CFM Holdings slips into 1H FY2026 loss of S$0.6m on 17% revenue drop amid US tariff headwinds; no interim dividend
Summary:
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Revenue fell 16.7% to S$10.48m for 1H FY2026 (1H FY2025: S$12.58m), mainly on reduced customer orders in the metal stamping and tooling segments as softer demand followed the introduction of US tariff policies.
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Gross profit dropped 56% to S$1.52m, with margin compressing on lower sales volumes and reduced production efficiency, swinging the Group to a S$0.55m pre‑tax loss and S$0.63m net loss (EPS: negative 0.313 cents) versus a small S$11k profit a year earlier.
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Operating expenses were tightly managed: admin and other expenses fell S$0.38m to S$2.30m, while finance costs declined to S$39k after redeeming three property loans; other income rose to S$0.42m on gains from disposal of fixed assets and an asset held for sale, and higher rental income.
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Net cash from investing of S$2.64m (mainly disposal of asset held for sale and PPE) and modest operating outflow of S$0.46m funded debt repayment, allowing total borrowings plus lease liabilities to be cut sharply from S$2.85m to S$0.71m; cash and cash equivalents edged up to S$11.49m and net asset value per share was stable at 11.12 cents.
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Management flags continued macro uncertainty from US tariffs, supply‑chain disruption and the Russia–Ukraine conflict, which is pressuring margins and demand; it does not expect a significant recovery in the next half year but sees some improvement in the later months, and has withheld interim dividends as the Group remains loss‑making.