, finance costs, non-cash items such as depreciation of property, plant and equipment and loss on disposal of property, plant and equipment and changes in working capital.

For the four months ended 30 April 2017, we had net cash used in operating activities of approximately S\$2.7 million, which was a combined effect of operating cash inflows before movements in working capital of approximately S\$1.7 million, net decrease in working capital changes of approximately S\$3.9 million and income tax paid of approximately S\$0.5 million. Net decrease in working capital changes was primarily reflected by an increase in trade and retention sum receivables of approximately S\$5.0 million, which was mainly attributable to the increase in progress billings in Project Orchard Station and Project New State Courts, resulting from the greater amounts of works performed during the four months ended 30 April 2017. The effect was partially offset by (i) a decrease in amounts due from customers for contract works of approximately S\$1.0 million; and (ii) an increase in amounts due to customers for contract works of approximately S\$0.9 million.

For the year ended 31 December 2016, we had net cash generated from operating activities of approximately S\$7.9 million, which was a combined effect of operating cash inflows before movements in working capital of approximately S\$3.6 million, net increase in working capital changes of approximately S\$4.8 million and income tax paid of approximately S\$0.5 million. Net increase in working capital changes was primarily reflected by (i) a decrease in trade and retention sum receivables of approximately S\$6.1 million mainly attributable to the completion of several projects; and (ii) an increase in other payables and accruals of approximately S\$2.7 million, mainly arising from increases in accrued salaries and accrued materials costs. The effect was partially offset by (i) an increase in amounts due from customers for contract works of approximately S\$3.7 million; and (ii) a decrease in amounts due to customers for contract works of approximately S\$0.7 million.

For the year ended 31 December 2015, we had net cash generated from operating activities of approximately S\$2.9 million, which was a combined effect of operating cash inflows before movement in working capital changes of approximately S\$3.6 million and net decrease in working capital changes of approximately S\$0.7 million. Net decrease in working capital changes was primarily reflected by an increase in trade and retention sum receivables of approximately S\$7.0 million, which was mainly attributable to the increases in progress billings in Project Micron and Project Tanjong Pagar Mixed Development, resulting from the greater amounts of works performed during the year ended 31 December 2015. The effect was partially offset by (i) an increase in amounts due to customers for contract works of approximately S\$5.1 million; and (ii) a decrease in amounts due from customers for contract works of approximately S\$2.6 million.

# Net cash used in investing activities

Our cash used in investing activities mainly consists of the purchases of property, plant and equipment.

For the four months ended 30 April 2017, we had net cash used in investing activities of approximately S\$32,000, which was primarily due to the purchases of property, plant and equipment, mainly including office equipment.