Sagtec Global Ltd(SAGT) - 2025 Q3 - Quarterly Report

Financial Performance - Total revenue for the nine months ended September 30, 2025, reached RM 63,765,238, representing a 97% increase from RM 32,359,976 in the same period of 2024[7] - Gross profit for the nine months ended September 30, 2025, was RM 15,330,050, up 120% from RM 6,937,469 in 2024[7] - Net profit for the period increased to RM 10,978,614 in 2025, compared to RM 3,363,521 in 2024, marking a 226% growth[7] - Revenue from services for the nine months ended September 30, 2025, was RM 39,978,933, up from RM 22,395,376 in 2024, reflecting an increase of about 78%[125] - For the nine months ended September 30, 2025, total revenue increased to RM 63,765,238, up from RM 32,359,976 for the same period in 2024, representing a growth of 97.5%[153] - Gross profit for the nine months ended September 30, 2025, was RM 15,330,050, compared to RM 6,937,469 in 2024, indicating an increase of 120.5%[153] - Income from operations rose to RM 11,580,167 for the nine months ended September 30, 2025, compared to RM 4,923,605 in 2024, reflecting a growth of 135.5%[153] Assets and Liabilities - Total assets as of September 30, 2025, amounted to RM 61,024,173, a significant increase from RM 27,354,501 as of December 31, 2024[5] - Total liabilities increased to RM 12,649,030 as of September 30, 2025, from RM 9,970,300 as of December 31, 2024[5] - Shareholders' equity rose to RM 47,634,119 as of September 30, 2025, compared to RM 16,792,131 at the end of 2024, reflecting a growth of 184%[5] - Segment assets increased significantly to RM 61,024,173 as of September 30, 2025, up from RM 27,823,027 in 2024, marking a growth of 119.0%[153] - Segment liabilities also increased to RM 12,649,030 as of September 30, 2025, compared to RM 14,240,815 in 2024, showing a decrease of 11.1%[153] Cash Flow and Expenditures - Cash and short-term deposits increased to RM 3,043,907 as of September 30, 2025, from RM 1,654,146 as of December 31, 2024[5] - Operating cash flows before movements in working capital rose to RM 15,383,921, up from RM 6,376,927, reflecting a 141% increase[12] - Cash generated from operations for the nine months ended September 30, 2025, was RM 9,007,770, compared to RM 3,455,109 in 2024, marking a 161% increase[12] - The company reported a net cash provided by operating activities of RM 7,964,118 for 2025, compared to RM 3,455,109 in 2024, indicating a 131% increase[12] - The company incurred RM 26,858,184 in capital expenditures for the purchase of plant and equipment in 2025, significantly higher than RM 4,664,732 in 2024[12] Shareholder Information - The company issued 1,950,000 ordinary shares with no par value, raising RM 20,012,328 during the period[9] - The company completed its IPO on March 6, 2025, issuing 1,750,000 new ordinary shares at RM 17.6564 per share, resulting in gross proceeds of RM 30,898,700[87] - The net proceeds recognized in equity after deducting deferred offering costs of RM 10,886,371.99 amounted to RM 20,012,328[89] - The company re-designated its ordinary shares into 8,800,000 Class A ordinary shares and 2,000,000 Class B ordinary shares, establishing a dual-class share structure[92][93] - Class B ordinary shares confer twenty votes per share, while Class A ordinary shares confer one vote per share, enhancing control for key stakeholders[96][97] Financial Ratios and Risks - The gearing ratio improved to 6.20% as of September 30, 2025, down from 11.68% as of December 31, 2024, indicating a stronger capital structure[145] - The company reported a profit sensitivity of approximately RM 11,713 for the period ended September 30, 2025, if interest rates on loans had been 50 basis points higher or lower[136] - The company’s liquidity risk management includes maintaining sufficient cash balances and access to committed credit facilities, ensuring operational stability[138] Taxation and Provisions - The Group's tax payable as of September 30, 2025, was RM 4,476,000, an increase from RM 3,918,926 at the beginning of the year, representing a rise of about 14%[122] - The total income tax expenses for the nine months ended September 30, 2025, amounted to RM 1,646,846, compared to RM 1,580,764 in the same period of 2024, showing an increase of approximately 4%[122] - The total provision for warranty as of September 30, 2025, was RM 409,992, down from RM 441,353 at the beginning of the year, indicating a decrease of approximately 7%[113] Operational Insights - The group operates under a subscription as a service model, generating stable revenue from its SaaS offerings[16] - Two vendors accounted for more than 61% of the total cost of sales of RM 48,435,188 for the period ended September 30, 2025, highlighting vendor concentration risk[149] - The company reported no subsequent events that require disclosure or adjustment to the financial statements as of the reporting date[154]