AM Group (01849) reported FY2025 revenue of S$25.07 million, down 30.5% year-on-year, primarily due to the removal of the online e-commerce platform operation segment following the loss of control over Majestic State International Limited (MSIL).
Gross profit declined 25.1% to S$6.60 million, yet the gross margin improved 1.9 percentage points to 26.3% as the lower-margin e-commerce segment was deconsolidated.
Loss attributable to owners narrowed sharply to S$2.99 million from S$29.99 million a year earlier, when the Group booked a S$26.12 million loss on MSIL deconsolidation and a S$2.65 million impairment on amounts due from MSIL.
Segment performance • Search engine marketing services rose 7.9% to S$21.60 million, accounting for 86.1% of total revenue. • Creative and technology services grew 7.5% to S$2.27 million. • Social media marketing services fell 22.6% to S$1.20 million. • Revenue from the deconsolidated e-commerce platform was nil (FY2024: S$12.39 million).
Cost of services dropped 32.2% to S$18.48 million, mirroring the revenue contraction. Impairment losses on receivables decreased 77.8% to S$0.58 million. Finance costs fell 57.5% to S$0.07 million.
Balance sheet highlights (30 June 2025) • Cash and cash equivalents: S$9.03 million (30 June 2024: S$11.59 million). • Net current assets: S$2.14 million (30 June 2024: S$4.53 million). • Net assets: S$4.96 million (30 June 2024: S$7.66 million). • Investment property: S$2.68 million, pledged against S$1.48 million of bank borrowings. • Gearing ratio increased to 29.8% from 20.8% due to lower equity.
No final dividend was recommended.
Auditor’s view HLB Hodgson Impey Cheng Limited issued a disclaimer of opinion, citing insufficient access to MSIL’s books, uncertainty over the timing of loss of control, and the inability to verify the deconsolidation figures.
Post-balance-sheet event On 9 March 2026 the Board appointed Kroll (HK) Limited as liquidator of MSIL’s holding company, formally placing the Majestic Group into liquidation.
Management outlook The Group plans to focus on emerging advertising platforms and invest in technology to bolster productivity amid ongoing macro-economic headwinds.