Latest news with #MayuGlobalG
Yahoo
3 days ago
- Business
- Yahoo
Mayu Global Group Berhad (KLSE:MAYU) Posted Weak Earnings But There Is More To Worry About
Shareholders didn't appear too concerned by Mayu Global Group Berhad's (KLSE:MAYU) weak earnings. We did some digging, and we believe that investors are missing some worrying factors underlying the profit figures. Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit. In order to understand the potential for per share returns, it is essential to consider how much a company is diluting shareholders. In fact, Mayu Global Group Berhad increased the number of shares on issue by 8.7% over the last twelve months by issuing new shares. That means its earnings are split among a greater number of shares. To celebrate net income while ignoring dilution is like rejoicing because you have a single slice of a larger pizza, but ignoring the fact that the pizza is now cut into many more slices. Check out Mayu Global Group Berhad's historical EPS growth by clicking on this link. Mayu Global Group Berhad has improved its profit over the last three years, with an annualized gain of 107% in that time. But on the other hand, earnings per share actually fell by 8.5% per year. Net profit actually dropped by 12% in the last year. But the EPS result was even worse, with the company recording a decline of 13%. Therefore, the dilution is having a noteworthy influence on shareholder returns. In the long term, if Mayu Global Group Berhad's earnings per share can increase, then the share price should too. But on the other hand, we'd be far less excited to learn profit (but not EPS) was improving. For that reason, you could say that EPS is more important that net income in the long run, assuming the goal is to assess whether a company's share price might grow. Note: we always recommend investors check balance sheet strength. Click here to be taken to our balance sheet analysis of Mayu Global Group Berhad. Alongside that dilution, it's also important to note that Mayu Global Group Berhad's profit was boosted by unusual items worth RM7.4m in the last twelve months. While it's always nice to have higher profit, a large contribution from unusual items sometimes dampens our enthusiasm. When we crunched the numbers on thousands of publicly listed companies, we found that a boost from unusual items in a given year is often not repeated the next year. Which is hardly surprising, given the name. We can see that Mayu Global Group Berhad's positive unusual items were quite significant relative to its profit in the year to March 2025. As a result, we can surmise that the unusual items are making its statutory profit significantly stronger than it would otherwise be. To sum it all up, Mayu Global Group Berhad got a nice boost to profit from unusual items; without that, its statutory results would have looked worse. And furthermore, it went and issued plenty of new shares, ensuring that each shareholder (who did not tip more money in) now owns a smaller proportion of the company. Considering all this we'd argue Mayu Global Group Berhad's profits probably give an overly generous impression of its sustainable level of profitability. In light of this, if you'd like to do more analysis on the company, it's vital to be informed of the risks involved. Case in point: We've spotted 3 warning signs for Mayu Global Group Berhad you should be aware of. Our examination of Mayu Global Group Berhad has focussed on certain factors that can make its earnings look better than they are. And, on that basis, we are somewhat skeptical. But there are plenty of other ways to inform your opinion of a company. For example, many people consider a high return on equity as an indication of favorable business economics, while others like to 'follow the money' and search out stocks that insiders are buying. So you may wish to see this free collection of companies boasting high return on equity, or this list of stocks with high insider ownership. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
3 days ago
- Business
- Yahoo
Mayu Global Group Berhad (KLSE:MAYU) Posted Weak Earnings But There Is More To Worry About
Shareholders didn't appear too concerned by Mayu Global Group Berhad's (KLSE:MAYU) weak earnings. We did some digging, and we believe that investors are missing some worrying factors underlying the profit figures. Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit. In order to understand the potential for per share returns, it is essential to consider how much a company is diluting shareholders. In fact, Mayu Global Group Berhad increased the number of shares on issue by 8.7% over the last twelve months by issuing new shares. That means its earnings are split among a greater number of shares. To celebrate net income while ignoring dilution is like rejoicing because you have a single slice of a larger pizza, but ignoring the fact that the pizza is now cut into many more slices. Check out Mayu Global Group Berhad's historical EPS growth by clicking on this link. Mayu Global Group Berhad has improved its profit over the last three years, with an annualized gain of 107% in that time. But on the other hand, earnings per share actually fell by 8.5% per year. Net profit actually dropped by 12% in the last year. But the EPS result was even worse, with the company recording a decline of 13%. Therefore, the dilution is having a noteworthy influence on shareholder returns. In the long term, if Mayu Global Group Berhad's earnings per share can increase, then the share price should too. But on the other hand, we'd be far less excited to learn profit (but not EPS) was improving. For that reason, you could say that EPS is more important that net income in the long run, assuming the goal is to assess whether a company's share price might grow. Note: we always recommend investors check balance sheet strength. Click here to be taken to our balance sheet analysis of Mayu Global Group Berhad. Alongside that dilution, it's also important to note that Mayu Global Group Berhad's profit was boosted by unusual items worth RM7.4m in the last twelve months. While it's always nice to have higher profit, a large contribution from unusual items sometimes dampens our enthusiasm. When we crunched the numbers on thousands of publicly listed companies, we found that a boost from unusual items in a given year is often not repeated the next year. Which is hardly surprising, given the name. We can see that Mayu Global Group Berhad's positive unusual items were quite significant relative to its profit in the year to March 2025. As a result, we can surmise that the unusual items are making its statutory profit significantly stronger than it would otherwise be. To sum it all up, Mayu Global Group Berhad got a nice boost to profit from unusual items; without that, its statutory results would have looked worse. And furthermore, it went and issued plenty of new shares, ensuring that each shareholder (who did not tip more money in) now owns a smaller proportion of the company. Considering all this we'd argue Mayu Global Group Berhad's profits probably give an overly generous impression of its sustainable level of profitability. In light of this, if you'd like to do more analysis on the company, it's vital to be informed of the risks involved. Case in point: We've spotted 3 warning signs for Mayu Global Group Berhad you should be aware of. Our examination of Mayu Global Group Berhad has focussed on certain factors that can make its earnings look better than they are. And, on that basis, we are somewhat skeptical. But there are plenty of other ways to inform your opinion of a company. For example, many people consider a high return on equity as an indication of favorable business economics, while others like to 'follow the money' and search out stocks that insiders are buying. So you may wish to see this free collection of companies boasting high return on equity, or this list of stocks with high insider ownership. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.