SUBANG JAYA: Engineering services group, AWC Bhd registered a revenue of RM414.1 million for the financial year ended June 30, 2025 (FY25), an increase of 3.8% year-over-year (YoY) from RM398.8 million.
This was predominantly owing to higher-order fulfilment and project deliverables within the rail division.
It is also noteworthy to mention that this is the first time AWC’s top-line has surpassed the RM400 million mark.
AWC net profit jumped 26.1% YoY to RM24.9 million, up from RM19.7 million in the previous year.
The larger-than-proportionate growth was chiefly attributed to the full-year consolidation of the environment division’s earnings.
FY24 net profit included a reversal of impairment on contract assets amounting to RM3.2 million.
Excluding this, FY25 net profit growth would have been even higher at 50.9% YoY, which better reflects the underlying operational improvement.
President and Group CEO Datuk Ahmad Kabeer Mohamed Nagoor stated that the company has achieved its best-ever revenue in FY25, along with healthy net profit growth, particularly in light of the prevailing macroeconomic uncertainties.
“Furthermore, the full consolidation of the environment division’s earnings is a clear indication that our investment is yielding results.
“As we move into the new financial year (FY26), we continue to uphold our measured yet progressive approach. The group remains focused on executing the projects at hand while seizing the exciting opportunities ahead.
“We continue to see ample opportunities ahead for all our divisions, particularly the environment and engineering divisions,“ he said in a statement.
For the environment division, Ahmad noted that while there are some slowdowns in the Middle East market due to the macroeconomic uncertainties, prospects in Malaysia and Singapore remain exciting.
“Meanwhile, for the engineering division, we are working on several key projects, including a few data centre jobs, and the team is tendering for more jobs.
“As of June 30, 2025, our total outstanding order book stands at RM597.0 million, which provides us with healthy earnings visibility for the coming years.
“All in all, the outlook of the group remains bright, premised upon our order book and prospects supported by our solid balance sheet with net cash position,” he said.
For the fourth quarter (Q4) of FY25, the group achieved a revenue of RM104.4 million, an increase of 2.4% YoY from RM102.0 million in Q4 FY24.
However, the improvement was not reflected in the bottom line due to an unfavourable sales mix.
Q4 FY25 net profit stood at RM6.7 million vis-à-vis RM7.0 million last year.
On dividends, the group has proposed a dividend of 0.5 sen per share, bringing total dividends for FY25 to 1.25 sen per share.
This translates to a dividend payout ratio of 16.4% based on FY25 earnings per share of 7.6 sen.
The group’s balance sheet remains healthy with a net cash position of 10.7 sen per share and gross cash holding of RM133.6 million as of 30 June 2025.