KUALA LUMPUR: Signature Alliance Group Bhd, a leading Malaysian interior fitting-out specialist, recorded revenue of RM479.1 million for the financial year ended Dec 31, 2025 (FY25), representing 24.1% year-on-year (YoY) increase, driven primarily by higher project billings from major commercial and institutional interior fit-out works.
Key projects completed during the year included Presint Merdeka 118 and Bandar Baru Sri Petaling, reflecting the group’s strong execution capability for large-scale, complex developments.
Profit after tax (PAT) increased 8.1% to RM43.8 million, and gross profit expanded 25.5% to RM102.6 million, with gross margins remaining stable at 21.4%, underscoring consistent cost control and execution discipline across a significantly larger revenue base.
The gap between revenue growth and PAT growth was mainly due to one-off IPO-related expenses, primarily professional fees incurred in conjunction with the group’s listing in June 2025.
These costs are not recurring. Excluding such listing expenses, the group’s underlying operational performance was materially stronger, in line with management’s expectations.
The group’s Q4 FY25 performance highlighted improving earnings quality.
Despite lower revenue of RM96.9 million due to certain projects concluding, gross margins expanded to 30.4%.
This was driven by the completion of higher-margin works and tighter project-level cost management.
This performance reinforced the group’s ability to protect margins even as the project mix evolves.
Additionally, the reported decline in earnings per share from 5.48 sen to 4.93 sen was attributed to the enlarged share base following the IPO, rather than any deterioration in earnings quality.
Group CEO Darren Chang said FY25 was a defining year for SAG.
“We executed our listing, grew the business, and maintained margin discipline at the same time. The impact of IPO-related costs on reported profits was expected and non-recurring.
“What’s more is the underlying operational performance, particularly the margin expansion seen in the fourth quarter.
“We enter 2026 with a clean balance sheet, over RM220 million in unbilled work, and a strong platform to pursue larger and more complex fit-out projects.
“Our focus remains firmly on disciplined execution, cost control, and sustainable growth,” he said in a statement.
SAG closed the year with a strong balance sheet. As of Dec 31, 2025, total cash and bank balances stood at RM150.7 million.
After accounting for borrowings, the group achieved a net cash position of RM108.1 million, representing a substantial turnaround from the net debt position of RM7.8 million recorded a year earlier.
This strong liquidity position provides financial flexibility to support ongoing project execution, capacity expansion, and selective growth initiatives, while maintaining prudent balance sheet discipline.
The group paid an interim dividend of 2.0 sen per share in November 2025, amounting to RM20.0 million — approximately 46% of FY25 PAT.
This milestone reflects the management’s confidence in the group’s cash generation capability and financial position, even as it continues to invest in future growth
As of Dec 31, 2025, the group maintained a healthy order book of approximately RM221.0 million across 84 ongoing projects, providing earnings visibility for the coming financial year.
SAG continues to actively tender for high-value commercial and institutional projects, leveraging its enhanced profile as a listed entity and its proven delivery track record.
The Sun Malaysia
