XMH Holdings : BQF +2.08% chairman and managing director Tan Tin Yeow has continued to add to his interests, acquiring 96,900 shares at an average price of S$0.698 per share on Feb 12 and 13.

 

This brings his total interest from 64 per cent to 64.09 per cent. Tan has gradually increased his total interest from 41.27 per cent in July 2022.

 

As a provider of propulsion and power-generation products, XMH Holdings operates through three main segments: distribution, after-sales, and projects.

 

The distribution segment handles propulsion engines, the after-sales segment provides services and spare parts, and the projects segment focuses on power generator sets.

 

The group&rsquo s origins date back to 1955, when it began as a small machinery-repair and maintenance shop in Kitchener Road.

 

XMH Holdings was removed from the SGX watch list on Nov 15, 2024, and reported its results for the first half of FY2025 (ended Oct 31) on Dec 12, 2024.

 

For H1, the company attributed S$44.6 million of its revenue to Indonesia, which was the highest from among all its geographical markets.

 

Since reporting the results for the six months, Tan has increased his total interest from 63.59 per cent.

 

He has overall responsibility over the group, including over strategy formulation, corporate planning, business development, and potential acquisitions.

 

He also established the distribution arm and secured exclusive distributorships for the group, and has more than 30 years of experience in the marine and industrial diesel engines industry.

XMH Holdings chairman and managing director Tan Tin Yeow has continued to add to his interests, acquiring 212,500 shares since the company posted its H1 FY2025 (ended Oct 31) financial results on Dec 12. 

 

The group reported that gross profit for H1 FY2025 (ended Oct 31) was S$24.3 million, up 8.1 per cent from H1 FY2024. The gross profit margin increased to 36.3 per cent from 31.6 per cent, driven by higher margins in the distribution and after-sales segments due to increased demand for engines and spare parts, and better margins in recent project awards.

 

Of the total S$66.9 million H1 FY2025 revenue, S$39.5 million was attributed to the distribution segment in Indonesia.

 

A positive turnaround in write-backs on financial assets and net foreign exchange gains led to a 58.3 per cent increase in H1 FY2025 results from operating activities, reaching S$16.2 million.

 

Consequently, profit after tax for H1 FY2025 rose by 94.9 per cent from H1 FY2024 to S$12.6 million.

 

XMH Holdings was also removed from the SGX-ST watch-list on Nov 15, 2024.

 

The group expects the positive business trend to continue over the next six to 12 months, driven by strong performance in the distribution and project segments, robust order books and a steady pipeline of deliveries.

 

XMH Holdings further added on Dec 12 that the distribution segment has sustained demand for engines, particularly for new or replacement tugboats, while the project segment benefits from strong demand for generators, especially for data centre applications.

 

Despite healthy order volumes, the company remains cautious about geopolitical uncertainties and aims to stay adaptable and resilient. 

 

XMH Holdings&rsquo current primary product offerings include distributorship, agency and dealership rights from prominent brands such as Mitsubishi Heavy Industries, MTU, Kawasaki, Akasaka, Kamome, Taiyo, D-I, SOLE, BUKH, Reintjes, Masson and CENTA.

 

Its subsidiaries are involved in the distribution and provision of value-added products and services, after-sales services, trading and projects, including the assembly and installation of standby generator sets and related services.

 

Tan was appointed chairman and CEO in October 2010, and re-designated as chairman and managing director in September 2016. He is responsible for the group&rsquo s overall strategy, corporate planning, business development and acquisitions.

 

He established the distribution arm and secured exclusive distributorships for the company.

 

He has more than 30 years of experience in the marine and industrial diesel engines industry. Tan maintains a 63.8 per cent direct interest in the company.

XMH Holdings has reported earnings of $12.6 million for the 1HFY2025 ended October, up 94.5% y-o-y from the same period last year. 

 

For 1HFY2025, earnings per share stood at 11.49 cents, up from 5.91 cents for 1HFY2024. 

 

Meanwhile, the group&rsquo s 1HFY2025 revenue saw a 5.8% y-o-y drop to $66.9 million. This came on the back of a decline in revenue in the group&rsquo s project segment, which fell to $19.3 million in 1HFY2025 from $24.7 million in the same period last year. This was due to lower income recognition of revenue for projects in progress. 

