Brook Crompton Holdings (AWC) H2 2024 earnings summary

Executive summary

• FY2024 revenue fell 14.2% YoY to S$61.6m, mainly on lower UK and US sales; gross profit margin was higher than FY2023, when bulk low-margin project sales weighed on margins.

• Profit before tax fell 42.3% to S$3.2m; net profit was S$2.2m. EBITDA declined to S$3.6m from S$6.2m.

• Closing cash rose to S$22.5m from S$17.9m, while net assets increased 9.9% to S$47.2m.

Financial highlights

• Revenue was S$61.640m versus S$71.810m; gross profit was S$16.303m versus S$19.310m.

• Profit before tax was S$3.210m versus S$5.567m; net profit after tax was S$2.200m versus S$4.170m.

• Profit attributable to parent owners was S$2.327m; non-controlling interests recorded a S$127k loss. Basic and diluted EPS was 6.6 cents versus 11.8 cents.

• Other income and gains rose to S$2.043m from S$1.656m; other losses reduced to S$499k from S$1.081m, including a S$660k inventory write-back.

• Distribution and marketing costs fell to S$6.812m from S$7.372m; administrative expenses rose to S$6.583m from S$5.786m.

Outlook and guidance

• 2025 priorities include expanding distribution and service networks in Italy, Canada, Australia, the US and Middle East, broadening products, and serving existing customers and installed bases.

• ERP implementation has started; further IT investment and process digitalisation aim to support customer transactions and free capacity for strategic business development.

• Brook-TM JV plans to provide Prognosis Health Management support to ASEAN customers alongside energy-efficient product and solution supply.

• UK Asset Management Period 8 starts in April 2025; strategic OEM collaboration and WIMES inventory are positioned to address water and wastewater demand.

• Energy-saving and renewable-focused products, including IE3, IE4 and IE5 motors and drives, support growth plans across HVAC, data centres, mining and water markets.