Captii (AWV) H2 2024 earnings summary

Executive summary

• Revenue fell 3.9% YoY to S$17.6m; gross margin improved to 53.4% from 46.6%, but the year ended with an S$8.7m net loss.

• Non-cash fair-value and impairment losses of S$8.7m were the primary drivers of the loss; excluding these items, profit before tax was S$0.2m.

Financial highlights

• Gross profit rose 10.3% to S$9.4m despite lower revenue, supported by improved contract margins and a more favourable sales mix.

• Loss before tax narrowed 24.9% to S$8.5m from S$11.3m; net loss improved 26.1% to S$8.7m from S$11.7m.

• Reported EBITDA was negative S$7.7m; EBITDA before exceptional items and fair-value effects increased 119.6% YoY to S$1.0m.

• System sales revenue increased 23.4% to S$6.2m, while managed-services revenue declined 14.3% to S$11.3m.

Outlook and guidance

• For 2025, both operating businesses plan to progress contracts in hand, reinvest in product innovation, diversify markets and improve operational efficiency.

• System-sales contributions are expected to remain uncertain and lumpy; rebuilding the managed-services portfolio remains a priority for sustainable growth.

• The venture market remains challenging, although conditions are expected to improve for start-ups in certain industries.