Hafary Holdings Ltd on Friday reported a net profit of S$31.05 million for the year ended Dec 31 2025, up 8.2 % year-on-year, supported by higher sales in its Singapore retail channel and a ramp-up of its Malaysian manufacturing output.
Basic and diluted earnings per share rose to 6.94 Singapore cents from 6.40 cents a year earlier. The board declared four cash dividends during the year—two interim payouts of 0.75 Singapore cent each and two special interim dividends totalling 1.25 cents—matching the aggregate 2.75-cent distribution declared for FY2024. Payment dates for the fourth-quarter distributions will be announced later.
Group revenue increased 9.1 % YoY to S$286.99 million. The General segment, which serves homeowners and renovation firms, remained the largest contributor with sales of S$142.70 million, up 4.0 %. Project revenue edged 2.2 % higher to S$81.24 million, aided by the consolidation of newly acquired MML Shanghai. Manufacturing turnover jumped 35.6 % to S$63.05 million as production volumes in Malaysia continued to scale up, although the segment posted a pre-tax loss of S$7.55 million. Pre-tax earnings from the General and Project divisions reached S$29.85 million and S$13.97 million respectively, more than offsetting losses in Manufacturing and lifting group pre-tax profit to S$38.80 million, 5.1 % higher YoY.
Gross profit margin improved to 41.1 % from 40.3 %, reflecting favourable product mix and moderated input costs. Finance costs fell 12.0 % to S$10.72 million as borrowing rates eased. Other income declined by S$3.63 million due to the absence of a one-off S$3.76 million gain on disposal of an investment property booked in FY2024.
The balance sheet strengthened, with net gearing reduced as total loans and borrowings fell to S$256.81 million from S$275.91 million. Operating cash flow before working-capital changes was S$65.23 million; free cash flow turned positive at S$46.97 million after S$11.79 million in capital expenditure.
Looking ahead, management pointed to a resilient construction pipeline in Singapore—supported by public housing projects, infrastructure works and integrated-resort expansions—and steady domestic demand in Malaysia as key demand drivers. The group said it will “remain committed to weathering the challenging business environment” and continue to monitor supply-chain conditions while pursuing growth in regional markets and scaling its manufacturing capacity.