HRnetGroup : Financial Statement

HRnetGroup Limited

Condensed Financial Statements

For the six months and full year ended 31 December 2025

Table of Contents

1. Performance Summary and Outlook 1 - 2
2. Condensed consolidated statement of profit or loss and other comprehensive income 3
3. Condensed statements of financial position 4
4. Condensed statements of changes in equity 5 - 8
5. Condensed consolidated statement of cash flows 9
6. Notes to the condensed consolidated financial statements 10 - 16
7. Other Information Require by Listing Rule Appendix 7.2 17 - 20

1. Performance Summary and Outlook FY2025 Financial Results Double-Digit Growth in Earnings and Dividends

   The Board of Directors of HRnetGroup Limited reports a 14.3% increase in NPAT to S$52.9m, on 3.0% revenue growth to S$584.0m.

   The Directors propose a 10% higher Final Dividend of 2.2 cents per share. Full year total dividend of 4.2 cents represents a yield of 5.6%1, a 78% payout of NPAT, and 79% of free cash flow.

   Operations

   2H2025 vs 2H2024: Revenue increased 2.6% and GP rose 4.2%. SG&A declined 0.7%, resulting in 14.3% growth in operating profit.

   2H2025 vs 1H2025: GP increased 0.7% and SG&A fell 7.0%, lifting operating profit by 18.7%, despite 2H revenue being lower by 2.4% in line with seasonal patterns.

   Business Mix

   The Group operates two core segments: Flexible Staffing (FS) and Professional Recruitment (PR).

   1. FS contributed 89.7% of Group revenue and increased 3.2% to S$524.1m. Average monthly contractors increased 5.6% to 16,421 as increases in Taiwan, Indonesia and Mainland China offset the reduction in Singapore.

      FS GP was stable at S$63.8m, with an average GP margin of 12.2% (FY2024: 12.6%). GP/Contractor in Singapore held steady, while international markets experienced some pricing pressure.

   2. PR contributed 9.6% of revenue and 45.2% of GP, with a GP margin of 99.6%. Revenue increased 1.6% to S$55.8m and GP rose 1.3% to S$55.6m. Placement volume increased 4.6% to 4,766.

      Senior executive search led with 16.2% GP growth, as placements increased by 7.2% and GP/Placement improved 8.4%. Stronger activity in Taiwan, Mainland China, Korea, Thailand and Malaysia offset softer conditions in Singapore.

      The blended GP margin fell from 21.6% to 21.0% as FS continued to exceed PR in relative contribution.

      Other Income

      Other income rose S$6.9m to S$22.3m, driven by:

      • S$9.3m in fair value net gains on financial assets and gold, S$2.3m in government grants mainly from prior-year PWCS receipts, and a S$0.8m gain from disposal of financial assets.

        partially offset by

      • lower interest income of S$2.7m and the absence of S$2.3m in trade-related accrual reversals recorded in FY2024.

        Operating Expenses

        Cost discipline remained tight. SG&A increased only S$1.1m, mainly due to:

      • higher employee costs of S$1.1m from increased headcount, incentives and bonuses, and realised/unrealised foreign exchange losses of S$1.0m from a stronger SGD.

        partially offset by

      • reduction of S$1.4m in facilities and depreciation expenses, following office consolidation and lease optimisation initiatives.

   ‌1 Based on closing price of S$0.75 per share on 31 December 2025

   Financial Position and Cash Flow

   1. The Group maintained a strong balance sheet. Cash and cash equivalents increased to S$262.9m by S$4.5m due to:

      • Operating activities' net inflow of S$56.5m;

      • less: Investing activities' net outflow S$7.5m, driven by S$30.8m net investments in CLNs2, S$4.5m property, plant and equipment, S$2.9m gold; partially offset by S$21.3m net disposals of T-bills2, S$8.7m other financial assets and S$0.7m dividends received; and

      • less: Financing activities' net outflow S$43.6m, mainly from S$42.0m dividend payments, S$3.3m net acquisition of subsidiaries' interests, and S$4.9m lease repayments, partially offset by S$7.1m from treasury share placement.

   2. Other receivables and prepayments declined S$1.1m due to lower interest receivables.

   3. Other assets comprised gold holdings which increased S$5.3m from higher gold holdings and revaluation gains.

   4. Other financial assets (current) declined S$4.9m following the disposal of marketable securities, partially offset by revaluation gains.

   5. Property, plant and equipment increased S$2.8m following the capitalisation of the Jakarta office property which was accounted for as advanced deposits last year.

   6. Financial assets measured at FVTOCI increased S$6.5m due to fair value gains in Staffline and Bamboos.

   Industry Trends, Competitive Conditions and Outlook

   Over the past eight years, the Group has delivered steadier revenue growth and profitability than most global peers, avoiding the volatility, weaker post-pandemic recovery, and multi-year losses seen across the sector.

   Hiring remains selective, and competition in mid-level recruitment continues to be intense. To navigate this environment, the Group is focused on the following strategies.

