Latest news with #RM93.4
Malaysian Reserve
27-05-2025
- Business
- Malaysian Reserve
MNRB's 4Q net profit falls 61% on lower revenue and fair value losses
MNRB Holdings Bhd reported a 60.7% year-on-year drop in net profit for the fourth quarter ended March 31, 2025 (4Q25), falling to RM93.4 million from a record RM237.82 million in the previous year, weighed down by lower insurance revenue, fair value losses of RM29.96 million, and a weaker contribution from associates. Quarterly revenue declined 11.2% to RM921.92 million. For the full financial year (FY25), net profit slipped 9.1% to RM394.2 million, although revenue rose 3.5% to RM3.63 billion. Despite anticipating continued challenges in the global reinsurance market and ongoing natural disaster losses in FY2026, the group remains upbeat on growth prospects, supported by its focus on profitable and diversified business segments. MNRB shares closed unchanged at RM2.08 today, giving it a market capitalisation of RM1.61 billion. — TMR
New Straits Times
22-05-2025
- Business
- New Straits Times
Analyst downgrades Supermax to 'Hold', expects losses to persist through FY26
KUALA LUMPUR: Supermax Corp Bhd is expected to remain loss-making up to the end of financial year 2026 (FY26), weighed down by a challenging operating environment and continued start-up losses from its United States (US) glove plant. CIMB Securities said the demand from US clients is likely to stay subdued in the short term for Supermax, as prior front-loading activities suggest that current inventory levels could last until the second quarter (Q2) of FY26. Outside the US, the firm anticipates average selling price (ASPs) to remain under pressure as Chinese glove makers increase their presence in non-US markets, intensifying competitive dynamics. "Although Supermax commenced initial production on the first half of Phase 1 (2.4 billion pieces annually) at its US facility in January , we believe the ramp-up to full commercial production could be slower than expected owing to ongoing production line validation. "Until the full capacity of Phase 1 (4.8 billion pieces annually) is operational — likely only by the second half of FY26 — we expect US operations to remain in the red, given the lack of scale needed to achieve operating leverage," it said. Supermax reported a core net loss of RM93.4 million for the nine months of FY25, which is below our expectations. The wider-than-expected loss in Q3 FY25 was mainly due to weaker sales demand and the adverse impact of the strengthening of the ringgit against the US dollar. CIMB Securities has widened its net loss forecasts for FY25 to FY26 to reflect softer sales volumes, more competitive ASPs and a delay in the commercial ramp-up of Supermax's US glove plant. The firm now projects Supermax to remain loss-making through its FY26 forecast, with a return to profitability only expected in FY27. As a result, CIMB Securities has lowered its target price to 80 sen from RM1.05 to reflect a more challenging operating outlook. "Given the near-term headwinds and intensifying competitive landscape, we downgrade Supermax to 'Hold' from 'Buy'," it added.
