Frencken Group (E28) Q1 2026 TU earnings summary

Executive summary

• 1Q26 revenue reached S$202.0 million, with gross profit margin at 14.4% and PATMI at S$8.0 million, including a S$1.1 million forex loss.

• Mechatronics Asia posted continued revenue growth, offsetting declines in Mechatronics Europe.

• The Group expects improved momentum and higher revenue and profit for FY2026, supported by positive customer outlooks.

Financial highlights

• Revenue declined 6.4% year-over-year to S$202.0 million in 1Q26.

• Gross profit margin decreased by 0.4ppt to 14.4% year-over-year.

• PATMI dropped 20.2% year-over-year to S$8.0 million.

• Net cash position stood at S$115.4 million, with a debt-to-equity ratio of 5.5%.

Outlook and guidance

• Anticipates stronger business momentum in 2H26, supporting revenue and profit growth for FY2026.

• Total revenue for 1H26 expected to be broadly in line with 1H25, with potential FX and cost pass-through impacts.

• APS Division's automotive radar antenna business expected to ramp up in 2H26.

• New Singapore facility on track for completion in 1Q27, supporting future semiconductor growth.