Asiatic Group has guided for a net profit after tax for the 2QFY2026 ended Sept 30.
The improvement in profitability is primarily due to several reasons, such as the improvement in gross margin in the fire protection solutions division as more revenue is derived from services that yield higher margin.
The group also experienced a foreign exchange gain recorded on US dollar denominated receivables to customers and related companies during 2QFY2026 mainly due to the slight recovery of the dollar against the Singapore dollar.
Asiatic reported a decrease in finance costs mainly due to lower interest rates incurred for loan and borrowings as a result of lower floating interest rate and decrease in loan and borrowings during the period.
It also recorded a tax refund arising from corporate income tax rebate received by the fire protection solutions division and reversal of over provision of prior year tax from the energy services division during 2QYF2026.
Shares in Asiatic closed 0.1 cents higher or 33.33% up at 0.4 cents on Nov 10.
