IMS Group (IMS Group Holdings Limited) released audited results for the year ended 31 March 2026.

Revenue declined 20.6% year-on-year to HK$54.50 million, driven mainly by an 80.0% drop in integrated LED lighting solution projects and a 14.1% decrease in LED lighting fixture sales.

Cost of sales fell 17.9% to HK$24.73 million, but gross profit still retreated 22.6% to HK$29.77 million. Gross margin slipped to 54.6% from 56.1% a year earlier.

After recognising a HK$1.01 million impairment on machinery, a HK$0.15 million revaluation deficit from property transfers and a HK$0.04 million fair-value loss on investment properties, operating profit contracted to HK$0.28 million (FY2025: HK$10.92 million).

The group recorded a net loss attributable to shareholders of HK$0.41 million, compared with a HK$9.43 million profit in FY2025. Basic and diluted loss per share were HK0.04 cent (FY2025 EPS: HK0.94 cent). No dividend was declared.

Segmentally, all revenue came from the “sales, consultation and maintenance services” unit, which contributed HK$54.50 million and segment profit of HK$29.08 million. The property investment segment reported a HK$0.19 million loss.

Geographically, the Mainland China market generated HK$32.68 million, representing 60.0% of total sales, followed by Asia ex-China and Hong Kong at HK$14.24 million and Hong Kong at HK$7.28 million.

Total assets stood at HK$113.51 million and net assets at HK$101.40 million. Cash and bank balances amounted to HK$83.94 million with no bank borrowings, leaving the gearing ratio at zero. The current ratio improved to 8.4 (FY2025: 7.3).

Capital expenditure during the year totalled HK$4.40 million, while outstanding capital commitments were HK$4.16 million.

Management cited reduced project budgets from luxury-brand clients in China and smaller contract sums as key reasons for the revenue contraction. Looking ahead, the company will continue to focus on its core LED lighting business and seek new customers across Asia.