TEHO International Inc Ltd. FY2025 Financial Results: Revenue Growth, Profit Surge, and S$0.001 Final Dividend Declared 31

TEHO International Inc Ltd.: FY2025 Financial Review and Investment Outlook

TEHO International Inc Ltd. released its unaudited condensed interim consolidated financial statements for the six months and full year ended 30 June 2025. The company, listed on the Singapore Exchange Catalist board, operates mainly in the marine and offshore industry, with additional segments in water and environmental treatment, engineering, real estate development, and consultancy services. This article analyzes the key financial metrics, performance trends, dividends, and notable developments for investors.

Key Financial Metrics

Revenue (FY2025): S\$64.47 million (+6.7% YoY)
Gross Profit (FY2025): S\$23.38 million (+3.9% YoY)
Profit After Tax (FY2025): S\$1.46 million (+62.3% YoY)
Earnings Per Share (FY2025): 0.62 cents (+63.2% YoY)
Net Asset Value per Share: 10.57 cents (FY2025), up from 10.03 cents (FY2024)
Dividend Declared: S\$0.001 per ordinary share, unchanged from previous year

Quarter-over-Quarter and Year-over-Year Comparison

Metric	2HY2025	1HY2025	2HY2024	YoY Change	QoQ Change
Revenue (S\$)	32,348,228	32,119,415	32,224,094	+0.4%	+0.7%
Gross Profit (S\$)	11,463,607	11,920,568	11,879,048	-3.5%	-3.8%
Profit After Tax (S\$)	365,634	1,095,056	793,091	-53.9%	-66.6%
EPS (cents)	0.16	0.46	0.34	-52.9%	-65.2%
Dividend per Share (cents)	0.1 (final)	–	0.1 (final)	0%	N/A

Historical Performance Trends

TEHO International has demonstrated steady revenue growth over the past year, with FY2025 revenue rising 6.7% to S\$64.47 million. The Marine & Offshore segment remains the primary growth driver, supported by orders from newly-built vessels. However, gross profit margin declined from 37.3% to 36.1%, indicating increased competitive pressures and lower margins in core businesses. Profit after tax surged 62.3% year-on-year, mainly due to lower tax expense and improved cost control.

Exceptional Earnings and Expenses

Gain on disposal: Other operating income was boosted in 2HY2025 by disposal of property, plant, and equipment, but overall operating income for the year was lower due to the absence of a gain on asset held for sale recognized in FY2024.
Fair value loss on derivatives: Decreased to S\$28,012 in FY2025 from S\$60,954 in FY2024.
Depreciation: Reduced to S\$1.87 million in FY2025 from S\$1.98 million the previous year.

Dividends

TEHO maintained its final dividend at S\$0.001 per share, unchanged from the previous year. This is in line with stable payout policies, reflecting cautious optimism amid improved profitability but continued margin pressure.

Chairman’s Statement

“Amid recent global economic developments, including continued trade tensions, new trade tariffs and signs of slowing growth in major economies, the Group maintains a cautious outlook for the next twelve months. Rising costs, persistent inflation, and uncertainties in global trade and supply chains continue to pose challenges. Despite our improved results in FY2025 compared to FY2024, we remain prudent and will continue to focus on cost control and operational efficiencies to ensure the sustainability of our businesses.”

The Chairman’s statement adopts a cautious but pragmatic tone, emphasizing the need for cost controls and operational efficiency in response to macroeconomic uncertainties.

Related-Party Transactions

Rental paid to Asdev Investments Pte. Ltd.: S\$316,800 for FY2025. The CEO is the sole shareholder of Asdev, indicating related-party transactions are present but disclosed.

Directors’ Remuneration

Salaries and short-term employee benefits to key management: S\$2.06 million for FY2025 (down from S\$2.37 million in FY2024).
Directors’ fees: S\$170,000 for FY2025 (up from S\$160,000 in FY2024).

Significant Events and Outlook

Asset acquisition: S\$4.7 million spent on property, plant, and equipment, partially funded via new loans, notably for warehousing in Korea.
Loan financing: Non-current liabilities rose by S\$1 million due to new loan for warehousing facility in Korea.
No share buybacks, placements, or treasury shares: Share capital unchanged at 235,424,614 shares.
No forecasts or prospect statements disclosed.
No adverse audit opinions, legal disputes, or asset revaluations reported.

Conclusion and Investment Recommendations

TEHO International’s FY2025 results show moderate revenue growth and a strong rebound in profitability, despite margin compression and competitive pressures. The Group’s prudent approach, focus on operational efficiency, and stable dividend policy provide some comfort amid global uncertainties. The outlook remains cautious, with management warning of macroeconomic headwinds, rising costs, and supply chain risks.

If you are currently holding TEHO shares: Consider maintaining your position, given the company’s solid balance sheet, improving net profit, and stable dividend. However, monitor quarterly margins and segment performance closely for signs of further pressure or volatility.
If you are not currently holding TEHO shares: A wait-and-see approach may be prudent. While the Group’s profitability is improving, margins are under pressure and the macro outlook remains uncertain. Investors may wish to look for evidence of sustainable margin improvement or new growth drivers before entering.

Disclaimer: This analysis is based strictly on the contents of the company’s published financial report and should not be construed as investment advice. Investors should conduct their own due diligence and consider their own financial situation and risk tolerance before making any investment decision.