Kuala Lumpur, 18 September 2025 — KESM Industries Berhad, the world’s largest independent provider of burn-in and test services for semiconductors, has reported a turnaround in its final quarter of FY2025, breaking a string of losses and closing the year on a firmer footing despite overall weaker revenue.
For the financial year ended 31 July 2025, KESM recorded revenue of RM210.5 million, down 13% from RM243 million in FY2024. The group posted a net loss of RM8.2 million, compared with a modest net profit of RM0.2 million a year earlier. The downturn reflected softer global semiconductor demand across much of the year.
However, after four consecutive quarters of red ink, the group returned to the black in the fourth quarter, supported by tighter cost controls and operational realignment. KESM said it achieved a 10% reduction in total costs, aligning its spending with market realities while preserving readiness for future demand.
“FY2025 tested the strength and adaptability of our team,” said Chief Executive Officer Mr. Lim. “Despite the challenges, decisive management actions — from tighter cost discipline to efficiency improvements — allowed us to end the year on a stronger note. The positive fourth quarter shows that our strategy is working, and we are ready to capture new opportunities as the market improves.”
The outlook for semiconductors remains encouraging. Global industry sales are projected to expand from USD700 billion in 2025 to USD1 trillion by 2030, led by the surge in AI-driven devices and supporting technologies, including memory, power management ICs, and connectivity chips. KESM sees this growth as a major tailwind, particularly in testing solutions for high-performance data centre and automotive applications.
Positioning itself for the upcycle, the company said it will continue to leverage its stronger operational base, proven cost discipline, and innovation in testing technologies to rebuild profitability and secure long-term growth.
