Gallant Venture (5IG) H1 2025 earnings summary

Executive summary

• 1H 2025 revenue rose 7.7% YoY to S$100.5m; net profit attributable to owners was S$20.4m, reversing a S$29.0m loss.

• Profit recovery included a S$34.2m FX gain, mainly from translating USD borrowings as the US dollar weakened against the Singapore dollar.

Financial highlights

• Gross profit increased to S$41.3m from S$34.1m; cost of sales was S$59.2m in both periods, while cost of sales/revenue improved to 0.59 from 0.63.

• Profit before tax was S$30.8m versus a loss of S$21.4m; finance costs rose to S$21.3m from S$19.1m, mainly due to higher bank borrowings.

• Basic EPS was 0.373 cents versus a loss of 0.531 cents; diluted EPS was 0.356 cents, including the convertible-bond conversion right.

• Net cash from operating activities was S$73.5m versus a S$22.8m outflow; cash and cash equivalents in the cash flow statement reached S$162.1m from S$97.7m at FY2024-end.

Outlook and guidance

• Industrial parks and utilities revenue is expected to surpass prior-year levels, supported by new factory units and continued tenant demand; expansion phases have commenced.

• New power plants are planned to meet rising energy demand and diversify power generation; an investor advance is to be reclassified after the funding structure is finalised.

• Tourist arrivals rose 23% YoY in H1; stronger H2 performance is expected, with arrivals forecast to reach pre-pandemic levels by end-2026.