Exsim Hospitality Bhd Swings to Profit in 3QFY2025 on Design & Fit-Out Growth
Exsim Hospitality Bhd (KL:EXSIMHB) has returned to profitability in the third quarter ended March 31, 2025 (3QFY2025), recording a net profit of RM5.02 million, a sharp turnaround from a RM1.43 million net loss in the same quarter last year.
This turnaround is mainly attributed to the group’s newly established design and fit-out segment, which generated RM54.55 million, accounting for 97.9% of total revenue for the quarter.
Quarterly Financial Snapshot
| Financial Metric | 3QFY2025 | 3QFY2024 | % Change |
|---|---|---|---|
| Revenue | RM55.72 million | RM1.17 million | +4,663% |
| Net Profit/(Loss) | RM5.02 million | (RM1.43 million) | — |
| Earnings Driver | Design & Fit-Out | Not applicable | — |
No dividend was declared for the quarter, as the company focuses on reinvestment and expansion.
Nine-Month Performance: Continued Recovery
For the first nine months of FY2025, Exsim Hospitality reported:
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Net Profit: RM6.97 million (vs. RM3.01 million net loss YoY)
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Revenue: RM77.43 million (up from RM4.19 million)
The results reflect the successful pivot toward higher-margin, scalable services and growing diversification beyond traditional hospitality operations.
Growth Catalyst: RM201 Million Design & Fit-Out Order Book
As of end-March 2025, Exsim Hospitality’s design and fit-out segment boasts an order book worth RM201 million, which is expected to underpin earnings stability and scalability in upcoming quarters.
“With a robust order book and growth in managed properties across our fit-out and hospitality operator divisions, we anticipate sustainable financial growth in the short to medium term,” the group stated.
Strategic Outlook: Dual-Engine Growth Model
Exsim Hospitality now operates on a dual-engine growth strategy, focusing on:
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Design & Fit-Out Segment
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New core revenue driver
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Services include interior design, renovation, and construction works for hospitality and commercial clients
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Sectoral expertise and premium project pipeline
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Hospitality Operator Segment
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Managing boutique and lifestyle properties under its expanding portfolio
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Leveraging group branding and tech integration for operational efficiency
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“Over the next one to two years, both segments are expected to serve as key growth drivers,” the group said.
Investor Snapshot: Market Reaction and Valuation
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Stock Price: 35 sen (unchanged)
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Market Capitalization: RM325.1 million
While the stock remained flat post-announcement, the return to profitability, significant revenue expansion, and solid order book may renew investor interest in the quarters ahead.
Rebranding and Sectoral Realignment
Formerly known as Pan Malaysia Holdings Bhd, the group’s rebranding to Exsim Hospitality Bhd marked a strategic pivot in late 2023 to focus on integrated hospitality solutions, combining property development, fit-out, and hotel management expertise.
This vertical integration strategy has started to yield results, as seen in the group’s latest earnings.
Final Thoughts: Exsim’s Resilient Turnaround and Scalable Outlook
Exsim Hospitality Bhd’s strong 3QFY2025 performance signals a successful business transformation, underpinned by the booming demand for design and fit-out services and consistent growth in its hospitality management division.
With a RM201 million order book, lean operational model, and sectoral focus, Exsim Hospitality is poised to deliver stable earnings growth and potentially strong shareholder returns over the next 12–24 months.
As the group continues to expand its footprint in Malaysia’s built environment and hospitality sectors, it remains one to watch for investors seeking exposure to mid-cap recovery plays with scalable revenue channels.
