SINGAPORE, February 25, 2004 - Sesdaq-listed Kingsmen Creatives Ltd ("Kingsmen"), a leading three-dimensional communications design and production group in the Asia Pacific region, today announced that for the financial year ended 31 December 2003 ("FY2003"), the Group reported a 12.1% dip in Group revenue from the proforma group comparative figure of S$60.8 million in FY2002 to S$53.4 million in FY2003. In addition, the Group's net profit after tax recorded a 53.4% dip from S$3.3 million in FY2002 (proforma group) to S$1.5 million in FY2003.
Said Mr Benedict Soh, Kingsmen's Co-Founder and Group Managing Director: "Our revenue was substantially affected by the decrease in revenue from our Exhibitions and Museums, and Interior divisions as a result of the looming threat of the Iraq war, terrorism and SARS in the second quarter of FY2003. This resulted in the postponing and cancellation of some exhibitions, events and interior projects. However, despite the adverse conditions, we were able to make a rapid turnaround in the second half of the year. Turnover for the second half of the year is doubled that of the first half of the year."
During the second half of the year, Kingsmen secured and completed several major projects, including The Body World exhibition, Ford motorshows, the National Day Parade, Christmas lightup at Orchard Road, interior fit-outs for DFS shops and branded retail outlets at Paragon Shopping Centre. More than 66% of the Group's revenues for FY2003 were derived from the second half of the financial year.
Going forward, the Group is optimistic about FY2004. The bi-annual Asian Aerospace event marks a good beginning for the year as it is expected to contribute S$5 million to the Group's revenue.
"We intend to tap on the increasing number of museums and visitor center projects from Malaysia and Singapore. Currently we have already 5 such projects in the bag. In addition, with the continuous expansion and upgrading of airports in the Asia Pacific and Middle East regions, we expect an increase in the demand for our services in fitting-out of duty free retail outlets," added Mr Simon Ong, Co-Founder and Group Executive Director of Kingsmen.
Kingsmen has announced dividend of 0.75 cents per ordinary share for the current year period.
Established in 1976, Kingsmen has grown from a local outfit to a regional group with offices in 15 major cities across the Asia Pacific and Middle East regions through its affiliates. The Group designs and produces exhibits for events, tradeshows and museums and visitor centres. Kingsmen is also reputed for quality interior design and construction works, and has carved a niche in the mid to up-market retail sector. To provide value-added services to clients, the Group offers integrated marketing communications services, enabling Kingsmen to function as a one-stop-shop.
Kingsmen's reputation for creative and quality design and production works can be credited to its entrenched design-led, quality and service driven culture. Its ability to offer complete solutions to clients from design to production and marketing promotions, gives Kingsmen a distinct competitive edge. The Group has a long-standing base of clients including well-known names such as Robinson & Co (S) Pte Ltd, DFS, the Dickson Group, FJ Benjamin Holdings Ltd, Burberry Asia Ltd, Asian Aerospace Pte Ltd and Reed Exhibitions Pte Ltd. Its MNC clients enjoy overseas support from Kingsmen through its regional network and global connections.