Last updated on August 23, 2025
Shah Alam, 21 August 2025 – Techbond Group Berhad (“Techbond” or the “Company”) (“德宝集团”), a homegrown pioneer in developing and manufacturing industrial adhesives and sealants, has today announced its fourth quarter (“4QFY25”) and full year financial results today for the period ended 30 June 2025 (“FY25”).
For FY25, the Group posted revenue of RM146.5 million compared to RM151.1 million in the previous year, mainly attributed to softer contributions from the chemical business. The appreciation of the Ringgit also affected the translation of foreign currency-denominated revenue. Notably, export sales registered growth on a constant currency basis. Industrial adhesives, sealants, and chemicals remained the primary revenue driver, contributing 94.6% or RM138.6 million to total revenue for the year under review.
The Group’s gross profit margin remained stable and healthy at 26.7% for the period ended 30 June 2025 versus 26.8% a year ago. Meanwhile, Profit after tax and non-controlling interest (“PATNCI” or “net profit”) for the year under review was RM15.9 million, versus RM16.4 million in the preceding year, largely due to the aforementioned impact from the translation of foreign currency-denominated revenue.
Chief Executive Officer of Techbond, Mr. Lee Seh Meng (李至民) said, “Moving forward, macroeconomic uncertainties are anticipated to remain elevated, driven by heightened trade policy tensions following the implementation of reciprocal tariffs by the United States, which have disrupted global supply chains and dampened investor confidence. For us at Techbond, the long-term outlook of the Group continues to be positive as we uphold our measured yet progressive approach, balancing risk management with our strategic initiatives in response to the evolving market conditions.”
“Our efforts to strengthen our overseas presence have begun to yield encouraging results, with several markets we entered in recent years gaining healthy traction. Building on this momentum, we are allocating additional resources to scale export sales. In Vietnam, we are tapping into new regions and capitalized on emerging opportunities, securing new customers for the upstream polymerization segment while also exploring the potential to introduce this offering to other markets.”
“All in all, our business fundamentals remain resilient, underpinned by healthy margins and a robust balance sheet with net cash position. The Board opines that the financial performance in the upcoming financial year (FY26) will be satisfactory, barring any unforeseen circumstances.” Mr. Lee concluded.
For the current quarter under review, the Group recorded revenue of RM34.1 million compared to RM38.5 million in the corresponding quarter of the previous year (“4QFY24”). This was primarily due to softer contributions from the chemical business as it was affected by the Putra Heights pipeline fire.
Sequentially, PBT for 4QFY25 came in at RM3.6 million versus RM6.0 million in the previous year’s corresponding quarter. This was chiefly attributed to the lower sales achieved by the chemical business due to the gas supply disruption coupled with higher operating costs arising from the sourcing of alternative fuel.
The current quarter’s PBT included an unrealized foreign exchange loss of RM1.3 million, compared to an unrealized foreign exchange gain of RM0.6 million in 4QFY24. Consequently, net profit was RM3.0 million, versus RM4.9 million in the same quarter last year, mainly due to the aforementioned factors.
On dividend, Techbond declared a total dividend of 1.0 sen per share or RM6.8 million for FY25, translating to a dividend payout ratio of 43.0% based on RM15.9 million net profit. The Group has a dividend policy of up to 30% of net profit.
Techbond’s balance sheet remains strong, with a net cash position as at 30 June 2025 backed by net assets per share of RM0.37. The Group’s cash and bank balances stood at RM112.1 million, significantly exceeding total loans and borrowings of RM5.7 million.
