SHS Holdings (566) H1 2025 earnings summary

Executive summary

• H1 2025 revenue rose 49.1% YoY to S$48.5m, led by Engineering & Construction and newly acquired China aluminium businesses; net loss attributable to equity holders widened to S$1.95m.

• Total comprehensive income was S$4.03m, supported by a S$6.15m FVOCI gain, while total equity increased to S$142.7m at 30 June 2025 from S$140.0m at year-end.

Financial highlights

• Revenue increased 49.1% YoY to S$48.533m; gross profit rose 42.7% to S$5.570m, while gross margin eased to 11.5% from 12.0%.

• Loss before tax widened to S$1.983m from S$0.968m; loss after tax was S$1.981m versus S$1.166m, and basic/diluted loss per share was 0.32 cents versus 0.17 cents.

• Other operating expenses rose 130.2% to S$4.583m, largely from unrealised FX losses on USD-denominated assets; other income fell 47.3% to S$1.134m as the prior period included a favourable FX gain.

• Cash and bank balances were S$38.138m at 30 June 2025; total assets were S$294.6m and total liabilities S$151.9m.

Outlook and guidance

• E&C steel engineering work is progressing across existing contracts, with focus shifting to completion and participation in Singapore MRT network projects.

• Solar initiatives target rooftop projects, panel distribution, battery storage and EV charging; demand is anticipated in Singapore and Indonesia, while large-scale solar commitments remain cautious.

• CP order management will remain prudent amid rising costs, competitive pricing, regulatory compliance demands and workforce challenges.

• Management said H1 results were in line with previously disclosed prospects; interim dividends are not the policy, with year-end distributions subject to performance and cash needs.