Stronger revenue from engineering, rail businesses lifts AWC top line


PETALING JAYA: AWC Bhd reported a lower net profit in the fourth quarter ended June 30, 2025 (4Q25), following reduced contributions from its facilities, environment, rail and investment holding segments.

The engineering segment was the only one that delivered a higher profit year-on-year (y-o-y) in the final quarter.

In a filing with Bursa Malaysia, AWC said its 4Q25 net profit fell by 4.6% y-o-y to RM6.66mil, although revenue rose 2.4% to RM104.37mil.

The stronger revenue from the engineering and rail businesses lifted AWC’s overall top line, offsetting the impact of reduced revenue from the other segments.

The group said the increase from the engineering division was mainly attributable to higher project progress from the plumbing segment.

Meanwhile, the increase from the rail division was driven by higher order fulfillment and project deliverables in the current quarter.

Earnings per share for the quarter under review dipped to 2.05 sen.

A dividend of 0.5 sen was declared for the quarter.

This brings total dividends for financial year 2025 (FY25) to 1.25 sen per share.

Cumulatively, for FY25, AWC reported an all-time high revenue of RM414.1mil, which increased 3.8% y-o-y.

This was predominantly owing to higher order fulfilment and project deliverables within the rail division.

It is also noteworthy to mention that this is the first time AWC’s top line surpassed the RM400mil-mark.

Meanwhile, AWC’s net profit jumped 26.1% y-o-y to RM24.9mil.

This was attributed to the full year consolidation of the environment division’s earnings.

FY24 net profit included a reversal of impairment on contract assets amounting RM3.2mil.

Excluding this, FY25 net profit growth would have been even higher at 50.9% y-o-y, which better reflects the underlying operational improvement.

Looking ahead, AWC remains cautiously optimistic for its upcoming FY26 financial outlook, poised by a strong balance sheet and healthy order book of RM597mil.

This provides clear earnings visibility and continued positive performance for the group despite ongoing macroeconomic challenges globally.

Moving forward, the company’s rail division will continue to actively pursue rail-related projects and procurement opportunities both domestically and regionally.

AWC’s shares dropped 1.85% lower to close at 53 sen yesterday.

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