HG Metal Manufacturing Limited has announced its unaudited financial results for the first half of 2026, revealing a stable net profit of S$6m. This performance comes amidst a challenging economic environment marked by declining steel prices and a moderating global economy. The company’s revenue for the period ending 31 March 2026 was S$81m, a slight decrease from S$85.4m in the same period last year.
The company’s gross profit margin improved significantly to 17.1%, up from 13.3% in the previous year. This increase is attributed to a reduction in the cost of sales, which fell by 9% to S$67.2m. Despite a 58% drop in other operating income, HG Metal managed to maintain its profitability, with profit before tax rising to S$7.2m from S$7m in 1H2025.
The financial results highlight HG Metal’s resilience in navigating economic headwinds. The company’s administrative expenses rose by 11% to S$4.8m, whilst other operating expenses increased by 20% to S$2.2m. However, finance costs were reduced by 30% to S$189,000, contributing to the overall stability of the net profit.
HG Metal’s performance underscores its ability to adapt to market fluctuations, maintaining profitability and improving efficiency. Looking ahead, the company will likely continue to focus on managing costs and enhancing its operational efficiency to sustain its financial health in a challenging market environment.
