New Risk • May 31
New major risk - Dividend sustainability The dividend is not well covered by earnings and cash flows. Payout ratio: 99% Cash payout ratio: 152% Dividend yield: 7.8% This is considered a major risk. Companies that pay out too much of their earnings and cash flows are at risk of having to reduce or cut their dividend in future. If earnings or cash flows stagnate or fall, then there may not be enough to maintain the same dividend. Or in extreme cases, companies may opt to dig into capital reserves or take on debt to maintain the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. This is currently the only risk that has been identified for the company. Announcement • May 29
Azeus Systems Holdings Ltd., Annual General Meeting, Jul 29, 2026 Azeus Systems Holdings Ltd., Annual General Meeting, Jul 29, 2026. Declared Dividend • Feb 07
First half dividend of HK$1.60 announced Shareholders will receive a dividend of HK$1.60. Ex-date: 12th February 2026 Payment date: 27th February 2026 Dividend yield will be 19%, which is higher than the industry average of 1.8%. Sustainability & Growth Dividend is not adequately covered by earnings (99% earnings payout ratio). However, it is covered by cash flows (83% cash payout ratio). The dividend has increased by an average of 46% per year over the past 10 years. However, payments have been volatile during that time. The company's earnings per share (EPS) would need to grow by 10% to bring the payout ratio under control, which is less than the 55% EPS growth achieved over the last 5 years. Valuation Update With 7 Day Price Move • Nov 10
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to S$12.75, the stock trades at a trailing P/E ratio of 13.7x. Average trailing P/E is 22x in the IT industry in Asia. Total returns to shareholders of 116% over the past three years. Declared Dividend • Oct 06
Final dividend of HK$3.90 announced Shareholders will receive a dividend of HK$3.90. Ex-date: 14th October 2025 Payment date: 28th October 2025 Dividend yield will be 27%, which is higher than the industry average of 1.8%. Sustainability & Growth Dividend is not adequately covered by earnings (99% earnings payout ratio). However, it is covered by cash flows (85% cash payout ratio). The dividend has increased by an average of 46% per year over the past 10 years. However, payments have been volatile during that time. The company's earnings per share (EPS) would need to grow by 9.8% to bring the payout ratio under control, which is less than the 67% EPS growth achieved over the last 5 years. Announcement • Aug 29
Azeus Systems Holdings Ltd. Approves Final Dividend for Financial Year Ended March 31, 2025 Azeus Systems Holdings Ltd. in its annual general meeting held on 30 July 2025 approved a final dividend of HKD 3.90 per share the financial year ended 31 March 2025. Reported Earnings • Jul 11
Full year 2025 earnings released: EPS: HK$5.57 (vs HK$2.83 in FY 2024) Full year 2025 results: EPS: HK$5.57 (up from HK$2.83 in FY 2024). Revenue: HK$474.8m (up 44% from FY 2024). Net income: HK$166.9m (up 96% from FY 2024). Profit margin: 35% (up from 26% in FY 2024). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 44% per year but the company’s share price has only increased by 33% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Jun 06
Investor sentiment improves as stock rises 33% After last week's 33% share price gain to S$16.50, the stock trades at a trailing P/E ratio of 18.1x. Average trailing P/E is 23x in the IT industry in Asia. Total returns to shareholders of 145% over the past three years. Reported Earnings • Jun 02
Full year 2025 earnings released Full year 2025 results: Revenue: HK$474.8m (up 44% from FY 2024). Net income: HK$166.9m (up 96% from FY 2024). Profit margin: 35% (up from 26% in FY 2024). The increase in margin was driven by higher revenue. Announcement • May 30
Azeus Systems Holdings Ltd., Annual General Meeting, Jul 30, 2025 Azeus Systems Holdings Ltd., Annual General Meeting, Jul 30, 2025. Declared Dividend • Feb 05
First half dividend of HK$1.60 announced Shareholders will receive a dividend of HK$1.60. Ex-date: 18th February 2025 Payment date: 26th February 2025 Dividend yield will be 17%, which is higher than the industry average of 1.8%. Sustainability & Growth Dividend is not adequately covered by earnings (99% earnings payout ratio). However, it is covered by cash flows (83% cash payout ratio). The dividend has increased by an average of 16% per year over the past 10 years. However, payments have been volatile during that time. The company's earnings per share (EPS) would need to grow by 9.5% to bring the payout ratio under control, which is less than the 47% EPS growth achieved over the last 5 years. Announcement • Feb 03
