Advancer Global (43Q:SES), an integrated services provider offering workforce solutions and services in Singapore reported revenue yesterday after markets closed, for the full year ending 31 December 2020 of SGD 56.4 million (USD 42.3 million), a decrease of 20.5% compared to the same period last year.

The group reported a decrease in revenue across all business segments. Gross profit declined mainly due to the decrease in gross profit from Employment Services and Building Management segments.

The increase in net income was largely due to higher other operating income and the relatively constant administrative expenses.

CEO & Executive Director of Advancer Global, Gary Chin, said, “FY2020 has been a challenging year as the global economic downturn caused by the Covid-19 pandemic affected our business activities on all fronts. The focus on technological innovation and digital transformation has made progress to help the business stay resilient.”

“We managed to control operating costs amid the pandemic and the relevant measures implemented by the government,” Chin added. “To ensure that the group maintains its competitive edge, we continued on our expansion plans through the acquisition of a property management company, completed on 2 February 2021 to enlarge our customers’ base and market share in estate management, and we will be sourcing for opportunities to realise our vision to the service provider of choice in the Integrated Facilities Management arena.”

In addition to the acquisition of Newman & Goh Property Consultants Pte in February 2021, the group’s subsidiary Advancer Global Security recently invested in Eazable, a Singapore-based company involved in the development of e-commerce applications.

Revenue from the Employment Services business decreased by SGD 7.6 million (USD 5.7 million) from SGD 13.2 million (USD 9.9 million) recognised in FY 2019 to SGD 5.6 million (USD 4.2 million) in FY 2020. For FY 2020, there was a decrease in the number of foreign domestic workers that the group had placed out to households in Singapore as compared to FY 2019 due to worldwide travel controls which restricted FDWs entering into Singapore.

Revenue from the Building Management business decreased by SGD 6.8 million from SGD 37.5 million (USD 28.1 million) recognised in FY 2019 to SGD 30.7 million (USD 23.0 million) recognised in FY 2020. The segment saw decrease in service income received from stewarding and cleaning, pest control and fumigation, rendered to customers across residential, commercial properties, hotels and restaurants, mainly due to the outbreak of coronavirus.

Revenue from the Security Services business decreased marginally by SGD 0.2 million (USD 0.1 million) from SGD 20.3 million recognised in FY 2019 to SGD 20.1 million (USD 15.1 million) recognised in FY 2020. A decrease in service income from security projects at Changi airport, shipyard, schools and commercial properties was reported, mainly due to the outbreak of Covid-19.

Chin said, “Despite the uncertainties, the group has been able to pivot our strategies and innovate with technology to improve service quality of our businesses. We will continue to invest in digital transformation and embrace opportunities to pivot our business for positive change in the ‘new normal’ landscape.”

Shares in Advancer Global closed at SGD 0.142, up 1.43% on the day and 5.33% below its 52-week high of 0.150, set on 19 January 2021. The company has a market cap of SGD 35.33 million (USD 26.54 million).