Manufacturing services provider Aztech Global (SGX:8AZ
) has reported earnings of $4.0 million for 1QFY2026, ended March 31, up 166.7% y-o-y. The higher earnings were supported by a gain of $3.1 million from the sale of its property in Dongguan, China in the quarter, offset by lower interest income and unrealised foreign exchange loss.
Revenue in the same period was up 54% y-o-y to $64.7 million, driven by increased demand for IoT devices and data-communication products from existing and new customers. Meanwhile, EBITDA stood at 9.3% of its 1QFY2026’s revenue.
As at March 31, 2026, net cash generated from operating activities stood at $11.1 million, compared to $18.6 million a year ago. The lower figure was driven by working capital movements arising from an increase in payment to suppliers to secure materials for customer orders.
Meanwhile, Aztech Global secured six new project orders and added two new customers in the security and renewable energy segments in this quarter. Across the same period, six new project orders commenced commercial production.
Aztech Global explains that the project wins and new product introduction (NPI) progress will help support its customer and revenue diversification in the medium term.
Looking ahead, Aztech Global expects macroeconomic and geopolitical uncertainties to weigh on demand amid ongoing cost pressures.
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“Against this backdrop, we will remain focused on progressing its NPI pipeline towards commercial production and securing new project orders from the MedTech and renewable energy segments,” the company states.
“Our focus remains on manufacturing excellence and being agile, while we continue with disciplined cost management and broadening of customer base to support long-term growth,” says Michael Mun, executive chairman and CEO of Aztech Global.
Shares of Aztech Global closed 2 cents higher, or 2.34% up at 87.5 cents on April 28.