Azeus Systems Holdings Ltd. Announces Interim Dividend for the Financial Year Ending 31 March 2025, Payable on 28 February 2025 Azeus Systems Holdings Ltd. announced interim dividend of HKD 1.60 per ordinary share for the financial year ending 31 March 2025. The interim dividend will be paid on 28 February 2025. The Share Transfer Books and Register of Members of Azeus Systems Holdings Ltd. (the "Company") will be closed on 19 February 2025 (the "Record Date") for the purpose of determining the entitlements of the shareholders of the Company. New Risk • Nov 16
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 46% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (46% accrual ratio). Minor Risk Dividend is not well covered by earnings (99% payout ratio). Announcement • Sep 20
Azeus Systems Holdings Ltd. Announces Board and Committee Changes Azeus Systems Holdings Ltd. refer to the announcement on the retirement of Mr. Chan Ching Chuan as an Independent Director and cessation as the Chairman of the Nominating Committee ("NC") and a member of the Audit Committee ("AC") and Remuneration Committee ("RC") of the Company at the conclusion of the Annual General Meeting held on 30 July 2024, and wishes to update the following: Mr. Pan Kit Kuan ("Mr Pan") has been appointed as an Independent Director, Chairman of the NC and a member of the AC and RC of the Company with effect from 20 September 2024. Audit Committee: Mr. Stephen Ho ChiMing as Chairman; Mr. Chee Yeow Meng as Member; Mr. Pan Kit Kuan as Member. Remuneration Committee: Mr. Chee Yeow Meng as Chairman; Mr. Stephen Ho ChiMing as Member; Mr. Pan Kit Kuan as Member. Nominating Committee: Mr. Pan Kit Kuan as Chairman; Mr. Lee Wan Lik as Member; Mr. Stephen Ho ChiMing as Member. Announcement • Aug 30
Azeus Systems Holdings Ltd. Approves Final Dividend for the Financial Year Ended 31 March 2024 Azeus Systems Holdings Ltd. at its AGM held on July 30, 2024, approved final dividend of HKD 1.90 per ordinary share for the financial year ended 31 March 2024. Announcement • Jul 31
Chan Ching Chuen Not to Stand for Re-Election as Independent Director of Azeus Systems Holdings Ltd Azeus Systems Holdings Ltd. announced that Mr. Chan Ching Chuen ("Mr Chan") have served as an Independent Director of the Company for more than nine years from his first appointment on 1 February 2008. In line with the listing rule requirements announced on 11 January 2023 by the Singapore Exchange Regulation limiting the tenure of independent directors to 9 years, Mr. Chan is not seeking re-election at the 2024 Annual General Meeting ("AGM") and is retiring as the Director and concurrently relinquish his position as the Chairman of the Nominating Committee and member of the Audit Committee and Remuneration Committee at the conclusion of the 2024 AGM. Job Title: Independent Director, Chairman of the Nominating Committee and a member of the Audit Committee and Remuneration Committee. Other Director Ships Present: Honorary Professor at Hong Kong University - Department of Electrical and Electronics Engineering. (2002 to present) Distinguished Chair Professor of Hong Kong Polytechnic University (September 2023 to present). Reported Earnings • Jul 09
Full year 2024 earnings released: EPS: HK$2.83 (vs HK$1.69 in FY 2023) Full year 2024 results: EPS: HK$2.83 (up from HK$1.69 in FY 2023). Revenue: HK$328.9m (up 30% from FY 2023). Net income: HK$85.0m (up 68% from FY 2023). Profit margin: 26% (up from 20% in FY 2023). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 33% per year but the company’s share price has increased by 63% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Jun 05
Full year 2024 earnings released Full year 2024 results: Revenue: HK$328.9m (up 30% from FY 2023). Net income: HK$85.0m (up 68% from FY 2023). Profit margin: 26% (up from 20% in FY 2023). The increase in margin was driven by higher revenue. Valuation Update With 7 Day Price Move • Jun 03
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to S$10.05, the stock trades at a trailing P/E ratio of 30.3x. Average trailing P/E is 22x in the IT industry in Asia. Total returns to shareholders of 488% over the past three years. New Risk • Jun 01
