Eneco Energy (R14) H2 2025 earnings summary

Executive summary

• FY2025 covered 18 months, 1 Jan 2024–30 Jun 2025, after the financial year-end moved from 31 Dec to 30 Jun; comparisons with FY2023’s 12 months are not directly comparable.

• Logistics activity remained steady amid cost pressure; FY2025 ended with S$0.7m profit before tax and S$0.1m net profit, alongside positive operating cash flow and a stronger cash position.

• Priorities include profitable contract execution, cost and operational optimisation, EV fleet renewal, technology investment and selective M&A, while meeting SGX watch-list compliance requirements.

Financial highlights

• Revenue was S$47.467m for the 18-month period versus S$30.563m for FY2023; the stated 55% increase partly reflects the longer reporting period.

• Other income rose to S$2.376m from S$1.458m, supported by freight and handling charges, IT services and government grants; lower deposit interest and disposal gains partly offset the increase.

• Profit before tax was S$679k versus S$483k; continuing-operations profit was S$102k versus S$83k, while FY2023 also included S$242k profit from a discontinued operation.

• Operating expenses rose to S$49.2m from S$31.5m over the longer period; monthly cost run-rate was described as stable. Finance costs were S$1.051m versus S$246k, mainly reflecting lease liabilities.

• Basic and diluted EPS were 0.00 Singapore cents; cash and bank deposits were S$16.548m versus S$14.865m at 31 Dec 2023.

Outlook and guidance

• Logistics volumes are expected to remain steady into 2026, while competition, manpower and rental costs, freight-rate volatility and geopolitical risks remain concerns.

• Management plans to focus on contract execution, cost management, workforce optimisation, digitalisation, customer partnerships and profitable contracts; selective acquisitions remain under evaluation.

• Priorities include EV fleet renewal and technology upgrades, with expansion directed toward opportunities where returns are clear.