Choo Chiang FY2025 net profit falls 19% to S$9.5m as property gains normalise; core distribution revenue up 4% and cash hits S$37m
Summary:
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Group revenue rose 3.9% to S$93.1 million in FY2025, with the core distribution business up 3.9% to S$92.5 million on higher sales volumes of electrical products, while property rental dipped 6.9% after asset disposals.
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Gross profit inched up 2.1% to S$26.7 million but net profit fell 19.3% to S$9.5 million as other income dropped sharply on the absence of 2024 one‑offs (reversal of impairments and larger disposal gains) and higher bank charges and credit loss provisions.
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Operating cash flow strengthened to S$12.2 million from S$10.0 million, lifting cash and cash equivalents to S$37.2 million despite S$3.4 million capex on investment properties and S$6.0 million of dividends paid.
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The balance sheet remains solid with no borrowings, total assets of S$93.9 million, equity up to S$73.2 million and NAV per share at 35.25 Singapore cents; inventories were trimmed and a Tagore 8 unit was reclassified as held‑for‑sale ahead of its February 2026 disposal.
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Management flags continued competition and cost pressures but sees resilient demand in the Singapore electrical wholesale market, supported by network expansion and ongoing investment in income‑generating industrial properties.