Santak Holdings Limited FY2025 Financial Results: Revenue Down 10%, No Dividend Declared for 2025

Santak Holdings Limited (FY2025) – Financial Analysis & Investor Insights

Santak Holdings Limited, a Singapore-based firm listed on the Catalist Board, has released its unaudited financial results for the year ended 30 June 2025. The Group operates primarily in precision engineering and the trading/distribution of electronic, electrical, and mechanical components, with investment holding and management services as a third segment. Below is a detailed analysis of their performance and outlook based solely on the official report.

Key Financial Metrics: Quarter-on-Quarter (QoQ) & Year-on-Year (YoY) Comparison

Metric	6M Ended Jun 2025	6M Ended Dec 2024	6M Ended Jun 2024	YoY Change	QoQ Change
Revenue (S\$’000)	3,311	4,054	3,408	-2.8%	-18.3%
Gross Loss (S\$’000)	(187)	(125)	(291)	-35.7%	+49.6%
Loss After Tax (S\$’000)	(1,256)	(1,134)	(1,256)	0.0%	+10.8%
EPS (Basic/Diluted, Cents)	(1.17)	(1.05)	(1.17)	0.0%	+11.4%
Dividend/Share	0.00	0.00	0.00	No Change	No Change

Full-Year Performance Overview

Metric	FY2025	FY2024	YoY Change
Revenue (S\$’000)	7,365	8,182	-10.0%
Gross Loss (S\$’000)	(312)	(595)	-47.6%
Loss After Tax (S\$’000)	(2,390)	(2,717)	-12.0%
EPS (Basic/Diluted, Cents)	(2.22)	(2.53)	+12.3%
Net Asset Value/Share (cents)	6.92	9.03	-23.4%
Dividend/Share	0.00	0.00	No Change

Segmental Highlights

Trading & Distribution: Revenue dropped sharply by 19.9% YoY due to lower demand in the security/access control systems segment. This segment contributed S\$3.99 million in FY2025, down from S\$4.98 million last year.
Precision Engineering: This segment saw a modest 5.4% revenue increase to S\$3.38 million, attributed to higher demand in the computer/server data storage market.
Gross Margin: The Group’s negative gross margin improved from -7.3% in FY2024 to -4.2% in FY2025, mainly from higher utilization and improved production in Precision Engineering. However, margins remain negative due to low overall turnover and lack of scale.

Cash Flow, Assets & Liabilities

Cash and Equivalents: Fell from S\$5.37 million to S\$3.62 million, reflecting higher net cash used in operations due to lower working capital inflows.
Inventories and Receivables: Inventories decreased by S\$0.34 million due to lower production, while receivables fell by S\$0.18 million in line with revenue.
Lease Liabilities: Increased by S\$0.30 million due to renewal/extension of operating leases for the Singapore premises.

Dividend Policy

No dividend was declared for FY2025 or the prior year. Management explained this is to conserve cash for working capital and capital expenditure needs.

Directors’ Remuneration

Management personnel compensation (including directors) totaled S\$1.11 million for FY2025, marginally higher than S\$1.07 million in FY2024.

Related-Party Transactions

No material related-party transactions were reported for FY2025. No general mandate for interested person transactions has been obtained.

Exceptional Items & Expenses

No exceptional earnings or expenses were highlighted. Other expenses, mainly foreign exchange losses, decreased slightly year-over-year.

Outlook & Competitive Environment

The Board notes ongoing challenges and competitive pressures in both core segments, citing a “demanding and competitive” market for FY2026.
The Group will continue to focus on marketing and cost control, and seek growth opportunities when available.

Chairman’s Statement

“The market in which the Group operates remains demanding and competitive going forward in the current financial year ending 30 June 2026 (“FY2026”) in view of the challenging and volatile economic environment. The Group will continue its marketing and cost controls efforts of the Group’s operations. The Board and the Management will continue to seek opportunities which offer potential growth for the Group and enhancement of value for the Shareholders as and when appropriate.”

Tone: Neutral to cautious. The Chairman acknowledges challenges and outlines a defensive, cost-focused strategy with an openness to new opportunities.

Conclusion & Investor Recommendations

Overall Financial Strength: The Group remains in a loss-making position for the second consecutive year, though losses have narrowed and gross margin has improved. Revenue is still declining, especially in the Trading & Distribution segment. Cash reserves are adequate but trending downwards due to operational outflows. No dividend is offered, and the competitive environment remains tough.

If you currently hold Santak Holdings shares: This is a turnaround candidate, but risks remain elevated. Management is focused on stability and cost control rather than aggressive growth. If you are a long-term investor tolerant of continued losses and no dividend, consider holding cautiously while monitoring for signs of improvement in trading volumes or margin recovery.
If you do not currently hold shares: The stock is likely to remain under pressure until profitability is restored or new growth drivers emerge. Consider waiting on the sidelines until there is clearer evidence of turnaround or a return to positive operational cash flow and margins.

Disclaimer: This analysis is strictly based on the company’s published financials as of 30 June 2025. It does not constitute a solicitation or personal financial advice. Investors should consider their own risk profile and seek independent advice before making investment decisions.