Unity Enterprise Holdings Limited (UNITY ENT) released FY25 results to 31 Dec 2025, marked by strong top-line expansion driven by recent acquisitions but a widened bottom-line loss after sizeable non-cash charges.
Key financials • Revenue rose 38.4% to HK$209.67 million, supported by first-time consolidation of Suntec Construction & Engineering and Newco Construction Engineering. • Gross profit swung to HK$3.23 million from a HK$1.46 million loss a year earlier; gross margin improved to 1.5%. • Loss attributable to owners increased to HK$54.85 million (FY24: HK$27.00 million) after: – HK$30.95 million expected-credit-loss provisions on trade receivables and contract assets. – HK$19.47 million impairment on goodwill arising from the Wonder Group acquisition. • Basic loss per share widened to HK38.1 cents (FY24: HK24.1 cents, restated). • No dividend proposed.
Operating highlights • RMAA works contributed HK$201.99 million (96% of revenue); distributorship of building materials HK$2.72 million; EV advising & installation HK$4.96 million. • 86 projects in hand with backlog valued at HK$234.40 million (31 Dec 2024: HK$185.20 million, 9 projects). • Three major customers accounted for HK$145.63 million, or 69% of revenue.
Balance-sheet snapshot • Cash and bank balances: HK$13.04 million (FY24: HK$9.68 million). • Promissory notes issued for acquisitions: HK$56.46 million; bank borrowings: HK$6.05 million. • Net current assets fell to HK$11.18 million (FY24: HK$100.98 million); gearing ratio jumped to 69.2% on new promissory notes. • Total equity declined to HK$90.27 million from HK$120.88 million.
Strategic developments • Completed acquisitions of Suntec (January 2025) and Newco (November 2025), adding technical licences, scale and cost synergies; both carry three-year, HK$15 million aggregate profit guarantees. • Management cites bulk-purchase savings and eligibility for larger tenders as immediate benefits. • Proposed amendments to the Articles of Association aim to enable electronic communication, hybrid meetings and other paperless-listing measures; shareholders to vote at the 18 June 2026 AGM.
Outlook Management expects steady demand for RMAA works under Hong Kong’s Mandatory Building Inspection Scheme and government subsidy programmes. Enlarged scale and expanded technical capacity are expected to facilitate bidding for higher-value projects, though credit-risk management remains a focus after elevated impairment charges in FY25.