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended September 2023. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Major Risks Dividend is not well covered by earnings and cash flows. Payout ratio: 103% Cash payout ratio: 124% High level of non-cash earnings (31% accrual ratio). Minor Risk Latest financial reports are more than 6 months old (reported September 2023 fiscal period end). Announcement • May 31
Azeus Systems Holdings Ltd., Annual General Meeting, Jul 30, 2024 Azeus Systems Holdings Ltd., Annual General Meeting, Jul 30, 2024. Upcoming Dividend • Feb 09
Upcoming dividend of HK$0.90 per share at 4.2% yield Eligible shareholders must have bought the stock before 16 February 2024. Payment date: 28 February 2024. The company is paying out more than 100% of its earnings and cash flow. Trailing yield: 4.2%. Lower than top quartile of Singaporean dividend payers (6.5%). Higher than average of industry peers (1.5%). Reported Earnings • Nov 17
First half 2024 earnings released: EPS: HK$0.91 (vs HK$0.68 in 1H 2023) First half 2024 results: EPS: HK$0.91 (up from HK$0.68 in 1H 2023). Revenue: HK$132.8m (up 14% from 1H 2023). Net income: HK$27.3m (up 35% from 1H 2023). Profit margin: 21% (up from 17% in 1H 2023). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 34% per year but the company’s share price has increased by 89% per year, which means it is tracking significantly ahead of earnings growth. Upcoming Dividend • Oct 23
Upcoming dividend of HK$1.08 per share at 4.4% yield Eligible shareholders must have bought the stock before 30 October 2023. Payment date: 10 November 2023. Payout ratio is on the higher end at 100%, and the cash payout ratio is above 100%. Trailing yield: 4.4%. Lower than top quartile of Singaporean dividend payers (6.7%). Higher than average of industry peers (1.7%). Announcement • Oct 21
Azeus Systems Holdings Ltd. Declares Final Dividend for the Financial Year Ended March 31, 2023, Payable on November 10, 2023 Azeus Systems Holdings Ltd. declared final dividend of HKD 1.08 per ordinary share for the financial year ended 31 March 2023. The final dividend, as approved by the shareholders at the Annual General Meeting held on 31 st July 2023, will be paid on 10 November 2023. Announcement • Sep 06
Azeus Systems Holdings Ltd. Announces Board and Committee Changes Azeus Systems Holdings Ltd. announced appointment of Mr. Chee Yeow Meng as Independent Director. Working Experience: National University of Singapore (between 2019 to current): 1) Vice President (Innovation and Enterprise) 2) Vice Provost (Technology-Enhanced and Experiential Learning) 3) Director, NUS Overseas Colleges 4) Associate Vice President (Innovation and Enterprise) 5) Professor, Department of Industrial Systems Engineering & Management Nanyang Technological University, Singapore (between 2013 to 2019): 6) Interim Dean, College of Science 7) Co-Director, Data Science and Artificial Intelligence Research Centre 8) Professor, School of Physical and Mathematical Sciences 9) Chair, School of Physical and Mathematical Sciences. Other DirectorShips Past: 1) Singapore University Press Pte Ltd. 2) Matchimi Pte Ltd. Other DirectorShips Present: 1) Shannon & Turing Pte Ltd. 2) NUS Press Ptd Ltd. 3) NUS America Inc. 4) NUS Technology Holdings Pte Ltd. 5) NUS Ventures Pte Ltd. 6) KR Consulting Pte Ltd. Professional Qualifications: PhD in Computer Science from University of Waterloo, Canada Master of Mathematic from University of Waterloo, Canada Bachelor of Mathematics (Hon) from University of Waterloo, Canada. Appointment date is September 6, 2023. Mr. Chee Yeow Meng will concurrently assume the roles as the Chairman of the Remuneration Committee and a member of the Audit Committee of the Company. Mr. Stephen Ho ChiMing, the Lead Independent Director and member of the Audit Committee (also the Chairman of the Remuneration Committee and member of the Nominating Committee) has been re-designated to as Chairman of the Audit Committee and a member of the Remuneration Committee, with effect from 6 September 2023. Consequent to the above referred changes, the composition of the Board, Audit and Remuneration Committees of the Company are as follows: Board of Directors: Mr. Lee Wan Lik - Executive Chairman and Director, Mr. Michael Yap Kiam Siew - Chief Executive Officer and Deputy Chairman, Mr. Stephen Ho ChiMing - Lead Independent Director, Mr. Chan Ching Chuen - Independent Director, Mr. Chee Yeow Meng - Independent Director; Audit Committee: Mr. Stephen Ho ChiMing – Chairman, Mr. Chan Ching Chuen – Member, Mr. Chee Yeow Meng – Member; Remuneration Committee: Mr. Chee Yeow Meng – Chairman, Mr. Chan Ching Chuen – Member, Mr. Stephen Ho ChiMing – Member; The composition of the Nominating Committee remains unchanged as follow: Nominating Committee: Mr. Chan Ching Chuen – Chairman, Mr. Lee Wan Lik – Member, Mr. Stephen Ho ChiMing – Member. Announcement • Aug 01