   1. Pivoting Professional Recruitment towards senior executive search, where placement volumes and GP/Placement is higher.

   2. Expanding Flexible Staffing which provides a strong and stable revenue and GP base. This capitalizes on the

      Group's balance sheet strength for contractor headcount growth across international markets.

   3. Cultivating recurring revenue streams such as Octomate, a workforce-management platform generating implementation fees and scalable 3-5-year subscription income. It is gaining traction with government and multinational clients.

   ‌2 Credit Linked Notes (CLN) are DBS issued notes with Monetary Authority of Singapore (MAS) bill as credit underlying. T-bills are short term Singapore Government Securities (SGS) issued by MAS.

2. Condensed consolidated statement of profit or loss and other comprehensive income

   Revenue

   Sub-contractor expenses

   Gross profit ("GP")

   Other income

   Selling, general, administrative and

   other expenses ("SG&A"):

   Other employee benefit expenses Facilities and depreciation expenses Selling expenses

   Other expenses Finance costs

   Profit before income tax

   Income tax expense

   Profit for the year ("NPAT")

   Other comprehensive (loss) income :

   Items that will not be reclassified subsequently to profit or loss

   Net fair value (loss) gain on investments in equity instruments designated at FVTOCI

   Items that may be reclassified subsequently to profit or loss

   (1,324)	370	n.m.		(1,050)	(670)	56.7
   (2,287)	(4,536)	(49.6)		5,424	(458)	n.m.
   21,597	18,948	14.0		58,342	45,821	27.3
   23,175	22,836	1.5		51,190	44,518	15.0
   709	648	9.4		1,728	1,761	(1.9)
   23,884	23,484	1.7		52,918	46,279	14.3

   Exchange differences on translation of foreign operations

   Other comprehensive (loss) income for the year, net of tax

   Total comprehensive income for the year

   Profit attributable to:

   Owners of the Company ("PATMI")

   Non-controlling interests

   Group

   Six months ended 31 December Year ended 31 December

   Note	2025	2024	Change		2025	2024	Change
   	S$'000	S$'000	%		S$'000	S$'000	%
   3	288,465	281,090	2.6		584,010	566,996	3.0
   	(226,788)	(221,879)	2.2		(461,114)	(444,786)	3.7
   3	61,677	59,211	4.2		122,896	122,210	0.6
   	6,534	8,932	(26.8)		22,313	15,444	44.5
   	(31,874)	(30,749)	3.7		(65,088)	(63,942)	1.8
   	(5,109)	(5,725)	(10.8)		(10,008)	(11,407)	(12.3)
   	(1,438)	(1,635)	(12.0)		(3,150)	(3,032)	3.9
   	(1,069)	(1,684)	(36.5)		(3,657)	(2,647)	38.2
   	(370)	(330)	12.1		(799)	(623)	28.3
   	(39,860)	(40,123)	(0.7)		(82,702)	(81,651)	1.3
   4	28,351	28,020	1.2		62,507	56,003	11.6
   5	(4,467)	(4,536)	(1.5)		(9,589)	(9,724)	(1.4)
   	23,884	23,484	1.7		52,918	46,279	14.3

   (963) (4,906) (80.4) 6,474 212 n.m.

   Total comprehensive income attributable to:
   Owners of the Company	20,641	18,240	13.2		56,544	44,096	28.2
   Non-controlling interests	956	708	35.0		1,798	1,725	4.2
   	21,597	18,948	14.0		58,342	45,821	27.3
   Basic earnings per share (cents)	2.37	2.33			5.21	4.53
   Diluted earnings per share (cents)	2.37	2.33			5.21	4.53

3. Condensed statements of financial position

   Group Company

   		31 December	31 December		31 December	31 December
   	Note	2025	2024		2025	2024
   		S$'000	S$'000		S$'000	S$'000
   ASSETS
   Current assets Cash and cash equivalents		262,944	258,398		74,698	77,562
   Trade receivables		93,872	93,298		-	-
   Other receivables and prepayments		6,183	7,313		84,995	90,767
   Other assets		9,655	4,325		9,655	4,325
   Other financial assets	10	73,658	68,745		43,895	29,358
   Total current assets		446,312	432,079		213,243	202,012
   Non-current assets Pledged deposits		989	1,182		-	-
   Property, plant and equipment	8	5,670	2,827		-	-
   Right-of-use assets		13,767	12,920		-	-
   Other intangible assets		1,455	1,622		-	-
   Other non-current assets		-	2,880		-	-
   Goodwill Subsidiaries		6,350 -	6,310 -		- 48,428	- 48,428
   Other financial assets	10	26,502	19,748		24,902	18,147
   Deferred tax assets		2,739	2,713		-	-
   Total non-current assets		57,472	50,202		73,330	66,575
   Total assets		503,784	482,281		286,573	268,587
   LIABILITIES AND EQUITY
   Current liabilities
   Trade payables		9,348	9,623		-	-
   Other payables and accruals		57,035	55,357		64,993	61,279
   Leases liabilities		4,710	4,651		-	-
   Income tax payable		8,303	8,978		318	366
   Total current liabilities		79,396	78,609		65,311	61,645
   Non-current liabilities
   Deferred tax liabilities		306	437		-	-
   Leases liabilities		10,003	9,057		-	-
   Total non-current liabilities		10,309	9,494		-	-
   Capital, reserves and
   non-controlling interests Share capital	9	260,605	260,605		260,605	260,605
   Treasury shares	9	(16,136)	(22,690)		(16,136)	(22,690)
   Equity reserve		(48,840)	(46,821)		(542)	(437)
   Investments revaluation reserve		(44,974)	(51,448)		(44,974)	(51,448)
   Translation reserve		(5,942)	(4,806)		-	-
   Retained earnings		257,403	243,999		22,309	20,912
   Equity attributable to owners		402,116	378,839		221,262	206,942
   of the Company
   Non-controlling interests		11,963	15,339		-	-
   Total equity		414,079	394,178		221,262	206,942
   Total liabilities and equity		503,784	482,281		286,573	268,587

