Genetec reinforces foundation for growth, maintains resilient outlook

Technology leader in providing turnkey, intelligent manufacturing automation solutions, Genetec Technology Berhad (“Genetec” or the “Company”), today announced its financial results for the year ended 30 June 2025 (“FY2025”). The Company reported a gross profit of RM12.7 million for FY2025, supported by continued deliveries in the e-mobility and energy storage segments. The Company recorded a loss after tax (LAT), mainly reflecting higher logistics costs and non-operational, one-off expenses, while underlying fundamentals remain intact.

Performance was affected by logistics constraints and one-off costs. Despite this, the Company continued to invest in strengthening its capabilities and supporting future project scopes. Profitability is expected to normalise in FY2026 as markets stabilise and as projects are executed effectively. Genetec is also reinforcing its organisation by bringing in experienced professionals into strategic roles, aimed at broadening capabilities and supporting its long-term diversification strategy.

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Healthy Orderbook through Diversified Markets

The Company’s order and tender books remain intact and healthy, underpinned by recurring orders from existing clients as well as new opportunities from a more diversified client base across multiple industries and regions.

Deepening Engagement with Existing Clients

Alongside diversification, Genetec continues to strengthen partnerships with its existing clients. Recurring orders and new programme awards reflect the trust and confidence these clients place in Genetec’s execution capabilities and proven track record.

Global Manufacturing Trends Creating Tailwinds

Global geopolitical shifts are leading manufacturers across industries to re-evaluate their production footprints and enhance operational resilience. This trend is fuelling greater demand for automation solutions that are flexible, cost-competitive, and consistently high in quality. With its Malaysia-based production model, strong international track record, deep technical know-how, and agile manufacturing capabilities, Genetec is well-positioned to support clients as they navigate and adapt to these evolving requirements.

Positive Outlook for BESS Pipelines

The Battery Energy Storage System (BESS) segment continues to gain momentum, with Genetec executing projects across domestic and international markets, and seeing growing local interest in BESS solutions for peak shaving following the recent tariff revision.

Chief Executive Officer and Co-Founder of Genetec, Chin Kem Weng commented, “FY2025 was a year of investment and transition. We made deliberate strategic choices to strengthen our foundation, safeguard delivery timelines, and support new project scopes. While these factors impacted margins in the short term, they reinforce our capabilities and credibility as a trusted partner. We expect profitability to normalise as the market stabilises and as we build on execution experience.”

“At the same time, our pipelines remain healthy, supported by recurring orders from existing clients and new opportunities across diversified industries and regions. Our inclusion in both the conventional and Shariah FTSE4Good Bursa Malaysia indices reflects the strength of our governance and sustainability practices. As Genetec approaches our 30th year in business, we remain committed to creating long-term value for clients, shareholders, and stakeholders.”