ISOTeam (5WF) H2 2025 earnings summary

Executive summary

• FY2025 revenue was S$119.2 million, down 8.4% YoY, as lower R&R and C&P revenue outweighed growth in A&A and Others.

• NPAT was S$5.1 million, down 21.2% YoY; the S$181.1 million order book is largely deliverable over the next two financial years.

• Gross margin improved 0.5 percentage points to 16.0% YoY.

Financial highlights

• FY2025 gross profit fell 5.3% YoY to S$19.1 million; profit before tax was S$6.7 million, down 8.9% YoY.

• EBITDA excluding impairments was S$12.0 million, down 20.6% YoY.

• 2HY2025 revenue declined 20.2% YoY to S$53.9 million; NPAT fell 37.1% to S$3.2 million.

• Basic EPS was 0.73 cents versus 0.94 cents in FY2024.

Outlook and guidance

• Project commencements across segments recovered from the start of 1HY2026; July and August contract wins were S$20.9 million and S$22.5 million, respectively, contributing over 24 months.

• Tendering for new projects continues; management aims for revenue growth of at least 10% YoY and continued profitability improvement.

• Painting drones are undergoing regulatory trials, with commercial-use approvals expected by end-2025; deployment is expected to improve efficiency and safety and reduce manpower costs.