KUALA LUMPUR (Aug 15): SFP Tech Holdings Bhd’s (KL:SFPTECH) second quarter (2Q) net profit plunged 95.52% to RM577,000 from RM12.89 million a year earlier, dragged down by an unrealised foreign exchange (forex) losses of RM6 million, lower gross profit contributions and higher staff-related costs.

Earnings per share for the quarter ended June 30, 2025 fell to 0.02 sen from 0.54 sen previously, the group’s bourse filing on Friday showed.

Revenue slipped 36.83% year-on-year to RM28.67 million from RM45.39 million, following the absence of sales to customers for mechanical assembly services.

No dividend was recommended for the quarter.

SFP Tech, which manufactures integrated factory and automated equipment solutions — including semiconductor front-of-line wafer processing equipment — said its manufacturing segment contributed 88.92% of 2Q revenue, with customers mainly from the US and Malaysia.

The remaining 11.08% revenue came from the automation sector.

SFP Tech said cumulative net profit for the first half of the year dropped 65.31% to RM7.62 million compared with RM21.97 million in the corresponding period last year, as revenue declined 37.63% to RM49.33 million from RM79.09 million.

Looking ahead, the group said its business outlook remains subdued amid prolonged geopolitical and tariff uncertainties. Even so, it plans to expand its participation in high value-add precision equipment and module design and assembly, as well as complex piece part fabrication.

"Leveraging on our competitive advantage, the group expects the strategic direction and plans to contribute positively to its financial performance in the future,” the group added.

Shares of SFP Tech, which have fallen over 79% year-to-date, closed unchanged at 15 sen on Friday. This values the group at RM360 million.