4. Condensed statements of changes in equity

	Note	Share capital	Treasury shares	Equity reserve	Investments revaluation reserve	Translation reserve	Retained earnings	Equity attributable to owners of the Company	Non-controlling interests	Total equity
Group		S$'000	S$'000	S$'000	S$'000	S$'000	S$'000	S$'000	S$'000	S$'000
2025
Balance as at 1 January 2025		260,605	(22,690)	(46,821)	(51,448)	(4,806)	243,999	378,839	15,339	394,178
Total comprehensive income (loss) for the year
Profit for the year		-	-	-	-	-	51,190	51,190	1,728	52,918
Other comprehensive income (loss) for the year					6,474	(1,120)	-	5,354	70	5,424
Total		-	-	-	6,474	(1,120)	51,190	56,544	1,798	58,342
Transactions with owners, recognised directly in equity
Dividends	6	-	-	-	-	-	(40,435)	(40,435)	(1,307)	(41,742)
Purchase of treasury shares	9	-	(891)	-	-	-	-	(891)	-	(891)
Treasury shares reissued pursuant to share-based payment expenses	9	-	213	-	-	-	(8)	205	-	205
Sale of treasury shares	9	-	7,232	(105)	-	-	-	7,127		7,127
Capital contribution by non-controlling shareholders		-	-	-	-	-	-	-	231	231
Transactions with non-controlling shareholders		-	-	(1,446)	-	(16)	2,657	1,195	(1,195)	-
Change in ownership interests in subsidiaries		-	-	(468)	-	-	-	(468)	(2,903)	(3,371)
Total		-	6,554	(2,019)	-	(16)	(37,786)	(33,267)	(5,174)	(38,441)
Balance as at 31 December 2025		260,605	(16,136)	(48,840)	(44,974)	(5,942)	257,403	402,116	11,963	414,079

D. Condensed statements of changes in equity (cont'd)

	Note	Share capital	Treasury Shares	Equity reserve	Investments revaluation reserve	Translation reserve	Retained earnings	Equity attributable to owners of the Company	Non-controlling interests	Total equity
Group		S$'000	S$'000	S$'000	S$'000	S$'000	S$'000	S$'000	S$'000	S$'000
2024
Balance as at 1 January 2024		260,605	(19,709)	(47,193)	(51,660)	(4,172)	238,743	376,614	16,327	392,941
Total comprehensive income (loss) for the year
Profit for the year		-	-	-	-	-	44,518	44,518	1,761	46,279
Other comprehensive income (loss) for the year		-	-	-	212	(634)	-	(422)	(36)	(458)
Total		-	-	-	212	(634)	44,518	44,096	1,725	45,821
Transactions with owners, recognised directly in equity
Dividends	6	-	-	-	-	-	(39,255)	(39,255)	(1,548)	(40,803)
Purchase of treasury shares	9	-	(3,343)	-	-	-	-	(3,343)	-	(3,343)
Treasury shares reissued pursuant to share-based payment expenses	9	-	362	-	-	-	(7)	355	-	355
Non-controlling interests arising from acquisition and capital contribution		-	-	-	-	-	-	-	468	468
Change in ownership interests in subsidiaries		-	-	372	-	-	-	372	(1,633)	(1,261)
Total		-	(2,981)	372	-	-	(39,262)	(41,871)	(2,713)	(44,584)
Balance as at 31 December 2024		260,605	(22,690)	(46,821)	(51,448)	(4,806)	243,999	378,839	15,339	394,178

