Latest news with #PWFCorporationBhd.
Yahoo
03-06-2025
- Business
- Yahoo
Why PWF Corporation Bhd's (KLSE:PWF) Shaky Earnings Are Just The Beginning Of Its Problems
PWF Corporation Bhd.'s (KLSE:PWF) recent weak earnings report didn't cause a big stock movement. We think that investors are worried about some weaknesses underlying the earnings. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. Importantly, our data indicates that PWF Corporation Bhd's profit received a boost of RM23m in unusual items, over the last year. We can't deny that higher profits generally leave us optimistic, but we'd prefer it if the profit were to be sustainable. 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. PWF Corporation Bhd had a rather significant contribution from unusual items relative to its profit to March 2025. All else being equal, this would likely have the effect of making the statutory profit a poor guide to underlying earnings power. Note: we always recommend investors check balance sheet strength. Click here to be taken to our balance sheet analysis of PWF Corporation Bhd. As we discussed above, we think the significant positive unusual item makes PWF Corporation Bhd's earnings a poor guide to its underlying profitability. For this reason, we think that PWF Corporation Bhd's statutory profits may be a bad guide to its underlying earnings power, and might give investors an overly positive impression of the company. In further bad news, its earnings per share decreased in the last year. Of course, we've only just scratched the surface when it comes to analysing its earnings; one could also consider margins, forecast growth, and return on investment, among other factors. So while earnings quality is important, it's equally important to consider the risks facing PWF Corporation Bhd at this point in time. You'd be interested to know, that we found 3 warning signs for PWF Corporation Bhd and you'll want to know about them. Today we've zoomed in on a single data point to better understand the nature of PWF Corporation Bhd's profit. But there are plenty of other ways to inform your opinion of a company. Some people consider a high return on equity to be a good sign of a quality business. While it might take a little research on your behalf, you may find this free collection of companies boasting high return on equity, or this list of stocks with significant insider holdings to be useful. 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
03-06-2025
- Business
- Yahoo
Why PWF Corporation Bhd's (KLSE:PWF) Shaky Earnings Are Just The Beginning Of Its Problems
PWF Corporation Bhd.'s (KLSE:PWF) recent weak earnings report didn't cause a big stock movement. We think that investors are worried about some weaknesses underlying the earnings. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. Importantly, our data indicates that PWF Corporation Bhd's profit received a boost of RM23m in unusual items, over the last year. We can't deny that higher profits generally leave us optimistic, but we'd prefer it if the profit were to be sustainable. 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. PWF Corporation Bhd had a rather significant contribution from unusual items relative to its profit to March 2025. All else being equal, this would likely have the effect of making the statutory profit a poor guide to underlying earnings power. Note: we always recommend investors check balance sheet strength. Click here to be taken to our balance sheet analysis of PWF Corporation Bhd. As we discussed above, we think the significant positive unusual item makes PWF Corporation Bhd's earnings a poor guide to its underlying profitability. For this reason, we think that PWF Corporation Bhd's statutory profits may be a bad guide to its underlying earnings power, and might give investors an overly positive impression of the company. In further bad news, its earnings per share decreased in the last year. Of course, we've only just scratched the surface when it comes to analysing its earnings; one could also consider margins, forecast growth, and return on investment, among other factors. So while earnings quality is important, it's equally important to consider the risks facing PWF Corporation Bhd at this point in time. You'd be interested to know, that we found 3 warning signs for PWF Corporation Bhd and you'll want to know about them. Today we've zoomed in on a single data point to better understand the nature of PWF Corporation Bhd's profit. But there are plenty of other ways to inform your opinion of a company. Some people consider a high return on equity to be a good sign of a quality business. While it might take a little research on your behalf, you may find this free collection of companies boasting high return on equity, or this list of stocks with significant insider holdings to be useful. 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. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
