ISOTeam (5WF) H2 2026 earnings summary

Executive summary

• Leading provider in estate maintenance and building refurbishment, focusing on Repairs & Redecoration (R&R) and Addition & Alteration (A&A) works, with over 1,000 projects and 8,000 buildings completed across public and private sectors.

• Achieved higher operational efficiency, with gross profit margin rising 2.3 percentage points to 18.3% for FY2026, reflecting effective cost control and operational resilience.

• FY2026 revenue reached $105.7M, with A&A contributing 44.1% and R&R 22.2% of the revenue mix.

• Expanded operational capacity with the acquisition of 68 Loyang Way and incorporated a new subsidiary, ISOTeam EleD Engineering.

• Strengthened leadership with new COO and CFO appointments.

Financial highlights

• Revenue for FY2026 was $105.7M, down 11.3% year-over-year due to timing of project commencements and completions.

• Gross profit improved 1.3% year-over-year to $19.4M, with gross margin rising to 18.3%.

• Net profit attributable to equity holders was $4.9M, a 4.5% decrease year-over-year.

• EBITDA (excluding impairments) was $10.5M, down 12.4% year-over-year.

• Cash and bank balances rose to $19.0M as of 30 June 2026, up from $17.2M a year earlier.

• Dividend increased to 0.11 cents per share, up from 0.08 cents in FY2025.

Outlook and guidance

• Order book stood at $185.3M as of 30 June 2026, with most to be delivered in the next two to three years.

• Singapore's GDP growth forecast for 2026 revised upwards to 4.5%-5.5%, with construction sector growth supported by robust public and private sector demand.

• Government construction demand forecasted between $47.0B and $53.0B for 2026.

• Strong pipeline of public housing and urban renewal projects, including HDB BTO launches and government upgrading programmes.

• Strategic focus on tech-driven, eco-conscious solutions and automation to drive efficiency and margin expansion.