Go Hub Capital Berhad (“Go Hub” or the “Company”), a key transportation information technology (“IT”) solutions provider, today announced its unaudited financial results for the first quarter ended 31 March 2025 (“Q1 FY2025”). The Company recorded revenue of RM9.41 million, marginally lower by 1.26% compared to RM9.53 million recorded in the corresponding quarter last year.
The Company’s transportation IT solutions segment remained its core revenue driver, contributing approximately 99.53% of total turnover. Recurring income grew 8.6% year-on-year to RM6.96 million, buoyed by the recent commencement of the Gombak Bus Terminal operations in February 2025. However, non-recurring project revenue moderated due to, amongst others, delays in project execution arising from site readiness constraints and slower-than-expected progress in the implementation of several ongoing projects, as well as the postponement in both the award and commencement of new contracts secured by the Group.
Gross profit stood at RM4.31 million, translating into a gross margin of 45.8%, a mild contraction from gross profit margin of 61.8% achieved in the Q1 FY2024. The gross profit margin decline was attributed to the Group having to incur hardware and setup costs upfront in the current quarter in anticipation of project rollouts, while the implementation and completion of these projects were delayed due to various factors. The decline in gross profit margin was also impacted by the increased employee benefit expenses following the implementation of Malaysia’s new minimum wage of RM1,700 effective February 2025 as well as the expansion of the workforce for future growth.
Go Hub reported a Profit Before Tax (“PBT”) of RM0.27 million and a Profit After Tax (“PAT”) of RM0.18 million for the quarter, compared to PBT and PAT of RM2.94 million and RM2.09 million, respectively, in Q1 FY2024. The effective tax rate was higher than the statutory rate due to certain non-deductible expenses incurred during the quarter.
Mr. Tan Cherng Thong, Executive Director and CEO of Go Hub shared: “While our bottom line was impacted by higher upfront costs in the Q1 FY2025, these decisions are integral to positioning Go Hub for long-term scalability. The growth in recurring income and launch of Gombak Bus Terminal operations affirm the resilience of our core offerings. We are confident that these foundational investments will yield positive returns in subsequent quarters as new projects mature and our operational capacity strengthens.”
Furthermore, at the Company’s Third Annual General Meeting (“3rd AGM”) held today, shareholders demonstrated resounding support across all proposed resolutions, including the re-election of directors, approval of directors’ fees and benefits, re-appointment of the external auditors, and the general mandate for the issuance of shares. This strong endorsement underscores investor confidence in Go Hub’s strategic direction, financial resilience, and ongoing initiatives to expand its footprint in Malaysia’s public transportation IT solutions sector. The Board of Directors expresses its gratitude to shareholders for their continued trust and commitment.
Looking ahead, Go Hub remains focused on expanding its presence nationwide, supported by the acquisition of Star Central Office Tower and the upcoming launch of its integrated innovation and training centre in Klang Valley. The Company is also accelerating integration of artificial intelligence into its solutions to enhance operational efficiency and user experience.
With public transportation digitalisation efforts gaining momentum and a robust tender pipeline in place, Go Hub is optimistic about capitalising on emerging opportunities in line with the National Transport Policy 2019–2030. Several new project announcements are expected within the first half of 2025.
As at 5:00 P.M., 29 May 2025, Go Hub Capital Berhad’s share price closed at RM0.88, representing a market capitalisation of RM352.0 million.
