Micro-Mechanics (Holdings) Ltd. (5DD) has released written answers to substantial and relevant questions from shareholders before its annual general meeting, which will be held on Oct, 30 2025.

For the financial year ended Jun, 30 2025, group revenue climbed 12.6 % year on year to 65.2 million Singapore dollars, while the gross profit margin widened to 49.4 % from 47.0 % in the previous year. EBITDA margin reached 34.9 % and return on equity stood at 25.2 %.

The consumable tools division posted a 9.8 % rise in segment profit to 12.4 million Singapore dollars, and the wafer-fabrication equipment (WFE) segment turned fully profitable with 1.2 million Singapore dollars in earnings. Sales in Malaysia grew 28.5 % to 12.1 million Singapore dollars, supported by rapid order fulfilment, and revenue in the United States advanced 25.2 % to 14.6 million Singapore dollars following the restructuring of the firm’s US unit in FY2024.

Cost discipline remained a focus; administrative, distribution and other operating expenses (net of other income) fell to 24.3 % of revenue, while inventory dropped to 4.8 % of annualised sales. Efficiency gains in elastomer manufacturing—representing 29.6 % of group revenue—also contributed to margin improvement.

Capital expenditure totalled about 1.2 million Singapore dollars in FY2025, including 0.7 million Singapore dollars for new machinery and accessories and 0.4 million Singapore dollars for IT investments. For FY2026 the company plans to direct capex toward expanding production capacity and enhancing localised capabilities across its five factories as semiconductor supply chains regionalise. The board reiterated its dividend policy of paying at least 40 % of annual after-tax earnings; cumulative dividends since listing now stand at 134.9 Singapore cents per share, underpinning a total shareholder return exceeding 3,000 %.

Looking ahead, Micro-Mechanics cited World Semiconductor Trade Statistics projections for a 9.9 % rise in the global semiconductor market to 800 billion US dollars in 2026. Management said it is “cautiously optimistic” and will continue executing its Five-Star Factory initiative to drive operational excellence, innovation and customer support while maintaining prudent cost control.