MOG Digitech Posts FY 2025 Revenue of RMB 839.37 Million; Net Loss Narrows to RMB 90.38 Million After Impairment Cuts

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MOG Digitech (HK: 01942) released a revised set of results for the year ended 31 December 2025, correcting clerical errors in its earlier 31 March 2026 filing and confirming a smaller annual loss alongside a steep revenue decline.

Revenue and Profitability • Full-year revenue fell 33.0 % to RMB 839.37 million, driven primarily by a 48.2 % slide in digital payment solutions turnover to RMB 522.28 million. • Gross profit rose 5.0 % to RMB 165.79 million as the overall margin expanded to 19.8 % (FY 2024: 12.6 %), reflecting a lower contribution from the lower-margin digital payment segment. • The Group reported a net loss attributable to shareholders of RMB 89.04 million, a marked improvement on the RMB 143.22 million loss in FY 2024. Basic and diluted loss per share narrowed to RMB 0.07 from RMB 0.18.

Segment Performance • Digital payment solutions remained the largest revenue driver at RMB 522.28 million, despite intensified competition in mainland China. • Optical product retail, franchise and licence management contributed RMB 191.39 million, up 9.9 % on increased franchise and licensing income in Malaysia. • E-commerce revenue almost doubled to RMB 108.68 million following the rollout of a welfare-card initiative. • Financing services and money-lending revenue slipped 47.8 % to RMB 17.03 million.

Expense & Impairment Trends • Administrative expenses rose 50.6 % to RMB 109.16 million, reflecting higher consultancy, technology development and head-count costs. • Aggregate impairment charges on assets fell to RMB 52.20 million (FY 2024: RMB 141.29 million), mainly due to the absence of prior-year goodwill and intangible write-downs. • Finance costs declined to RMB 2.23 million following lower interest-bearing borrowings.

Balance Sheet Highlights • Cash and bank balances (including fixed deposits) increased to RMB 152.14 million (31 December 2024: RMB 90.45 million). • Net assets improved to RMB 808.65 million from RMB 624.48 million after two equity placings and a share subscription that raised a combined HK$398.78 million during 2024-2025. • Gearing ratio eased to 0.05× (2024 year-end: 0.07×); current ratio strengthened to 5.1× from 3.8×.

Capital Moves and Investments • February 2025: Issued 212.12 million new shares via a HK$0.99 subscription, raising net proceeds of HK$209.88 million, mainly for financing and money-lending expansion. • July 2025: Placed 228.71 million new shares at HK$0.475, netting HK$107.45 million to fund insurance and fintech initiatives; HK$4.52 million remains unutilised. • August 2025: Disposed of 13 Malaysian subsidiaries for RM 12.10 million (RMB 37.40 million), booking an RMB 8.45 million gain. • August 2025: Subscribed US$6.00 million (RMB 42.01 million) for a 5.09 % stake in KUN International Group, recognised as FVOCI.

Outlook Management intends to deepen its insurance and fintech push, broaden e-commerce and financing service offerings, and pursue selective acquisitions aligned with digital-payment growth plans. The board has proposed no final dividend for FY 2025.

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