D. Condensed statements of changes in equity (cont'd)

	Note	Share capital	Treasury shares	Equity reserve	Investments revaluation reserve	Retained earnings	Total equity
Company		S$'000	S$'000	S$'000	S$'000	S$'000	S$'000
2025
Balance as at 1 January 2025		260,605	(22,690)	(437)	(51,448)	20,912	206,942
Total comprehensive income for the year
Profit for the year		-	-	-	-	41,840	41,840
Other comprehensive income for the year		-	-	-	6,474	-	6,474
Total		-	-	-	6,474	41,840	48,314
Transactions with owners, recognised directly in equity
Dividends	6	-	-	-	-	(40,435)	(40,435)
Purchase of treasury shares	9	-	(891)	-	-	-	(891)
Treasury shares reissued pursuant to share-based payment expenses	9	-	213	-	-	(8)	205
Sale of treasury shares	9	-	7,232	(105)	-	-	7,127
Total		-	6,554	(105)	-	(40,443)	(33,994)
Balance as at 31 December 2025		260,605	(16,136)	(542)	(44,974)	22,309	221,262

D. Condensed statements of changes in equity (cont'd)

	Note	Share capital	Treasury shares	Equity reserve	Investments revaluation reserve	Retained earnings	Total equity
Company		S$'000	S$'000	S$'000	S$'000	S$'000	S$'000
2024
Balance as at 1 January 2024		260,605	(19,709)	(437)	(51,660)	22,133	210,932
Total comprehensive income for the year
Profit for the year		-	-	-	-	38,041	38,041
Other comprehensive income for the year		-	-	-	212	-	212
Total		-	-	-	212	38,041	38,253
Transactions with owners, recognised directly in equity
Dividends	6	-	-	-	-	(39,255)	(39,255)
Purchase of treasury shares	9	-	(3,343)	-	-	-	(3,343)
Treasury shares reissued pursuant to share-based payment expenses	9	-	362	-	-	(7)	355
Total		-	(2,981)	-	-	(39,262)	(42,243)
Balance as at 31 December 2024		260,605	(22,690)	(437)	(51,448)	20,912	206,942

E. Condensed consolidated statement of cash flows		Group
Note		2025	2024
Operating activities		S$'000	S$'000
Profit before income tax Adjustments for: Depreciation of property, plant and equipment		62,507 1,075	56,003 1,043
Depreciation of right-of-use assets		5,128	6,244
Amortisation of intangible assets		672	519
Gain on lease modification		(10)	(4)
Interest income		(5,343)	(8,012)
Finance costs		799	623
Dividend income		(586)	(914)
Share-based payment expenses		206	355
Loss on disposal of plant and equipment		-	8
Gain on disposal of investments		(837)	(83)
Net fair value (gain) loss on financial assets mandatorily measured		(2,545)	4,311
at FVTPL
Net fair value gain on other assets		(3,420)	(997)
Allowance for doubtful receivables		100	60
Operating cash flows before movements in working capital		57,746	59,156
Trade receivables		(666)	1,149
Other receivables and prepayments		3,036	(2,875)
Trade payables		(280)	835
Other payables and accruals		1,635	(2,096)
Cash generated from operations		61,471	56,169
Interest received		6,338	7,553
Interest paid		(798)	(623)
Income tax paid		(10,535)	(11,498)
Net cash from operating activities		56,476	51,601
Investing activities Dividends received		693	894
Purchase of property, plant and equipment and intangible assets		(4,473)	(2,173)
Proceeds from disposal of plant and equipment		-	3
Purchase of financial assets mandatorily measured at FVTPL		(65,591)	(60,968)
Proceeds from disposal of financial assets mandatorily measured at FVTPL		43,461	78,601
Purchase of financial assets measured at amortised cost		(100,429)	(92,255)
Proceeds from disposal of financial assets measured at amortised cost Purchase of other assets		121,735 (2,898)	63,140 -
Net cash used in investing activities		(7,502)	(12,758)
Financing activities Dividends paid to non-controlling shareholders		(1,525)	(1,749)
Dividends paid	6	(40,435)	(39,255)
Net withdrawal of pledged deposits		196	27
Purchase of treasury shares	9	(891)	(3,343)
Proceeds from sale of treasury shares	9	7,127	-
Capital contributions by non-controlling shareholders in subsidiaries		191	21
Change in ownership interests in subsidiaries		(3,333)	(1,305)
Repayment of lease liabilities		(4,931)	(5,866)
Net cash used in financing activities		(43,601)	(51,470)
Net increase (decrease) in cash and cash equivalents		5,373	(12,627)
Cash and cash equivalents at beginning of the year		258,398	271,586
Effect of foreign exchange rate changes		(827)	(561)
Cash and cash equivalents at end of the year		262,944	258,398

F. Notes to the condensed consolidated financial statements for the year ended 31 December 2025

1. General

   HRnetGroup Limited (the "Company") (Registration No.201625854G) is incorporated in Singapore with its principal place of business and registered office at 391A Orchard Road, #23-03 Ngee Ann City Tower A, Singapore 238873. The Company is listed on the mainboard of the Singapore Exchange Securities Trading Limited ("SGX-ST"). These condensed consolidated financial statements as at and for the year ended 31 December comprise the Company and its subsidiaries (collectively, the "Group").

