TechCreate Group Ltd., a Singapore-based provider of payment software and technology consultancy services, released its financial results for the first half of fiscal year 2025, covering the period ended June 30, 2025. The company reported a 10.4% revenue increase amid strategic shifts toward higher-margin professional services. Operational wins in Southeast Asia and a recent U.S. IPO marked key developments during this timeframe.
Operational Milestones
TechCreate secured several contracts that bolstered its regional footprint in payment processing and digital infrastructure. The company won a new project for its Real-Time Engine in Singapore, a core offering that leverages artificial intelligence for efficient transaction handling. An existing client in Brunei also contracted enhancements to this engine, extending TechCreate’s involvement in real-time payment systems.
In Cambodia, TechCreate’s local team launched and delivered QR Soundbox Terminal deployments for a bank, marking entry into hardware-linked payment solutions. These soundbox devices, which provide audio confirmations for QR code transactions, align with growing demand for accessible digital payments in emerging markets. Such projects reflect TechCreate’s focus on end-to-end services, from software development to hardware integration and support.
The period capped with TechCreate’s initial public offering on the NYSE American. On October 15, 2025, the company listed its Class A ordinary shares under the ticker TCGL, raising $10.2 million initially at $4.00 per share, with an additional option for 382,500 shares that brought total gross proceeds to $11.73 million before expenses. This listing provides capital for expansion in payment solutions, cybersecurity, and cloud services across financial institutions and enterprises.
Revenue Breakdown and Drivers
Total revenue reached S$1.9 million (US$1.5 million) for the six months, up 10.4% from S$1.8 million the prior year. Growth stemmed mainly from professional services, fueled by the Singapore Real-Time Engine project and Brunei enhancements. Hardware sales climbed with the Cambodia QR Soundbox rollout, while hosting and support services added incremental gains.
Offsetting these advances, software license and maintenance sales declined as TechCreate de-emphasized lower-margin resales of third-party products. This pivot supports a strategy prioritizing proprietary solutions like the AI Real-Time Engine, which processes payments securely and at speed for banks and telecoms. Regional demand in Southeast Asia, where digital payments are expanding rapidly, underpins this trajectory.
Cost Management and Profitability Gains
Cost of revenue fell 22.7% to S$0.6 million (US$0.4 million), driven by reduced third-party license maintenance expenses. With fewer low-margin license deals, vendor-related outlays dropped significantly. This efficiency directly lifted gross profit margins to 70.5%, a substantial rise from 57.8% last year, as professional services—higher-margin by nature—gained share.
Professional fees typically involve customized consulting and implementation, incurring lower variable costs than hardware procurement or license pass-throughs. TechCreate’s emphasis on services like API management, cybersecurity assessments, and cloud migrations positions it to capture value in enterprise digital transformation projects.
Operating Expense Trends
Operating expenses edged up 2.2% to S$1.3 million (US$1.0 million). General and administrative costs rose alongside selling and distribution efforts to secure new deals, though research and development spending declined. This controlled increase reflects scaling operations post-IPO while maintaining discipline.
Path to Breakeven
Net loss narrowed sharply to S$20,000 (US$16,000), compared to S$0.4 million the year before. Improved gross profit and margins covered most operating costs, signaling progress toward profitability. Cash and equivalents stood at S$1.3 million (US$1.0 million) as of June 30, 2025, bolstered later by IPO proceeds.
TechCreate’s model revolves around payment infrastructure for institutions navigating regulatory and technological shifts. Real-time systems address needs for instant settlements, while QR solutions cater to merchant adoption in cash-heavy regions like Cambodia. Cybersecurity and cloud offerings complement these, providing layered defenses and scalable hosting.
Strategic Outlook from Leadership
CEO Heng Hai Lim highlighted the period’s professional services growth as a standout. Notable deals in Singapore, Brunei, and Cambodia demonstrate client trust in TechCreate’s execution capabilities. The company plans to further reduce reliance on software licenses, targeting professional services expansion with existing and prospective clients globally.
Post-IPO, TechCreate eyes broader market penetration. Listing on NYSE American enhances visibility to institutional investors, potentially funding talent acquisition and product innovation. Challenges persist, including competition from larger payment processors and currency fluctuations in SGD-denominated operations. Yet, narrowing losses and a healthier balance sheet position the firm for measured growth in a competitive sector.
In the broader context, Southeast Asia’s payment ecosystem is maturing, with governments pushing real-time rails and digital inclusion. TechCreate’s niche in AI-driven engines and localized hardware fits this trend, though execution on larger contracts will determine sustained momentum.
About TechCreate Group Ltd.
TechCreate Group Ltd. is a Singapore-based payment software solutions provider. Founded in 2015, the Company delivers digital payment and infrastructure solutions to financial institutions, telecommunications, deposit insurance, and enterprises. TechCreate’s offerings include real-time payment systems, digital banking platforms, API management, cybersecurity, and cloud computing. Its proprietary Artificial Intelligence Real-Time Engine (AI-RTE) is designed to enable fast, secure, and efficient payment processing. For more information, visit https://www.techcreate.com.sg/.
