Boustead Projects : FY2023 Annual Report

BUILDING FORWARD

Annual Report 2023

BUILDING

FORWARD

With a prudent execution strategy, adaptable and forward-thinking mindset and most importantly, tenacious spirit, Boustead Projects overcame the most difficult time in our history since our establishment in 1996.

The COVID-19 pandemic marked a tumultuous time filled with unprecedented disruptions to every facet of our everyday lives. During this time, we were put through an exceptionally trying period and endured prolonged project site closures, escalating costs and labour shortages. Our improved profitability in FY2023 can be attributed to the substantial completion of projects secured prior to the pandemic when margins were impacted by the escalated costs.

We have built an extensive track record that continues to set the benchmark for the sector. FY2023 saw the completion of JTC Kranji Green, Singapore's national landmark project for recycling waste streams and represents our contribution in advancing Singapore's Zero Waste Master Plan. We also delivered the Takeda Singapore Biologics Manufacturing Support Facility - our first ever Green Mark Platinum Positive Energy Building and also Singapore's first in the biomedical and pharmaceutical sector, capable of operating without drawing electricity from the national grid. This is a blueprint for future-ready buildings that represent a step better than net zero. In FY2023, EcoVadis recognised us in the 88th percentile for sustainability among more than 100,000 corporations rated globally.

The experience gained from COVID-19 has strengthened the foundation of our business, allowing us to build forward in a future-ready manner.

Cover-to-Cover - See the Bigger Picture This year, Boustead Projects Limited shares about how building forward has helped us to remain future-readyin challenging times, while Boustead Singapore Limited shares about their progressive agility.

Scan or download the Annual Report at www.bousteadprojects.com.

Corporate Profile

Contents

Established in 1996 and listed on the SGX Mainboard, Boustead Projects Limited (SGX:AVM) is a leading provider of innovative eco-sustainable real estate solutions with a regional presence across Singapore, China, Malaysia

and Vietnam. Our core businesses are uniquely integrated to support the ecosystem of diversified classes of real estate, comprising:

• Turnkey engineering, full-fledged integrated digital delivery ("IDD"), and project and construction management encompassing design- and-build;
• Real estate development, asset and leasing management; and
• Real estate fund management including being the sponsor and manager of Boustead Industrial Fund, a scalable private real estate trust platform for business park, logistics and industrial properties, and joint owner of Echo Base-BP
  Capital Pte Ltd, an Asia-centric fund management and services platform focused on smart buildings and integrated developments.

To date, we have constructed and/ or developed more than 3,000,000 square metres of real estate for clients including Fortune 500, S&P 500 and Euronext 100 corporations, across diverse sectors like aerospace, business park, food, healthcare and pharmaceutical, high-tech manufacturing, logistics, research

• development, technology and waste management, among others.
  Under the Boustead Development
  Partnership with a reputable Middle East sovereign wealth fund, we have developed or redeveloped more than half a million square metres of real estate in Singapore including landmark developments like ALICE@Mediapolis and GSK Asia House.

Our in-house capabilities are backed by core engineering expertise, the progressive adoption of transformative methodologies including full-fledged IDD and Industry 4.0 technologies and augmented by strategic partnerships which enable the co-creation of smart, eco-sustainable and future-ready developments. Our wholly-owned Engineering & Construction subsidiary in Singapore, Boustead Projects E&C Pte Ltd ("BP E&C") is the eco-sustainability leader in pioneering Green Mark Platinum-rated new private sector industrial developments under the Building & Construction Authority ("BCA") Green Mark Certification Scheme and a national champion of best practices for transformation, quality, environmental, and workplace safety and health ("WSH") management.

BP E&C's related achievements include being the first SkillsFuture Queen Bee for the built environment sector, quality leader on the BCA CONQUAS all-time top 100 industrial projects list and one of only eight bizSAFE Mentors, receiving numerous awards for exemplary WSH performance.

Over the years, we have been recognised for our best practices in corporate governance, leadership and people development. We were awarded the Singapore Corporate Governance Award 2017 (Newly Listed Category), Corporate Excellence & Resilience Award at the Singapore Corporate Awards 2021 Special Edition and the SkillsFuture Employers Award (Gold) 2022. We are also one of the only 92 SGX-listed corporations on the SGX Fast Track Programme.

Boustead Projects is a subsidiary of Boustead Singapore Limited (SGX:F9D), a progressive global infrastructure- related engineering and technology group which is separately listed on the SGX Mainboard.

Visit us at www.bousteadprojects.com.

Overview

08

Mission, Vision & Business Model	08
Asia Presence	10
Group at a Glance
-	Overall Financial Performance	12
-	Business Financial Performance	14
-	Socio-Economic & Sustainability
	Performance	16
Letter to Shareholders	22
Strategic Review
26
Engineering & Construction	26
Real Estate	30
Strategic Partnerships &
	Investments	40
Quality, Environmental, Health,
	Safety & Sustainability Awards
	over the Past Decade	44
Board of Directors	46
Key Management Team	48
Stakeholder Relations	50
Corporate Information	52
Financial Statements
53
Directors' Statement	54
Corporate Governance	58
Independent Auditor's Report	89
Main Financial Statements	93
Notes to the Financial Statements	100
Management & Principal Activities	172
Statistics of Shareholdings	174
Notice of Annual General Meeting	176
Proxy Form	183

ENGINEERING & CONSTRUCTION

PROGRESSIVE METHODOLOGIES

Boustead Projects has delivered progressive methodologies as Singapore's pioneer of the design-and-build and design-build-and-lease methodologies for the real estate sector, and as a transformative technologies innovator in Asia's built environment sector.

Lam Research's integrated manufacturing and office facility, Malaysia.

Our full-fledged integrated digital delivery approach is guided by Industry 4.0 transformation standards and incorporates 7D building information modelling, virtual design and construction, and design for manufacturing and assembly. Our progressive adoption of transformative technologies - known as ConTech and PropTech - includes

TRACK RECORD

Our Engineering & Construction Business has delivered:

1st

Green Mark Platinum Positive Energy development in the biomedical and pharmaceutical sector.

3D scanning, artificial intelligence and machine learning, augmented reality and virtual reality, data analytics and drone technology. These market-leading capabilities are complemented by our green building credentials and supported by robust quality, environmental, health and safety management systems.

22%

of all BCA Green Mark Platinum-rated new private sector industrial developments.

12%

of the BCA CONQUAS all-time top 100 industrial projects list.

Read more on pages 26 to 29.