KUALA LUMPUR, March 11 – Integrated branding and marketing solutions provider SBS Nexus Berhad (Stock Name: SBS and Stock Code: 0386) reported strong financial results for the financial year ended 31 December 2025, with revenue climbing to RM48.7 million and profit after tax reaching RM9.58 million.
The Group has demonstrated robust expansion over the past few years. Between FY2022 and FY2025, SBS Nexus achieved a revenue compound annual growth rate (CAGR) of 61%, while profit after tax recorded a CAGR of 76%, reflecting rising demand for its integrated marketing and branding solutions.
Solid Financial Performance
For FY2025, the Group reported:
– Revenue: RM48.7 million
– Gross profit: RM16.9 million
– Profit before tax: RM13.05 million
– Profit after tax: RM9.58 million
Gross and net margins moderated slightly to 34.8% and 19.7% respectively, mainly due to temporary outsourcing of certain production work during peak campaign periods when internal capacity was stretched.
Managing Director and Chief Executive Officer CM Wong explained that the margin pressure was largely temporary. With additional multimedia and production staff being recruited, margins are expected to gradually normalise by the third quarter of 2026.
Talent Expansion and Capacity Growth
To support business expansion, the Group is actively strengthening its workforce. SBS Nexus noted that recruitment standards remain stringent, with only one to two out of every ten applicants typically meeting the company’s hiring criteria.
New team members are currently being onboarded, including Bumiputera hires scheduled to join in March and April 2026. This move supports the Group’s expansion into the Malay-speaking SME segment through its new platform, MyUsahawanMedia.
The company is also planning a new headquarters equipped with a full-scale production studio, training facilities and an event networking hall to support future growth.
Broad and Loyal Client Base
SBS Nexus serves more than 1,000 clients, with approximately 60% to 70% being repeat customers. Its primary business-to-business clientele spans several industries, particularly property, education and retail.
The Group’s service offerings include:
– Event management and brand campaigns
– Social media management
– In-house key opinion leader (KOL) content
– Printing and promotional materials
– Digital content and video production
Among its notable customers is Malaysian lifestyle brand Christy Ng.
Strong Financial Position
As at 31 December 2025, SBS Nexus maintained a healthy balance sheet with:
– Current ratio of 2.6 times
– Net cash position of RM543,000
– Debt-to-equity ratio reduced to 35%
The company also disclosed that 9.03% of its IPO proceeds have been utilised for expansion initiatives in line with its prospectus.
Growth Opportunities Ahead
Looking ahead, SBS Nexus expects increased advertising and promotional spending in conjunction with Visit Malaysia Year 2026 to drive new business opportunities. The Group is targeting sectors such as hospitality, tourism, retail, leisure and entertainment.
In addition, SBS Nexus is exploring collaborations with federal ministries, state agencies and quasi-government bodies to broaden its market reach.
During the results briefing held at Concorde Hotel Kuala Lumpur, Chief Financial Officer Kevin Tay and Executive Director cum Chief Operating Officer Warren Cheng joined CEO Wong Chun Mun in reaffirming the Group’s confidence in sustaining its growth momentum into FY2026.