Nexion Technologies Limited (“Nexion Tech”) reported a solid first half for the six months ended 30 June 2026 (“1H26”), driven by expanded cyber-security and IT software-development projects in Hong Kong, Malaysia and Singapore.
Revenue climbed 68.60 % year on year to HK$13.41 million, supported by (i) new digital-transformation mandates across Singapore’s community-care and healthcare sectors, (ii) initial contracts secured under a two-year strategic cooperation with a Malaysian cloud-hosting provider for GPU services, and (iii) additional projects sourced via a partnership with a major Malaysian accounting-software vendor.
Cost dynamics shifted with a 61.74 % drop in cost of inventories sold to HK$1.53 million, reflecting fewer hardware purchases, while cost of services surged to HK$5.72 million (1H25: HK$0.07 million) as subcontracting expenses increased in tandem with larger project volumes.
Operating expenses were broadly stable: • Staff costs rose 9.60 % to HK$3.15 million, mainly on higher average salaries. • General and administrative expenses inched up 3.40 % to HK$1.49 million, underscoring ongoing cost control. • Depreciation and amortisation expanded to HK$1.18 million after new internally-developed technologies came on stream.
Nexion Tech recorded a net profit of HK$0.23 million, a turnaround from the HK$1.34 million loss a year earlier. Adjusted EBITDA for the continuing cyber-security and IT software-development segment improved to HK$2.47 million (1H25: HK$0.63 million).
The balance sheet remained debt-free. Cash and bank balances increased to HK$8.10 million at 30 June 2026 (31 December 2025: HK$7.27 million), while total liabilities fell to HK$4.97 million from HK$10.10 million, lifting net current assets to HK$6.87 million.
Management reiterated its focus on: • Deepening penetration in Singapore’s community-care and healthcare markets with its Visitor Management System (VMS) and Senior Care Management System (SCMS). • Scaling GPU hosting and AI-driven software projects under its Malaysian cloud partnership. • Leveraging the accounting-software alliance to cross-sell security, hosting and networking solutions, particularly amid Malaysia’s ongoing e-invoicing rollout.
No interim dividend was declared for 1H26.
Nexion Tech intends to sustain growth by expanding its digital-transformation offerings, enhancing operational efficiency through AI tools and pursuing new market opportunities while maintaining a prudent treasury policy and debt-free capital structure.
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