HRC World (HRC) H2 2025 earnings summary

Executive summary

• Revenue increased to $818,000 for the year ended 31 March 2025, up from $141,000 year-over-year, driven by digital infrastructure initiatives and co-location rack rentals.

• Pre-tax loss narrowed to $46,000 from $220,000 year-over-year, reflecting improved operational cost control during strategic transition.

• Strategic shift underway from restaurant management services to focus on data centre facilities and renewable energy, with F&B services expected to be discontinued by Q4 2025.

• Data centre facility in Subang Jaya, Malaysia, is under renovation and expected to be operational by Q4 2025, anticipated to become the main revenue driver.

• Initial renewable energy projects are targeted to commence in 2026, focusing on mini-hydro, solar, and grid support technologies.

Financial highlights

• Revenue rose 480% year-over-year to $818,000, primarily from co-location rack rentals.

• Pre-tax loss reduced by 79% to $46,000 from $220,000 year-over-year.

• Gross profit reached $209,000, with a gross margin of 25.6%.

• Cash and cash equivalents increased to $1,908,000 from $934,000 year-over-year.

• No dividend declared; all earnings retained for business operations.

Outlook and guidance

• Data centre operations expected to generate meaningful revenue from Q4 2025.

• Renewable energy segment to launch in 2026, further diversifying revenue streams.

• Management remains confident in delivering long-term value through focus on digital infrastructure and sustainability.