   The principal activity of the Company is that of investment holding. The principal activities of the Group are providing services on:

   1. Flexible Staffing; and

   2. Professional Recruitment.

2. Basis of preparation

   The condensed financial statements have been prepared in accordance with SFRS(I) 1-34 Interim Financial Reporting and should be read in conjunction with the annual consolidated financial statements of the Group and statement of financial position and statement of changes in equity of the Company for the year ended 31 December 2024.

   The same accounting policies, presentation and methods of computation have been followed in these condensed financial statements as were applied in the preparation of the Group's financial statements for the year ended 31 December 2024. The accounting policies adopted are consistent with those of the previous financial year which were prepared in accordance with SFRS(I)s, except for the adoption of new and amended standards which have no material effect on the condensed financial statements of the Group.

   1. Use of judgements and estimates

      In preparing the condensed consolidated financial statements, management has made judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, income and expense. Actual results may differ from these estimates.

      The significant judgements made by management in applying the Group's accounting policies were the same as those that applied to the consolidated financial statements as at and for the year ended 31 December 2024. The key assumptions concerning the future, and other key sources of estimation uncertainty at the end of the reporting period, that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are those relating to trade related accruals. Management determines trade related accruals by considering historical data and forward-looking information, which is the key assumptions in measuring the expected amount of trade related accruals.

3. Segment and revenue information

For purposes of resource allocation and assessment of segment performance, the Group's chief operating decision makers have focused on the business operating units which in turn are segregated based on the type of services supplied. This forms the basis of identifying the segments of the Group under SFRS(I) 8 Operating segments as follows:

1. Flexible staffing;

2. Professional recruitment; and

3. Others.

The accounting policies of the reportable segments are the same as the Group's accounting policies applied to the consolidated financial statements as at and for the year ended 31 December 2024. Segment profit represents the profit earned by each segment without allocation of other income, other employee benefit expenses, facilities and depreciation expenses, selling expenses, other expenses and finance costs. This is the measure reported to the chief operating decision makers for the purposes of resource allocation and assessment of segment performance.

Information regarding the operations of each reportable segment is included below.

Business segment revenue, gross profit and results

The following are analysis of the Group's revenue and results by reportable segments for the six months and the year ended 31 December, respectively:

Group Six months ended 31 December

2025 2024

$'000 $'000

Revenue

Singapore North Asia*

Rest of Asia#

Total Singapore North Asia*

Rest of Asia#

Total

Flexible staffing Professional	169,266	73,775	15,259	258,300		174,627	65,803	12,261	252,691
Recruitment	8,574	17,723	1,758	28,055		9,585	15,391	1,285	26,261
Others	1,091	922	97	2,110		968	1,125	45	2,138
	178,931	92,420	17,114	288,465		185,180	82,319	13,591	281,090
Gross Profit
Flexible staffing Professional Recruitment	22,482 8,545	8,203 17,623	1,294 1,757	31,979 27,925		22,781 9,563	7,357 15,374	1,172 1,284	31,310 26,221
Others	973	721	79	1,773		895	752	33	1,680
	32,000	26,547	3,130	61,677		33,239	23,483	2,489	59,211
Other income Other employee benefit expenses				6,534 (31,874)					8,932 (30,749)
Facilities and depreciation expenses				(5,109)					(5,725)
Selling expenses				(1,438)					(1,635)
Other expenses				(1,069)					(1,684)
Finance costs				(370)					(330)
Profit before income tax				28,351					28,020

1. Segment and revenue information (cont'd)

   Group Year ended 31 December

   2025 2024

   $'000 $'000

   Revenue	Singapore	North Asia*	Rest of Asia#	Total		Singapore	North Asia*	Rest of Asia#	Total
   Flexible staffing Professional Recruitment	348,830 16,316	145,695 36,055	29,554 3,417	524,079 55,788		355,119 18,805	128,556 33,366	24,281 2,765	507,956 54,936
   Others	2,169	1,803	171	4,143		1,841	2,183	80	4,104
   	367,315	183,553	33,142	584,010		375,765	164,105	27,126	566,996
   Gross Profit Flexible staffing	45,487	15,775	2,557	63,819		47,337	14,456	2,284	64,077
   Professional Recruitment	16,262	35,884	3,416	55,562		18,763	33,328	2,763	54,854
   Others	1,981	1,386	148	3,515		1,705	1,508	66	3,279
   	63,730	53,045	6,121	122,896		67,805	49,292	5,113	122,210
   Other income Other employee benefit expenses				22,313 (65,088)					15,444 (63,942)
   Facilities and
   depreciation expenses	(10,008)				(11,407)
   Selling expenses	(3,150)				(3,032)
   Other expenses	(3,657)				(2,647)
   Finance costs	(799)				(623)
   Profit before income tax	62,507				56,003

   Total assets

   392,066

   96,766

   14,952

   503,784

   378,181

   90,428

   13,672

   482,281

   * North Asia comprises People's Republic of China, Taiwan, Hong Kong S.A.R., Japan and South Korea.