Azeus Systems Holdings Ltd. Approves First and Final Dividend for Financial Year Ended 31 March 2023 Azeus Systems Holdings Ltd. announced at the AGM held on July 31, 2023, approved to declare a first and final dividend of HKD 1.08 per share for the financial year ended 31 March 2023. Reported Earnings • Jul 09
Full year 2023 earnings released: EPS: HK$1.69 (vs HK$1.62 in FY 2022) Full year 2023 results: EPS: HK$1.69 (up from HK$1.62 in FY 2022). Revenue: HK$252.9m (up 16% from FY 2022). Net income: HK$50.5m (up 4.3% from FY 2022). Profit margin: 20% (down from 22% in FY 2022). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 44% per year but the company’s share price has increased by 99% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Jun 01
Full year 2023 earnings released Full year 2023 results: Revenue: HK$252.9m (up 16% from FY 2022). Net income: HK$50.5m (up 4.3% from FY 2022). Profit margin: 20% (down from 22% in FY 2022). The decrease in margin was driven by higher expenses. Board Change • May 01
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 1 experienced director. 4 highly experienced directors. Lead Independent Director Stephen Ho was the last director to join the board, commencing their role in 2020. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Announcement • Jan 05
Azeus Systems Holdings Declares Interim Cash Dividend for the Financial Year Ending 31 March 2023, Payable on 13 January 2023 The Board of Directors (the "Board") of Azeus Systems Holdings Ltd. (the "Company") refers to the Company's Cash Dividend announcement dated 30 November 2022. The Board wishes to announce that the interim dividend (Tax Not Applicable) in respect of the financial year ending 31 March 2023 of HKD 0.60 (Interim Dividend) for each ordinary share in the capital of the Company shall be paid in Singapore currency based on exchange rate of approximately 0.17 i.e. approximately 0.102 Singapore dollars per ordinary share. The Interim Dividend will be paid on 13 January 2023. NOTICE IS HEREBY GIVEN that the Share Transfer Books and Register of Members of the Company will be closed at 5.00 p.m. on 4 January 2023 (the "Record Date") for the purpose of determining the entitlements of the shareholders of the Company. Upcoming Dividend • Dec 27
Upcoming dividend of HK$0.60 per share Eligible shareholders must have bought the stock before 03 January 2023. Payment date: 13 January 2023. The company is paying out more than 100% of its profits but is generating plenty of cash to support the dividend. Trailing yield: 2.6%. Lower than top quartile of Singaporean dividend payers (6.5%). Higher than average of industry peers (1.8%). Reported Earnings • Nov 19
First half 2023 earnings released First half 2023 results: Revenue: HK$116.4m (up 22% from 1H 2022). Net income: HK$20.3m (up 16% from 1H 2022). Profit margin: 17% (in line with 1H 2022). Announcement • Nov 15
Azeus Systems Holdings Ltd. Announces Interim Tax-Exempt (1-Tier) Cash Dividend Azeus Systems Holdings Ltd. declared interim Tax-exempt (1-tier) cash dividend of HKD 0.60 per ordinary share. Announcement • Oct 20
Azeus Systems Holdings Ltd. Ordinary Shares to Be Deleted from OTC Equity Azeus Systems Holdings Ltd. Ordinary Shares (Singapore) will be deleted from OTC Equity effective from October 20, 2022, due to Inactive Security. Announcement • Oct 11
Azeus Systems Holdings Ltd. Approves Final Dividend for the Financial Year Ended 31 March 2022, Payable on 31 October 2022 Azeus Systems Holdings Ltd. will be closed at 5.00 p.m. on 18 October 2022 (the "Record Date") for the purpose of determining the entitlements of the shareholders of the Company ("Shareholders") to the first and final dividend of HKD 1.62 per ordinary share for the financial year ended 31 March 2022 (the "final dividend"). The final dividend, as approved by the shareholders at the Annual General Meeting held on 15 July 2022, will be paid on 31 October 2022. Announcement • Jul 16
Azeus Systems Holdings Ltd. Approves First and Final Dividend for the Financial Year Ended 31 March 2022 Azeus Systems Holdings Ltd. approved to declare a first and final dividend of HKD 1.62 per share for the financial year ended 31 March 2022 at the Annual General Meeting held on July 15, 2022. Announcement • Jun 24
