Micro-Mechanics (5DD) Q3 2025 earnings summary

Executive summary

• Group revenue rose 12.9% year-over-year to S$48.5m for 9MFY2025, with Q3 revenue up 17.3% to S$16.0m and EBITDA up 22.9% to S$16.9m.

• Net profit increased 54.7% year-over-year to S$9.2m for 9MFY2025, with Q3 net profit up 72.6% to S$3.2m; ROE at 23.7%.

• Gross profit margin improved to 50.5% in Q3 FY2025 from 46.4% a year ago.

• Maintained a net cash position with no borrowings; cash and cash equivalents were S$19.2m as of 31 Mar 2025.

• Appointment of new CEO effective 1 July 2025 to support long-term growth.

Financial highlights

• 3QFY2025 revenue rose 17.3% year-over-year to S$16.0m, with WFE segment sales up 95.7%.

• Gross profit margin was 47.1% for 9MFY2025, with EBITDA margin at 34.8%.

• Cash and bank balances stood at S$16.6m as of 31 Mar 2025, with zero debt.

• Dividend payout ratio for 1HFY2025 was 69.2%, with cumulative dividends per share at 131.9 cents since listing.

• Earnings per share for 9M: 6.63 cents (up 54.5% YoY).

Outlook and guidance

• Sector outlook remains positive, with global semiconductor revenue forecasted to reach US$627b by end-2025 and sales expected to grow 19% in 2025.

• Focus on sustaining MMUS profitability, cost reduction, and product mix optimization in WFE.

• Continued disciplined capital management, steady dividends, and investment in operational excellence.

• The Group remains vigilant to global trade tensions and potential indirect impacts on customers.

• No direct impact from recent retaliatory tariffs; focus remains on operational resilience and innovation.