   # Rest of Asia comprises Malaysia, Thailand, Indonesia and Vietnam.

   Revenue reported above represents revenue generated from external customers. There were no inter-segment sales.

   For the purposes of monitoring segment performance and allocating resources between segments, the chief operating decision makers monitor the tangible, intangible and financial assets attributable to each segment.

   Liabilities are not allocated as they are not monitored by the chief operating decision makers for the purposes of resource allocation and assessment of segment performance.

   		Group
   		Six months ended 31 December		Year ended 31 December
   		2025 2024		2025 2024
   		S$'000 S$'000		S$'000 S$'000
   Net fair value gain (loss) on financial assets mandatorily measured at FVTPL(1)		681 (1,979)		2,545 (4,311)
   Gain on disposal of investments		330	-	837	83
   Government subsidies(2)		471	5,585	9,174	6,839
   Reversal of trade related accruals		-	-	-	2,284
   Interest income		2,160	3,944	5,343	8,012
   Dividend income		239	346	586	914
   Net fair value gain on other assets		2,404	475	3,420	997
   Depreciation of right-of-use assets Depreciation of property, plant equipment	and	(2,540) (597)	(3,045) (542)	(5,128) (1,075)	(6,244) (1,043)
   Amortisation of intangible assets		(373)	(269)	(672)	(519)
   Foreign exchange gain (loss)		349	(201)	(695)	257

   1. Profit before income tax

      1. Significant items

   Write back (Allowance) for doubtful receivables	167	(54)	(100)	(60)
   Finance costs	(370)	(330)	(799)	(623)

   (1) FVTPL refers to fair value through profit or loss.

   (2) Relates to Progressive Wage Credit Scheme and other subsidies given by the Singapore government, and grants, subsidies and reliefs from the various governments of geographies that the Group operates in.

   4.2 Related party transactions

   There are no significant related party transactions during the six months and the year ended 31 December 2025.

   Compensation of directors and key management personnel

   The remuneration of directors and other members of key management during the six months and the year ended 31 December was as follows:

   Six months ended 31 December

   Group

   Year ended 31 December

   2025		2024	2025	2024
   S$'000		S$'000	S$'000	S$'000
   Short-term benefits	1,438	1,373	2,709	2,760
   Share-based payments	51	47	103	107
   Post-retirement benefits	94	52	206	163
   	1,583	1,472	3,018	3,030

   1. Taxation

      The Group calculates the period income tax expense using the tax rate that would be applicable to the expected total annual earnings. The major components of income tax expense in the condensed consolidated statement of profit or loss for the six months and the year ended 31 December are:

      Six months ended 31 December

      Group

      Year ended 31 December

      2025		2024	2025	2024
      S$'000		S$'000	S$'000	S$'000
      Current tax	4,184	5,517	9,976	10,648
      Withholding tax	126	77	175	214
      Deferred tax	412	(954)	(221)	(1,141)
      (Over) Under provision of current tax in prior year	(255)	(104)	(341)	3

      4,467 4,536 9,589 9,724

   2. Dividends

      Ordinary dividends paid

      Final dividends of 2.13 cents (2024: 2.13 cents) tax exempt (one-tier)

      Group

      2025 2024

      S$'000 S$'000

      per share paid in respect of prior financial year 20,852 20,914 Interim dividends of 2.00 cents (2024: 1.87 cents) tax exempt (one-tier)

      per share paid in respect of the financial year 19,583 18,341

   3. Net asset value

      Group Company

      31 December

      2025

      31 December

      2024

      31 December

      2025

      31 December

      2024

      S$ S$ S$ S$

      Net asset value per ordinary share 0.4065 0.3865 0.2237 0.2111

   4. Plant and equipment

      During the year ended 31 December 2025, the Group acquired assets amounting to S$3,967,000 (31 December 2024: S$1,778,000) and disposed of assets amounting to S$NIL (31 December 2024: S$11,000).

   5. Share capital and treasury shares

      Share capital

      Group and Company

      Number of shares Issued and paid up

      31 December

      2025

      31 December

      2024

      31 December

      2025

      31 December

      2024

      '000 '000 S$'000 S$'000

      Issued and paid up 1,011,407 1,011,407 260,605 260,605

      Treasury shares

      Group and Company

      Number of treasury shares Amount

      31 December		31 December	31 December	31 December
      2025		2024	2025	2024
      '000		'000	S$'000	S$'000
      At 1 January	31,324	27,125	22,690	19,709
      Treasury shares purchased	1,275	4,698	891	3,343
      Treasury shares reissued pursuant to share-based payment expenses	(294)	(499)	(213)	(362)
      Sale of treasury shares	(9,997)	-	(7,232)	-
      At 31 December	22,308	31,324	16,136	22,690

      Save as disclosed, the Company did not have any outstanding convertibles and subsidiary holdings as at 31 December 2025 and 31 December 2024.

