KUALA LUMPUR (Aug 28): NexG Bhd (KL:NEXG), which provides identity solutions, digital trust ID and financial services, posted a record net profit for its first quarter, boosted by fair value gains on investments.

Net profit for the three months ended June 30, 2025 (1QFY2026) more than doubled to RM64.88 million from RM27.02 million a year earlier, the company’s exchange filing on Thursday showed. Revenue slipped 2.5% to RM88.45 million from RM90.76 million.

It mainly attributed the bottom line growth to fair value gains on other investments.

The company, formerly known as Datasonic Group Bhd, booked higher other income of RM40.18 million versus RM831,000 in 1QFY2025. Fair value gains on other investments stood at RM39.94 million.

NexG did not disclose the specifics or a breakdown of its other investments. No dividend was declared for the quarter under review.

Looking ahead, NexG said it is pursuing collaborations with strategic partners and public-private partnerships to broaden offerings, accelerate adoption and expand into selected international markets.

“In parallel, the group continues to manage its quoted investments strategically to generate returns, provide liquidity and support growth,” it added.

In late March, NexG upped its stake in logistics outfit MMAG Holdings Bhd (KL:MMAG) to 9.53% via a 175 million share or 7.58% stake purchase at 40 sen apiece or RM70 million in total.

In early August, the company announced it acquired a 32.61% stake and 414.31 million warrants in Classita Holdings Bhd (KL:CLASSITA) for RM76.78 million in cash. 

Shares in NexG ended two sen or 4% lower at 48 sen on Thursday, valuing the company at RM1.61 billion.