Greatech’s 2Q net profit falls 46% on forex losses


PETALING JAYA: Greatech Technology Bhd’s net profit tumbled by 46% year-on-year (y-o-y) in the second quarter ended June 30, 2025 (2Q25) due to higher net foreign exchange losses.

The group’s net profit slid to RM25.93mil in 2Q25 despite a 13% y-o-y increase in its revenue to RM232.73mil, driven by the higher revenue recognised from the production line system (PLS) of the e-mobility and semiconductor sectors.

In a filing with Bursa Malaysia, Greatech stated its gross profit margin dropped to 28.04% in 2Q25 from 33.28% in 2Q24 due to its project mix and stage of execution during the reporting period.

A larger proportion of ongoing projects were in the assembly stage, which inherently accelerated direct cost recognition through heightened component procurement. This contrasts with 2Q24 where projects had progressed to a comparatively component-light commissioning stage, resulting in moderated cost absorption and correspondingly stronger margin realisation.

For the six month period ended June 30, 2025 (6M25), Greatech’s net profit declined by 22% y-o-y to RM62.84mil or earnings per share of 2.5 sen. This was also due to net foreign exchange losses, in contrast to net gains recorded in 6M24. Revenue for the period however, was up by 14% y-o-y to RM408.12mil.

Looking ahead, Greatech said despite macroeconomic volatility, its resilient business model underpinned by strong partnerships with global market leaders, continues to drive sustainable growth.

The group noted it is actively expanding into new industrial sectors, leveraging its core competencies in precision engineering, technological innovation and operational excellence. Greatech added 2Q25 also marked significant progress in its global footprint strategy with operational launches in the United States and Slovakia.

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