      Number of shares held as treasury shares against total number of issued shares excluding treasury shares

      Group and Company

      Number of shares

      31 December 31 December

      2025 2024

      Issued shares 1,011,406,872 1,011,406,872

      Treasury shares	(22,308,091) (31,324,110)
      Issued shares excluding treasury shares	989,098,781 980,082,762
      Treasury shares as a percentage of issued shares excluding treasury
      shares (%)	2.2554	3.1961

   6. Fair value of financial instrument

      This note provides information about how the Group and Company determines fair value of various financial assets and financial liabilities.

      Fair value of the Group and Company's financial assets that are measured at fair value on a recurring basis

      Some of the Group and Company's financial assets and financial liabilities are measured at fair value at the end of each reporting period.

      The following table gives information about how the fair values of these financial assets and financial liabilities are determined (in particular, the valuation technique(s) and inputs used).

      Group Company

      Financial assets / Financial liabilities	Fair value as at (S$'000)				Fair value hierarchy	Valuation technique(s) and input(s)	Significant unobservable input(s)	Relationship of unobservable inputs to fair value
      	31 December 2025	31 December 2024	31 December 2025	31 December 2024
      Financial assets mandatorily measured at fair value through profit or loss
      1) Quoted equity securities	9,899	15,776	9,899	15,776	Level 1	Quoted bid prices in an active market.	N.A.	N.A.
      2) Quoted debt securities	5,993	5,712	5,993	5,712	Level 1	Quoted bid prices in an active market.	N.A.	N.A.
      3) Unquoted equity securities	1,601	1,601	-	-	Level 2	Unquoted bid prices in markets that are not active.	N.A.	N.A.
      4) Unquoted debt securities	31,056	-	31,056	-	Level 2	Unquoted bid prices in markets that are not active.	N.A.	N.A.
      5) Commodity-linked financial assets	1,040	-	1,040	-	Level 1	Quoted bid prices in an active market.	N.A.	N.A.
      Financial assets designated at fair value through other comprehensive income
      6) Quoted equity securities	18,908	12,435	18,908	12,435	Level 1	Quoted bid prices in an active market.	N.A.	N.A.

      There were no transfers between Level 1, 2 and 3 in the period. The carrying amounts of cash and cash equivalents and trade and other receivables and payables approximate their respective fair values due to the relatively short-term maturity of these financial instruments.

   7. Subsequent events

   There are no known subsequent events which have led to adjustments to this set of condensed financial statements.

   G. Other Information Required by Listing Rule Appendix 7.2

   1. Review

      The condensed consolidated statement of financial position of HRnetGroup and its subsidiaries as at 31 December 2025 and the related condensed consolidated profit or loss and other comprehensive income, condensed consolidated statement of changes in equity and condensed consolidated statement of cash flows for the year then ended and certain explanatory notes have not been audited or reviewed.

   2. Where a forecast, or a prospect statement, has been previously disclosed to shareholders, any variance between it and the actual results

      Not applicable. No forecast or prospect statement has been previously disclosed to shareholders.

   3. Dividend

   1. Current Financial Period Reported on

      For the financial year ended 31 December 2025, a one-tier tax exempt interim dividend of 2.00 cents per ordinary share was paid to registered shareholders on 02 September 2025.

      The Directors are pleased to propose the payment of a one-tier tax exempt final dividend of 2.20 cents per ordinary share, in respect of the financial year ended 31 December 2025, subject to the approval of shareholders at the forthcoming Annual General Meeting of the Company.

   2. Corresponding Period of the Immediate Preceding Financial Year

      For the financial year ended 31 December 2024, a one-tier tax exempt interim dividend of 1.87 cents and final dividend of 2.13 cents per ordinary share were paid to registered shareholders.

   3. Date payable

      Subject to approval by the shareholders at the forthcoming Annual General Meeting, the payment date of the proposed dividend will be announced at a later date.

   4. Books Closure Date

   Subject to approval by the shareholders at the forthcoming Annual General Meeting, the books closure date will be announced at a later date.

2. Interested person transactions

   The Group has not obtained a general mandate from shareholders of the Company for Interested Person Transactions.

3. In the review of performance, the factors leading to any material changes in contributions to turnover and earnings by the business or geographical segments

Please refer to Part A.

6. A breakdown of sales
Breakdown of Revenue and Results
		Group
	2025	2024	Change
First Half	S$'000	S$'000	%
Revenue reported for the first half-year	295,545	285,906	3.4
Profit after tax reported for the first half-year	29,034	22,795	27.4
Second Half Revenue reported for the second half-year	288,465	281,090	2.6
Profit after tax reported for the second half-year	23,884	23,484	1.7

1. A breakdown of the total annual dividend (in dollar value) for the issuer's latest full year and its

   previous full year

   	2025	2024
   Ordinary shares (tax exempt one-tier)	S$'000	S$'000
   - Interim	19,583	18,341
   - Final#	21,760	20, 852
   Total Annual Dividend	41,343	39,193

   # The proposed final tax exempt one-tier dividends in respect of 2025 is subject to shareholders' approval at

   the forthcoming Annual General Meeting of the company.

