VCI Global Limited ((VCIG)) has held its Q2 earnings call. Read on for the main highlights of the call.
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The latest earnings call from VCI Global Limited painted a predominantly positive picture, with strong growth in the technology segment and overall revenue. The company highlighted significant strategic initiatives, such as the launch of GPU services and plans for an IPO. While there was some moderation in consultancy revenue and a decrease in other services revenue, the highlights significantly outweighed the lowlights, indicating a positive outlook for the company.
Technology Segment Growth
The technology segment of VCI Global Limited experienced remarkable growth, with revenue soaring to USD 9.3 million in the first half of 2025, up from USD 1.7 million the previous year. This substantial increase marks a structural shift in the company’s business, underscoring the importance of technology in its growth strategy.
Overall Revenue and EBITDA Increase
VCI Global’s revenue grew by 37% year-on-year, reaching USD 18.7 million, driven by strong momentum in the technology sector. The company’s EBITDA also saw a significant boost, amounting to USD 5.2 million, supported by top-line growth and disciplined execution.
Launch of GPU Lounge and GPU Cloud Platform
The company is set to launch its GPU Lounge and GPU cloud platform, marking its expansion into GPU as a service. This move is expected to open new revenue streams and align strategically with the company’s growth objectives.
IPO Plan for Capital Markets Advisory Arm
VCI Global is planning an IPO for its capital market advisory arm in the first quarter of 2026. This strategic move highlights the company’s flexibility and potential to unlock value in its advisory services.
Strong Gross Margin and Profitability
The company’s gross profit increased by 17% to USD 15.1 million, maintaining a robust gross margin of 80%. Net profit after tax was reported at USD 4.66 million, with a net margin of 35%, reflecting strong profitability.
Interest Income Growth
Interest income saw a notable increase, rising to USD 1.3 million from USD 0.7 million a year ago. This growth was driven by a larger loan receivable base and client financing activities.
Moderation in Consultancy Revenue
After a strong performance in 2024, consultancy revenue moderated year-over-year, indicating a return to more typical activity levels. This moderation suggests a stabilization in the consultancy segment.
Decrease in Other Services Revenue
Revenue from other services decreased significantly, contributing only USD 43,000 compared to USD 140,000 last year. This decline highlights a challenge in maintaining revenue from these services.
Forward-Looking Guidance
Looking ahead, VCI Global is focused on executing and scaling its AI infrastructure and cybersecurity offerings. The company plans to launch a GPU Lounge and GPU cloud platform, expanding into GPU as a service. Additionally, a planned IPO for their capital market advisory arm is set for the first quarter of 2026. The company aims for commercial traction and revenue visibility within 12 to 24 months, maintaining a disciplined approach to investment and risk management.
In summary, VCI Global Limited’s earnings call reflected a strong positive sentiment, driven by significant growth in the technology segment and overall revenue. The company’s strategic initiatives, such as the launch of GPU services and an upcoming IPO, highlight its forward-thinking approach. Despite some moderation in consultancy revenue and a decrease in other services revenue, the overall outlook remains optimistic, with a focus on strategic growth and profitability.