KUALA LUMPUR: Chin Hin Group Bhd, Malaysia’s integrated builder with a unique intra-build ecosystem spanning the construction value chain, recorded revenue of RM1.91 billion for the six months (6M) ended June 30, 2025 (FY25), an increase of 42% compared to RM1.34 billion in the prior year.
Profit before tax (PBT) rose sharply by 72% year-on-year to RM127.1 million, reflecting improved profitability across property development, building materials, and Signature International Bhd’s home and living solutions segment.
Gross profit doubled to RM360.9 million in 6M FY25, with margins improving to 18.9% from 13.4% a year ago.
For the second quarter (Q2) of FY25, the group reported revenue of RM954.5 million, representing a 23% increase from RM774.0 million in the same period a year earlier.
Gross profit increased 52% to RM183.8 million, with gross profit margin rising to 19.3%, underpinned by contributions from Signature International and margin-accretive property projects.
PBT was RM60.0 million, up 9% from RM54.9 million (excluding one-off gains in Q2 FY24.
Group managing director Datuk Wira Chiau Haw Choon said the company’s first-half performance demonstrates the strength of Chin Hin’s integrated business model and its ability to deliver growth even in a challenging operating environment.
“Property development and Signature International continue to be key growth drivers, while building materials remain resilient with expanded exports and cost optimisation.
“Beyond results, we are sharpening our portfolio. The divestment of Metex Steel Sdn Bhd and the commercial vehicle division reflects a deliberate strategy: to unlock value from businesses with limited growth potential and redeploy capital into high-demand, higher-return areas such as building materials and property development.
“This ensures that our financial resources are aligned with long-term growth priorities, while enhancing shareholder value.
“At the same time, our group-wide digital transformation with Kingdee International will standardise operations across finance, procurement, HR, and sales on a single AI-enabled backbone, positioning Chin Hin for the GenAI era.
“We remain committed to disciplined execution, innovation, and sustainability to create enduring value for our stakeholders,“ he said in a statement.
The construction division maintains a robust order book of RM1.94 billion, providing visibility of earnings and strong activity levels across infrastructure, industrial, and commercial subsectors.
In line with its focus on strengthening core growth areas, Chin Hin has also undertaken the divestment of selected non-core businesses and assets.
These disposals not only unlock value from non-core businesses but also generate substantial cash proceeds, enabling the group to streamline operations and sharpen its strategic focus.
The disposal of Metex Steel for RM70 million enables the group to monetise an asset that, despite being part of the building materials division, no longer delivers strategic synergies or attractive returns.
Proceeds are earmarked for the development of additional production plants and facility upgrades, directly strengthening the core building materials portfolio where demand for AAC, precast, and Drymix products continues to grow.
Separately, the divestment of the commercial vehicle manufacturing and bodyworks business, a legacy business, frees up capital for strategic landbank acquisitions and expansion of property development projects in prime locations.
Both moves reflect Chin Hin’s proactive approach to reshaping its portfolio, unlocking value from non-core businesses, and enhancing financial flexibility to focus on core growth drivers.
