ISDN Holdings (I07) H2 2025 earnings summary

Executive summary

• FY2025 revenue rose 18.2% YoY to S$440.2m; core profit attributable to shareholders, excluding unrealised FX and non-recurring items, grew 25.9% to S$9.7m.

• Reported profit attributable to shareholders fell 20.7% to S$6.8m, primarily due to S$4.5m of unrealised, non-cash FX losses tied to renewable-energy contracts.

• Industrial automation demand and renewable-energy expansion supported growth; two additional mini-hydropower plants are targeted to start operations in 2026.

Financial highlights

• FY2025 revenue was S$440.2m, up 18.2% YoY; on a constant-currency basis, revenue growth was 21.1%.

• Gross profit rose 10.8% to S$105.2m, while gross margin declined 1.6 ppts to 23.9%, mainly due to lower-margin hydropower construction revenue.

• Profit before tax increased 7.2% to S$21.1m; profit after tax declined 2.7% to S$13.6m.

• 2H2025 revenue increased 14.9% to S$227.3m; profit attributable to shareholders rose 15.4% to S$5.5m.

• Basic EPS was 1.50 Singapore cents for FY2025, down 21.5% YoY; 2H2025 EPS rose 14.2% to 1.21 cents.

Outlook and guidance

• FY2026 priorities include extending industrial-automation reach in core markets, developing Malaysia and Taiwan, and expanding the technology-solutions portfolio.

• Two mini-hydropower plants are targeted for completion and commercial operation in 2026; capacity is expected to rise 81.3% to 44.6 MW.

• NovaPeak secured a S$1.0m AI-powered building-inspection contract for Housing & Development Board buildings in Singapore.

• Prudent capital management and disciplined investment and business incubation remain priorities amid expected growth conditions.