Libra Group reported a 10% decline in FY16 revenue to S$80.9m and a 70% drop in net profit to S$1.8m.

The decrease in revenue was due to lower revenue from the mechanical & electrical engineering (M&E) segment, decreased re-sales volume of coils under its manufacturing segment, while building and construction solutions segment was largely similar.

In addition, the group saw higher administrative expenses attributable to several fronts including depreciation and staff costs, while it also made a S$1.0m net allowance for doubtful trade receivables.

Pre 2H16 results, we had a Buy and S$0.19 fair value estimate, while we look to review this pending an analyst briefing.

Source: OCBC Research - 2 Mar 2017