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Hyflux Revenue Falls 25% in 2Q on Lower China Contributions

Hyflux Ltd., Singapore’s biggest publicly traded water company, reported a 25 percent drop in revenue from a year ago in the second quarter, citing lower contributions from China.

Sales declined to S$138.4 million in the three months ended June 30 from S$183.6 million in the same period last year, according to a statement to the Singapore stock exchange yesterday. Second quarter net income was S$17.7 million, higher than S$17.5 million a year ago, according to the statement.

The company’s lower revenue from China was due to “macro factors,” according to the statement. The water company withdrew from two water projects at the Hechuan Industrial park in Chongqing City because of a “forseeable low off-take volume of the water,” it said. China’s economy grew 7.5 percent from a year earlier in the April-June period, slowing for a second straight quarter and extending the longest streak of sub-8 percent expansion in at least two decades.

An interim dividend of 0.7 Singapore cents per share is declared for the six months ended June 30, the company said.

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