2. Disclosure of person occupying a managerial position in the issuer or any of its principal subsidiaries who is a relative of a director or chief executive officer or substantial shareholder of the issuer pursuant to Rule 704 (13) in the format below

   Name	Age	Family relationship with any director and/or substantial shareholder	Current position and duties, and the year the position was held	Details of changes in duties and position held, if any, during the year
   Sim Yong Siang	73	Brother of Sim Joo Siang (Executive Director and Deemed Substantial Shareholder of HRnetGroup Limited, Director of Recruit Express Pte Ltd). Father of Sim Wei Ling, Adeline (Director, Deemed Substantial Shareholder, Chief Corporate Officer and Executive Director of HRnetGroup Limited). Husband of Sim Nelly Nee Tan Kheng Eng (Deemed Substantial Shareholder of HRnetGroup Limited, Director of HRnet One Pte Ltd). Father of Sim Wei Wen, Aviel (Deemed Substantial Shareholder of HRnetGroup Limited).	Founding Chairman and Executive Director of the Company since 21 September 2016, Director of HRnet One Pte Ltd since 9 April 1992, Recruit Express Pte Ltd since 22 February 1996.	None
   Sim Joo Siang	69	Brother of Sim Yong Siang (Founding Chairman, Executive Director and Deemed Substantial Shareholder of HRnetGroup Limited, Director of HRnet One Pte Ltd). Uncle of Sim Wei Ling, Adeline (Director, Deemed Substantial Shareholder, Chief Corporate Officer and Executive Director of HRnetGroup Limited). Brother-in-law of Sim Nelly Nee Tan Kheng Eng (Deemed Substantial Shareholder of HRnetGroup Limited, Director of HRnet One Pte Ltd). Uncle of Sim Wei Wen, Aviel (Deemed Substantial Shareholder of HRnetGroup Limited).	Executive Director of the Company since 21 September 2016, Director of Recruit Express Pte Ltd since 1 April 1999.	None
   Sim Wei Ling, Adeline	46	Daughter of Sim Yong Siang (Founding Chairman, Executive Director and Deemed Substantial Shareholder of HRnetGroup Limited, Director of HRnet One Pte Ltd, Recruit Express Pte Ltd). Niece of Sim Joo Siang (Executive Director and Deemed Substantial Shareholder of HRnetGroup Limited, Director of Recruit Express Pte Ltd). Daughter of Sim Nelly Nee Tan Kheng Eng (Deemed Substantial Shareholder of HRnetGroup Limited, Director of HRnet One Pte Ltd). Sister of Sim Wei Wen, Aviel (Deemed Substantial Shareholder of HRnetGroup Limited).	Executive Director of the Company since 16 May 2019, Chief Corporate Officer of the Company since 1 April 2022.	None

3. Use of IPO Proceeds

   Pursuant to the Company's IPO, the Company received gross proceeds from the IPO of approximately S$174.1

   million.

   The utilisation of the gross proceeds from the Company's initial public offering as of 31 December 2025 is set out as below:

   Amount utilised

   	S$ million
   Purchase of equity instrument designated at FVTOCI	64.0
   Purchase of financial assets mandatorily measured at FVTPL	39.3
   Acquisition and investment in subsidiaries	10.1
   Start-up of subsidiaries	11.1
   Acquisition of non-controlling interests in subsidiaries (Note 1)	11.4
   IPO related expenses	9.1
   	145.0

   Note 1: The Group acquired Co-Owners' interests in subsidiaries under the Co-Ownership framework upon resignation, cessation of active contributions, or stake paring, to preserve control, ensure business continuity, and facilitate stake allocation to incoming co-owners.

   The amount represents cumulative considerations previously disclosed under Rule 706A, including FY2025 acquisitions totalling S$3.67 million, which marked a significant step-change in scale.

   These acquisitions are aligned with the stated use of IPO proceeds for business expansion and/or opportunistic acquisitions.

4. Confirmation that the issuer has procured undertaking from all its directors and executive officers (in the format set out in Appendix 7.7) under Rule 720(1)

The Company has received undertaking from all its directors and executive officers in the format as set out in Appendix 7.7 under Rule 720(1) of the Listing Manual of the SGX-ST.

Confirmation by the Board

On behalf of the Board of Directors of the Company, we, the undersigned, hereby confirm to the best of our knowledge that nothing has come to the attention of the Board of Directors of the Company which may render the financial statements for the year ended 31 December 2025 to be false or misleading in any material aspect.

On behalf of the Board of Directors

Sim Yong Siang Adeline Sim Wei Ling

Founding Chairman Chief Corporate Officer and Executive Director

Singapore

25 February 2026