SIGNATURE International Bhd, a Main Market-listed integrated home and living solutions provider, has delivered its highest-ever top-line performance in its FY2025.
The group’s revenue for the 12-month ended Dec 31, 2025 edged up 9.8% year-on-year (yoy) to RM967.38 mil (FY2024: RM 881,25 mil) with growth driven by its Interior Fit-Out Works segment which surged 23.4% to RM478.4 mil.
Despite a challenging cost environment that compressed overall gross margins, core profitability remained highly resilient.
The group’s pre-tax profit for the period under review was slightly down at RM149.4 mil (FY2024: RM155.97 mil) while its net earnings was firmly sustained at RM83.85 mil (FY2024: RM84.84 mil) which translates to healthy basic earnings per share of 13.0 sen.
“FY2025 tested our operational discipline. We grew our top line to nearly RM1 bil by successfully executing major commercial projects and capturing sustained demand in Singapore,” commented Signature International’s group CEO K.S. Lau.
“More importantly, we strengthened our balance sheet considerably. Total borrowings came down 13% while cash reserves grew 37%. This financial position gives us a distinct advantage as we navigate market uncertainties and execute our RM1.28 bil order book.”
Editor’s Note: Mercury Securities Research has assigned a fair value (FV) of RM1.615 on Signature International which implies an approximate 18% upside from its current share price of RM1.37.
Viewing the group as strategically positioned to capture shifting demand within the Southeast Asian property landscape, the research house is bullish on Signature’s diversified revenue base that combines Singapore dollar-denominated earnings resilience and high-growth exposure to Malaysia’s premium commercial and residential sectors.
Sizeable order book
All in all, the Interior Fit-Out Works segment acted as the group’s primary growth engine with revenue having jumped 23.4% to RM478.4 mil, thus lifting segment pre-tax profit by 9.4% to RM61.1 mil.
This out-performance was anchored by major commercial office projects, notably Presint Merdeka 118 and Bandar Baru Sri Petaling.
The Corten brand (kitchen and wardrobe systems) remained the group’s highest-margin contributor.
Revenue held steady at RM277.5 mil although segment pre-tax profit eased by 16.7% to RM73.7 mil from RM88.5 mil in the prior year amid margin normalisation.
As it is, Corten commands the group’s highest margins, driven by strong pricing power and sustained demand in the Singapore market.
The Signature brand (kitchen and wardrobe systems) recorded revenue of RM211.4 mil with segment pre-tax profit experienced a contraction to RM2.3 mil. This compression resulted from strategic investments in marketing expenditure and higher asset utilisation costs which offset staff cost optimisation efforts.
In essence, Signature International exits FY2025 with a strengthened balance sheet. Its total borrowings were reduced by 13.2% to RM257.3 mil while cash reserves shot up 37% to RM202.7 mil. Net debt fell 63.4% to RM54.6 mil.
The Board has declared a fourth interim dividend of 1.75 sen/share payable on 15 April 2026, bringing the total FY2025 dividend to 4.75 sen – a payout ratio of approximately 36.5% of PATAMI.
As of end-December 2025, the group’s order book stood at RM1.28 bil comprising RM825 mil under Corten, RM333 mil (Signature) and RM124 mil (Interior Fit-Out Works).
“The management is optimistic that revenue and profit will improve in FY2026 on the back of this order book size with a continued focus on margin discipline and timely project delivery,” added Lau.
At 3.38pm, Signature International was down 1 sen or 0.72% to RM1.37 with 504,800 shares traded, thus valuing the company at RM884 mil. – Feb 26, 2026
