1 AnnuAl RepoRt 2018. Metal Recycling . Steel Distribution . Scaffolding . Mechanical Engineering . Marine Deck Equipment . Land Transport Engineering CONTENTS. 01 Corporate Profile 02 Business overview 03 Corporate Structure VISION. Your preferred partner for steel solutions 04 Chairman's Statement 08 Our Products VALUES. 10 Board of Directors Integrity, Customer focused, Team work and Bonding, Progress and Growth, 11 Key Management Innovation 14 Financial Highlights 18 Corporate Social Responsibility MISSION. We offer innovative solutions 20 Financial Contents and value-added services for metal recycling, reusing and reducing CORPORATE. PROFILE. Founded in 1984, Union Steel Holdings Limited ( Union The Group has received several awards including the Steel or the Group) started operations as YLS Steel Enterprise 50 Award in 2003 and 2004, Fastest Growing Pte Ltd which was involved in the trading of ferrous 50 Certification and was ranked among the top small and scrap metal.
2 Today, the Group is engaged in related medium enterprises in the AnnuAl Singapore 500 Small businesses which comprise: (i) recycling of ferrous and Medium Enterprises in 2004. It was awarded Singapore non-ferrous scrap metal; (ii) trading of steel products 1000 - Sales Turnover Growth Excellence Award in 2009. and non-ferrous metal products; (iii) rental of sheet and achieved the Singapore International 100 Company piles, steel plates, test piles and beams; (iv) leasing status in 2010. of industrial properties; (v) provision of scaffolding services and related consultancy services; (vi) civil The Group delivers high quality products and reliable construction and engineering work and the manufacture customer service to a global network that spans over of motor vehicle bodies (coachwork), trailers and semi- hundreds of suppliers and customers, in countries trailers; (vii) marine equipment makers, which provide such as India, Bangladesh, Indonesia, Korea, Malaysia, products and engineering services to the marine sector; Singapore, Japan and China.
3 The Group continuously (viii) land transport engineering solutions, providing a seeks to grow its business by widening its global network comprehensive range of equipment and components for of supply sources and customers, and expanding its load handling, including truck-mounted cranes, tailgate, range of products and services. The Group further seeks rubbish compactor, and the sole distributor for EFFER, potential acquisitions and joint venture opportunities for ZEPRO and GEESINKNORBA; (ix) an online platform for strategic expansion. sales of equipment. As a socially responsible corporate, the Group strives With more than 30 years of experience, Union Steel has to improve its social and environment responsibility established itself as a leading player in the metals and through various initiatives guided by organization core scrap industry in Singapore.
4 The Group operates one- values. This is especially important in guiding our stop supply centres for the collection and recycling of dealings with all our stakeholders and shareholders. ferrous and non-ferrous scrap metals and the trading of steel products and non-ferrous metal products. In Union Steel Holdings Limited was listed on SGX-ST. April 2012, the Group added provision of scaffolding Mainboard on 15 August 2005. services and related consultancy services to strengthen its position as preferred partner for steel solutions. AnnuAl RepoRt 2018 UNION STEEL HOLDINGS LIMITED 01. BUSINESS. overview . Metal Recycling Scaffolding Services The Group operates a one-stop metal recycling The Group is involved in the provision of scaffolding centre, collecting metal scrap from 3 facilities across services and related consultancy, sales and rental of Singapore where we also carry out sorting, shearing, scaffolding materials and supply of skilled workers in and packing before we export internationally.
5 Our erection and dismantling of scaffolds. We specialise in refined and comprehensive processes have been set tubular and modular scaffolding and work with major in place to achieve the cleanest grade of metal scrap developers in Singapore. for the next stage of the recycling process chain. Safety is the main concern and having obtained OHSAS. With more than 30 years of experience in metal 18001:2007 for Provision of Building Construction recycling, the Group has grown to become an industry Service is a testimony to our safety standards. We have leader in the local market. Our customers include steel also obtained BizSAFE Level Star in our continuous mills, foundries, as well as international traders and effort to improve our safety standards. metal brokers. The Group believes that it offers one of the most comprehensive product offerings of ferrous MECHANICAL ENGINEERING SERVICES.
