FOS Capital Boosts Profit 47.5% and Declares Final Dividend for FY2025
FOS Capital Limited reported a solid 47.5% jump in net profit for the 2025 financial year alongside a modest revenue increase, announcing a final dividend of 1 cent per share.
- Net profit after tax rises 47.5% to $932,646
- Revenue grows 3.9% to $25.49 million
- Final dividend declared at 1 cent per share
- Shares on issue increase to 67.2 million
- Net tangible assets per share decline to 9.8 cents
Financial Performance Highlights
FOS Capital Limited (ASX – FOS) has delivered a noteworthy financial performance for the year ended 30 June 2025, reporting a 47.5% increase in net profit after tax to $932,646. This substantial profit growth contrasts with a more modest 3.9% rise in revenue, which reached $25.49 million. The results reflect a period of operational efficiency or improved margins, although the company has not provided detailed commentary in this preliminary report.
Dividend and Shareholder Returns
Alongside the profit uplift, FOS Capital declared a final dividend of 1 cent per share, payable on 27 October 2025. This follows no interim dividend for the year, signaling a cautious but positive approach to returning value to shareholders. The company also offers participation in its Dividend Reinvestment Plan (DRP), allowing shareholders to reinvest dividends into additional shares, subject to eligibility. The record date for dividend entitlements is 30 September 2025.
Balance Sheet and Capital Structure
The number of shares on issue increased significantly to 67.2 million from 53.8 million the previous year, which may have diluted net tangible asset backing per share. Indeed, net tangible assets per security fell to 9.8 cents from 11.1 cents in 2024. This decline suggests that while the company is growing its capital base, the underlying asset value per share has softened, a factor investors will want to monitor closely.
Audit and Governance
FOS Capital’s financial statements were audited by William Buck Audit (Vic) Pty Ltd, which issued an unmodified audit opinion, providing assurance on the integrity of the reported results. The company confirmed no changes in control of subsidiaries or accounting standards applied, maintaining consistency in its consolidated financial reporting.
Looking Ahead
While the preliminary report offers a snapshot of FOS Capital’s financial health, the full 2025 Annual Report will provide deeper insights into the drivers behind the profit surge and the strategic direction moving forward. Investors will be keen to see how the company plans to leverage its expanded capital base and whether dividend growth can be sustained amid evolving market conditions.
Bottom Line?
FOS Capital’s strong profit growth and dividend signal resilience, but asset backing dilution warrants close watch.
Questions in the middle?
- What factors drove the significant 47.5% profit increase despite modest revenue growth?
- How will the increase in shares on issue impact future earnings per share and shareholder value?
- What strategic initiatives does FOS Capital plan to pursue to sustain growth and improve net tangible assets?