Azeus Systems Holdings Ltd. Proposes to Declare First and Final Dividend for the Financial Year Ended 31 March 2022 Azeus Systems Holdings Ltd. proposed to declare a first and final dividend of HKD 1.62 per share for the financial year ended 31 March 2022 in the Annual General Meeting to be held on July 15, 2022. Reported Earnings • May 29
Full year 2022 earnings released Full year 2022 results: Revenue: HK$217.7m (up 22% from FY 2021). Net income: HK$48.5m (up 105% from FY 2021). Profit margin: 22% (up from 13% in FY 2021). The increase in margin was driven by higher revenue. Announcement • May 28
Azeus Systems Holdings Ltd., Annual General Meeting, Jul 15, 2022 Azeus Systems Holdings Ltd., Annual General Meeting, Jul 15, 2022. Agenda: To recommend final dividend. Valuation Update With 7 Day Price Move • May 11
Investor sentiment improved over the past week After last week's 19% share price gain to S$7.40, the stock trades at a trailing P/E ratio of 41.5x. Average trailing P/E is 21x in the IT industry in Asia. Total returns to shareholders of 1,909% over the past three years. Announcement • May 10
Azeus Systems Holdings Ltd. Announces Demise of Lam Pui Wan, Executive Director Azeus Systems Holdings Ltd. announced Demise of Executive Director, Ms Lam Pui Wan. Valuation Update With 7 Day Price Move • Mar 30
Investor sentiment improved over the past week After last week's 21% share price gain to S$6.30, the stock trades at a trailing P/E ratio of 36.1x. Average trailing P/E is 24x in the IT industry in Asia. Total returns to shareholders of 1,510% over the past three years. Valuation Update With 7 Day Price Move • Feb 11
Investor sentiment deteriorated over the past week After last week's 18% share price decline to S$6.00, the stock trades at a trailing P/E ratio of 34.6x. Average trailing P/E is 25x in the IT industry in Asia. Total returns to shareholders of 1,686% over the past three years. Valuation Update With 7 Day Price Move • Oct 15
Investor sentiment improved over the past week After last week's 57% share price gain to S$9.60, the stock trades at a trailing P/E ratio of 70.2x. Average trailing P/E is 26x in the IT industry in Asia. Total returns to shareholders of 3,319% over the past three years. Valuation Update With 7 Day Price Move • Sep 28
Investor sentiment improved over the past week After last week's 16% share price gain to S$4.56, the stock trades at a trailing P/E ratio of 33.3x. Average trailing P/E is 26x in the IT industry in Asia. Total returns to shareholders of 2,029% over the past three years. Valuation Update With 7 Day Price Move • Jul 22
Investor sentiment improved over the past week After last week's 21% share price gain to HK$2.75, the stock trades at a trailing P/E ratio of 19.9x. Average trailing P/E is 26x in the IT industry in Asia. Total returns to shareholders of 1,006% over the past three years. Reported Earnings • Jun 23
Full year 2021 earnings released: EPS HK$0.79 (vs HK$0.42 in FY 2020) The company reported a decent full year result with improved earnings and profit margins, although revenues were weaker. Full year 2021 results: Revenue: HK$178.1m (down 1.7% from FY 2020). Net income: HK$23.7m (up 87% from FY 2020). Profit margin: 13% (up from 7.0% in FY 2020). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 41% per year but the company’s share price has increased by 106% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Jun 03
Investor sentiment improved over the past week After last week's 16% share price gain to HK$2.00, the stock trades at a trailing P/E ratio of 14.9x. Average trailing P/E is 26x in the IT industry in Asia. Total returns to shareholders of 751% over the past three years. Reported Earnings • May 29
Full year 2021 earnings released: EPS HK$0.79 (vs HK$0.42 in FY 2020) The company reported a decent full year result with improved earnings and profit margins, although revenues were weaker. Full year 2021 results: Revenue: HK$178.1m (down 1.7% from FY 2020). Net income: HK$23.7m (up 87% from FY 2020). Profit margin: 13% (up from 7.0% in FY 2020). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 41% per year but the company’s share price has increased by 96% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Jan 21
Investor sentiment improved over the past week After last week's 19% share price gain to HK$1.79, the stock is trading at a trailing P/E ratio of 16.8x, up from the previous P/E ratio of 14.1x. This compares to an average P/E of 27x in the IT industry in Asia. Total returns to shareholders over the past three years are 371%.