6 And non-ferrous metal scrap in Singapore, which The Group is involved in the civil construction and includes steel, copper, aluminum, stainless steel, lead engineering work, and the manufacturing of motor as well as zinc scrap. vehicle bodies, trailers, and semi-trailers. Trading We are committed to creating a safe work environment. The Group distributes steel products used in the Having obtained OHSAS 18001:2007 for Provision of construction and engineering industries. We offer a Building Construction Service is a testimony to our wide range of steel products such as reinforcement safety standards. We have also obtained BizSAFE. steel bars, H-beams, I-beams, steel plates and sheet Level Star in our continuous effort to improve our piles. The quality of our steel products adheres to the safety standards. We are ISO9001:2008 certified.
7 Guidelines set by the Singapore standard. MARINE DECK EQUIPMENT. We are committed to providing a high level of customer The Group is involved in the business of designing, service by having ready stocks, prompt delivery manufacturing and supplying of marine winches, and quality assurance. We are ISO 9001 and 14001 cranes and hydraulic power units to the marine, certified. offshore and oil & gas industries. As one of the largest stockists in the region, we have more than 150 units Leasing of Steel Materials of marine winches with capacities ranging from 8 to The Group offers an extensive inventory of sheet 250 tons. We offer both short and long-term leasing piles, mild steel plates, test piles and beams for solutions, along with hire-purchase schemes to better rental, providing customers with an array of products complement our direct sales to customers.
8 Our of various dimensions to suit each business need. wide range of services puts us above competition Being a one-stop centre supplier, the Group constantly and our flexibility has won over many new projects. reviews its products and services to meet the growing With each passing month, we are gaining a stronger and changing needs and demands of the industries. brand presence in the industry both locally as well as internationally. 02 UNION STEEL HOLDINGS LIMITED AnnuAl RepoRt 2018. LAND TRANSPORT ENGINEERING designing and selling of heavy duty lifting cranes with The Group provides land transport load handling winches. These proprietary designed lifting winches engineering solutions through an accredited SAC are backed by intelligent software-based control hooklift compactor and OTC inspection centre. We system. offer a comprehensive range of equipment and components for load handling, including truck- OTHER BUSINESSES.
9 Mounted cranes, tailgate, rubbish compactor and The Group also derives other income through (i). we are the sole distributor for EFFER, ZEPRO and leasing industrial properties; and (ii) waste collection. GEESINKNORBA. The Group also specializes in CORPORATE. STRUCTURE. Union Steel Holdings Limited 100% 100% 100% 100% 100% 100%. YLS STEEL YEW LEE SENG METAL UNION STEEL GEE SHENG MACHINERY & TRANSVICTORY HOCK ANN METAL. PTE LTD PTE LTD PTE LTD ENGINEERING PTE LTD HOLDINGS PTE LTD SCAFFOLDING PTE LTD. 100% 100% 100%. UNION CHH SDN BHD UNION ENGINEERING HOCK ANN MARINE. PTE LTD SCAFFOLDING PTE LTD. 40% 70% 100%. YLS HOLDINGS MEGAFAB ENGINEERING STEADFAST OFFSHORE &. SDN BHD PTE LTD MARINE PTE LTD. 49% 51%. 100%. USED EQUIPMENT TRANSVICTORY. PTE LTD WINCH SYSTEM PTE LTD. AnnuAl RepoRt 2018 UNION STEEL HOLDINGS LIMITED 03. CHAIRMAN'S.
10 STATEMENT. Dear Shareholders, FINANCIAL AND BUSINESS REVIEW. The Group's total revenue decreased by in FY2018. On behalf of the Board, I am pleased to present the AnnuAl (vis- -vis FY2017) due principally to the lower contribution RepoRt of Union Steel Holdings Limited ( Union Steel or from the Group's trading and recycling business, partially The Group ) for the financial year ended 30 June 2018 offset by increased sales from mechanical engineering ( FY 2018 ). works and industrial crane services. In Q4FY2018 (vis- -vis Q4FY2017), the Group achieved a growth in Union Steel continues to weather the numerous revenue as a result of increased sales by the Group's challenges in the operating environment. Our core steel- winch business amounting to almost $2 million, as well related businesses have faced a prolonged period of as a higher contribution in new steel sales of $ million.