Revenue rose 16 per cent to S$287.5 million, driven by high-volume manufacturing at a major customer
[SINGAPORE] Test solutions provider AEM Holdings posted a S$4 million profit for the nine months ended Sept 30, reversing its year-ago loss.
This was due to a more favourable product mix, with higher contributions from advanced test solutions, the mainboard-listed company said in a business update on Wednesday (Nov 12).
The company’s new solutions are “purpose-built for the AI (artificial intelligence) era, where parallelism, power delivery, and thermal control drive test efficiency”, said its chief executive Samer Kabbani.
AEM’s 9M revenue rose 16 per cent to S$287.5 million, driven by high-volume manufacturing at its major customer involved in AI and high-performance computing (HPC).
Revenue was also lifted by orders related to its non-cancellable, long-dated purchase order programme with a customer in the first-half and third quarter of this year.
The bulk of AEM’s topline came from the test cell solutions segment, where revenue rose 35.5 per cent to S$182.2 million.
The rise was due to successful production deployment and customer acceptance of the AEM’s solutions, with technology that “delivers increased test coverage and high-throughput for power-dense AI devices”, the company said.
However, AEM’s contract manufacturing segment saw revenue fall 7.9 per cent to S$99.5 million, due to softer end-customer demand amid the global trade uncertainties.
AEM had S$59.3 million in cash as at Sep 30, down 0.9 per cent from end-June. Nevertheless, the company said that its cash position enables it “strategically to pursue future growth opportunities”, with debt at a “prudent” 0.2 times of equity.
Looking ahead, AEM reaffirmed its revenue guidance for the second half of 2025. It expects to reach the upper end of the guidance range of S$170 million to S$190 million.
“Demand from the group’s major AI/HPC customer remains robust, and based on current visibility, its revenue contribution is anticipated to grow significantly in FY2026 as compared to FY2025,” the company said.
AEM also provided an update on the recent purchase order from a leading memory manufacturer for its memory final test handler: first revenues are expected in late-FY2026, followed by a “production ramp” the next year.
AEM shares ended Wednesday at S$1.80, up by S$0.01 or 0.6 per cent.
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