40 CSE Global Limited OPERATIONS AND FINANCIAL OVERVIEW CASH FLOW AND LIQUIDITY For FY2024, CSE Global generated strong cash inflow from operating activities of S$33.1 million, due to improved working capital management and cash conversion cycle improved to 50 days. The Group’s net debt position was S$72.1 million as at end of December 2024, as compared to S$76.0 million as at end of December 2023. Net gearing ratio remained low at 0.28x on an aggregate basis, with adequate headroom for working capital requirements. ORDER INTAKE Order intake in FY2024 decreased by 19.1% to S$800.7 million as compared to S$990.2 million in FY2023 mainly attributed to the absence of several major electrification projects secured in FY2023. Excluding the effect of these one-off major contracts secured in FY2024 and FY2023, the Group’s order intake for FY2024 was 8.2% lower year-on-year. However, the order book remained robust at S$672.6 million as at 31 December 2024, supported by consistent demand for Electrification, Communications and Automation solutions. In FY2024, the Electrification business segment secured about S$383.8 million new orders, which represented about 47.9% of total order intake. In FY2024, the order intake for Electrification business segment was 31.6% lower year-onyear, mainly attributed to the absence of several major electrification projects secured in FY2023. However, demand for Electrification solutions remained robust given the strong pipeline of electrification projects. Notable contracts secured during the year include major electrification projects in the United States of America (“USA”) for the design, fabrication and installation of electrical houses, integration of complex electrical and control systems and equipment in the USA, which are slated for execution between 2025 and 2026. The Communications business segment contributed about 28.8% of FY2024 total order intake, securing S$230.7 million of new orders in FY2024 as compared to S$247.7 million of new orders in FY2023 which included one-off major contract relating to the supply, installation, integration and maintenance of communication and security systems for the Singapore Government. About S$186.2 million of new orders were secured by the Group’s Automation business segment in FY2024, compared to S$181.5 million in FY2023 which included one-off major contracts of S$28.9 million related to a environmental systems and equipment in the USA and multi-year maintenance contract renewal in the Asia Pacific region. Excluding the effect of these one-off major contracts, the Automation business segment’s FY2024 new order grew 22.0% year-on-year. S$’000 FY2024 FY2023 Variance % Electrification 383,788 561,053 -31.6% Communications 230,701 247,711 -6.9% Automation 186,224 181,470 2.6% Total 800,713 990,234 -19.1%
RkJQdWJsaXNoZXIy NTM2MDQ5