ICO Group has reported solid FY2026 results (year ended 31 March 2026), driven by stronger contributions from application development, secondment and maintenance services.
Financial highlights • Revenue increased 5.0% to HK$1.19 billion. • Gross profit rose 17.3% to HK$270.0 million, lifting gross margin to 22.6% (FY2025: 20.2%). • Profit for the year grew 4.5% to HK$42.0 million; profit attributable to shareholders advanced 12.1% to HK$28.81 million. • Basic EPS climbed to 3.30 HK cents (FY2025: 2.90 HK cents). • The Board proposed no final dividend, versus HK$0.0105 per share a year earlier.
Segment performance • IT Application & Solution Development: Revenue jumped 49.6% to HK$136.25 million, buoyed by a large-scale public-sector immigration control system project. • IT Infrastructure Solutions: Revenue slipped 2.3% to HK$813.86 million amid softer banking and finance demand; segment still contributed 68.1% of group sales. • IT Secondment: Revenue surged 32.4% to HK$53.73 million on higher demand from banking and finance clients plus a broader customer base. • IT Maintenance & Support: Revenue expanded 8.7% to HK$189.82 million, helped by new contracts and a large project that ran for the full year. • Property Leasing: Revenue eased 14.3% to HK$0.38 million; management continues marketing efforts for Kuala Lumpur’s “Project CKB” retail property.
Cost and expense dynamics • Cost of sales rose 1.6% to HK$924.06 million, well below revenue growth, underpinning margin gains. • General and administrative expenses climbed 18.1% to HK$207.77 million, largely reflecting a HK$33.4 million surge in staff costs tied to headcount expansion and higher commissions/bonuses. • Goodwill impairment narrowed to HK$22.47 million (FY2025: HK$27.00 million). • Impairment on receivables swung to a HK$0.67 million charge from a HK$1.70 million reversal in FY2025. • Finance costs rose slightly to HK$2.66 million, mainly related to promissory-note interest.
Balance sheet and liquidity • Cash and cash equivalents plus time deposits totaled HK$198.48 million (31 Mar 2025: HK$334.53 million) after increased working-capital outlays, note repayment and investment spending. • Net current assets improved to HK$390.71 million; current ratio strengthened to 1.9x (FY2025: 1.8x). • Total equity reached HK$623.56 million, lifting net asset value to roughly HK$0.70 per share. • Gearing (promissory notes/total equity) moderated to 6% from 10%.
Key assets & investments • Investment property “Project CKB” in Kuala Lumpur was revalued at HK$207.57 million, up HK$21.75 million year-on-year. • A new 2.54% stake in AI developer Weitu AI Inc. was acquired for USD3 million; fair value at year-end stood at HK$24.34 million. • Cash-backed performance bonds totaled HK$11.53 million. Pledged deposits rose to HK$27.08 million.
Management outlook The company cites continued global economic uncertainty and geopolitical risks but plans to pursue strategic investments, including potential M&A, to enhance competitiveness and sustain growth. Prudent cost and liquidity management will remain priorities.
No significant post-balance-sheet events were reported.