AEM Holdings (AWX) Q2 2025 earnings summary

Executive summary

• Revenue for 1H2025 rose 10% year-over-year to S$190.3 million, driven by new solutions and order pull-ins, partially offset by lower Contract Manufacturing demand.

• Operating cash flow reached S$46.4 million, up 556% compared to 1H2024.

• Gross profit was S$48.3 million, representing 25.4% of revenue.

• Profit before tax surged to S$3.9 million, up 284% year-over-year, with net profit attributable to owners up 245% to S$3.1 million.

• No interim dividend declared to prioritize investment in new customer programs.

Financial highlights

• Revenue: S$190.3 million (up 10% year-over-year).

• Gross profit: S$48.3 million (up 11% year-over-year), margin improved to 25.4%.

• Net profit: S$3.2 million (up 284% year-over-year).

• Operating cash flow surged by S$39.3 million to S$46.4 million.

• Cash and cash equivalents at period end: S$59.8 million.

Outlook and guidance

• 2H2025 revenue guidance set at S$170 million to S$190 million.

• Guidance tempered by foreign exchange volatility and timing of late 4Q orders.

• Anticipates production ramp by major AI/HPC customer in late 2025/early 2026.

• New purchase order from memory customer could lead to production volumes in late 2026.

• Key product milestones expected to strengthen foundation for 2026 and beyond.