Nanofilm Technologies (MZH) Q4 2025 earnings summary

Executive summary

• Achieved strong revenue rebound in FY2025, up 20% year-over-year to S$244.6m, driven by consumer and equipment segments.

• Net profit (PAT) rose 58% YoY to S$11.9m, with improved net margin to 4.9%.

• Proposed final dividend increase to 0.87 Singapore cents per share, reflecting confidence in outlook and lower expected capex.

• Expanded global footprint with acquisitions in Europe and new facilities in India and Vietnam.

Financial highlights

• Adjusted EBITDA grew 21% YoY to S$62.8m, with margin improving to 25.7%.

• Total cash balance at year-end was S$85m, supporting strategic capex and acquisitions.

• Gross profit margin decreased to 36.2% (from 37.1% in FY2024) due to higher interim manpower costs, but improved to 38.9% in 2H2025.

• Operating expenses as a percentage of revenue continued to decline, reflecting disciplined cost control.

Outlook and guidance

• Targeting higher revenue and profits in FY2026 through sales execution, product conversion, and cost control.

• No significant capex planned as main investment cycle is complete; focus on increasing ROA and asset utilisation.

• Double-digit growth targeted in key segments such as Automotive, Semiconductor, and General Industry.

• Sydrogen aims to reduce losses and leverage regulatory support for hydrogen sector growth.