 

That said, this was offset by increased revenue from the group&rsquo s distributions and after-sales segments. 

 

For the same period, gross profit saw a 8.1% y-o-y increase to $24.3 million, while gross profit margin increased to 36.3% from 31.6% in 1HFY2024. 

 

This came on the back of increased profit margin from the group&rsquo s distribution and after-sales segments due to an increased demand for engines and spare parts. 

 

No dividends were declared for the period. 

 

Between Aug 5 and Sep 4, XMH Holdings : BQF 0% chairman and managing director Tan Tin Yeow increased his direct interest from 63.54 per cent to 63.59 per cent.

 

Tan was appointed chairman and CEO in October 2010, and later re-designated as chairman and managing director in September 2016. He has overall responsibility for the group, including strategy formulation, corporate planning, business development, and potential acquisitions.

 

He also played a key role in establishing the distribution arm and securing exclusive distributorships for the group.

 

With over 30 years of experience in the marine and industrial diesel engines industry, Tan previously worked at Meng Wah Machinery Work, a former partnership founded by the founder, Tan Tum Beng, until 1991.

 

XMH Holdings provides diesel engine, propulsion, and power generating solutions for marine and industrial sectors across Asia. The group&rsquo s main product offerings include distributorship, agency, and dealership rights from renowned brands.

 

XMH Holdings was placed on the watch list based on the Singapore Exchange&rsquo s financial entry criterion on Dec 4, 2019, and the SGX has extended the cure period for the company to exit the watch list, to Dec 4, 2024.

 

For its FY24 (ended April 30), the group achieved significant profitability improvements, with gross profit rising by 52.9 per cent from FY23, to S$41.8 million and profit attributable to shareholders increasing from S$4.0 million to S$12.6 million, despite a marginal revenue decrease to S$124.2 million and higher operating expenses.

 

The distribution segment revenue rose by 48.3 per cent to S$77.9 million, due to strong demand for its engines from the commodities transportation tugboats industry in Indonesia.

 

The group&rsquo s order book stood at approximately S$127.5 million as at Jul 18, 2024. Tan maintains that while the focus within the distribution segment remains on Indonesia&rsquo s traditional market, to further enhance growth in the distribution segment, the group&rsquo s strategic approach is collaborating with sub-dealers and expanding into the markets of Thailand, Malaysia, Singapore, and Indonesia with small-sized fast craft and lifeboat engine repowering segments, using BUKH engines.

 

XMH Holdings BQF 0.00% has reported earnings of $6.5 million for its 1HFY2024 ended Oct 31, a six-fold increase over its $1.1 million earnings posted for the same period last year.

 

The company&rsquo s earnings per share (EPS) increased at a similar rate to 5.91 cents, up from 0.98 cents in 1HFY2023.

 

For the half-year period, XMH recorded a revenue of $71.0 million, up 22.6% y-o-y. Its cost of sales, however, stayed relatively flat at $48.6 million, just 5.4% higher than in 1HFY2023.

As a result, the company&rsquo s gross profit almost doubled to $22.5 million in 1HFY2024 from $11.9 million in the corresponding FY2023 period. Gross profit margin also grew to 31.6% in 1HFY2024, up over the 20.5% recorded for 1HFY2023.

 

The increase was attributed to a higher gross profit margin from XMH&rsquo s distribution and after-sales segments as a result of increased demand for engines and spare parts, as well as from its project segment with the completion of projects with better margins.

 

As at Oct 31, XMH&rsquo s cash and cash equivalents stood at $30.7 million.

 

XMH says it continues to experience strong demand for engines for new or replacement tugboats used in resource and commodity transportation. As such, its engine order book remains robust despite the persistent economic uncertainties and challenges.

 

However, the delay in raw materials supply arising from supply chain issues and low margins has seen the project segment&rsquo s order book decrease.

 

Moving forward, XMH says it expects the environment to be even more challenging and uncertain. &ldquo We will constantly improve our operational procedures where necessary so as to address and adapt to changes where necessary and prepare ourselves for any unexpected events.&rdquo