Fu Yu Corporation (F13) H1 2025 earnings summary

Executive summary

• Continuing-operations revenue rose 10.4% YoY to S$60.452m, while net loss from continuing operations widened to S$9.805m.

• Manufacturing revenue growth followed the cessation of supply chain services in Q4 FY2024; that segment had contributed $72.0m revenue in H1 2024.

• Eight new manufacturing contracts worth S$23.2m were secured, with revenue recognition expected from 2H25 as mass production begins.

Financial highlights

• Gross profit was S$6.845m, down 2.8% YoY; adjusted EBITDA excluding forex and one-off costs was S$2.337m versus S$2.957m.

• Continuing-operations loss reflected S$3.0m of Zhuhai closure costs, S$3.2m of forex losses and one-off professional fees.

• Selling and administrative expenses rose 29.2% to $11.9m, including $2.2m of additional professional fees and a $553k bad-debt write-off.

• Other operating expenses were $6.1m versus $0.9m of income in H1 2024, including a $2.9m FX loss and $3.0m Zhuhai closure provision.

• Loss per share was 1.28 cents versus 0.05 cents in H1 2024.

Outlook and guidance

• New project revenue is expected from 2H25 as mass production begins; long-term cost savings from the Zhuhai wind-down are expected from 2H2025.

• Priorities include growing the project pipeline, business development, cost reduction and margin improvement; professional fees are expected to decline from 2H25.

• Operational strategies and financial instruments are intended to mitigate future forex losses.