Link: https://links.sgx.com/1.0.0/corporate-announcements/9JHMUBXCVOUGXLFL/b8482445b676f093c80300538474b1fe6ddc414997784444fbff212f621ec7da

Summary:

• Shopper360 Limited reported a net profit of RM0.6 million for the six months ended November 30, 2025 (1H2026), a significant turnaround from a loss of RM1.1 million in the same period of the prior year (1H2025)

• Revenue increased by RM8.4 million or 9% to RM101.5 million in 1H2026 from RM93.1 million in 1H2025, primarily driven by RM10.2 million growth in the Sales Execution and Distribution segment, partially offset by RM1.8 million decline in Advertising and Marketing

• Gross profit grew marginally to RM15.6 million in 1H2026 from RM15.4 million in 1H2025, however gross profit margin contracted to 15.3% from 16.5% due to a shift in service mix toward lower-margin services

• Administrative expenses declined by RM1.5 million or 9% to RM13.9 million in 1H2026, attributable to cost optimisation initiatives including downsizing of office space, strategic staff realignment, and the absence of expenses from Myanmar operations

• Earnings per share improved significantly to 0.58 sen in 1H2026 from a loss of 1.03 sen in 1H2025, with basic weighted average shares outstanding at 108.8 million

• Total equity increased by RM0.5 million to RM65.1 million as at November 30, 2025 from RM64.6 million as at May 31, 2025, with net asset value per share at 59.85 sen

• Sales Execution and Distribution segment increased revenue by RM10.2 million or 13.8% through expansion of existing clients' business scope and coverage in retail and grocery outlets

• Advertising and Marketing segment declined revenue by RM1.8 million or 9% due to more cautious advertising expenditure by clients and the cessation of Myanmar operations effective January 31, 2025

• Total assets grew to RM89.8 million at November 30, 2025 from RM85.9 million at May 31, 2025, driven primarily by RM4.6 million increase in contract assets relating to unbilled services rendered

• Current liabilities increased by RM3.5 million to RM24.3 million, mainly from increased trade and other payables of RM2.5 million and borrowings of RM1.7 million from short-term loans for working capital

• Working capital remained healthy at RM43.4 million at November 30, 2025, up from RM42.5 million at May 31, 2025, indicating strong liquidity position

• Finance costs increased by RM86,000 to RM153,000 in 1H2026 due to higher drawdown of short-term loans, with borrowings at RM6.25 million

• Cash and cash equivalents decreased by RM0.9 million to RM7.7 million at November 30, 2025, primarily due to working capital movements and capital expenditure

• The Group operates through three segments: Advertising and Marketing (digital and non-digital in-store advertising, sampling, events), Sales Execution and Distribution (merchandisers, sales force, talent management), and Investment Holding and Others

• No dividend has been declared or recommended for 1H2026 as the Board retained cash for working capital, capital expenditure, and future growth initiatives

• A capital reduction of RM8.5 million was executed on subsidiary Retail Galaxy Plus Sdn. Bhd. during 1H2026 for strategic and financial efficiency

• Share capital remains at RM51.85 million with 108.8 million shares issued, treasury shares of 5.6 million at RM1.77 million representing 5.14% of outstanding shares

• Management outlook for 2026 includes opportunities from value-seeking consumers, hybrid shopper journeys combining online and in-store channels, growing demand for real-time reporting, expansion in neighbourhood malls, data-driven in-store media, and loyalty-driven campaigns

• Cautionary factors include tight labour supply pressuring merchandising costs, competitive pricing in the sector, and shorter planning cycles by brands requiring flexible operating models

• The announcement was submitted by Executive Chairman and Group Managing Director Chew Sue Ann on January 9, 2026, reviewed by sponsor ZICO Capital Pte. Ltd.