MAIN Market-listed electronics manufacturing and engineering solutions outfit Cape EMS Bhd has unveiled a stellar set of financials for its FY6/2026 ended June 30, 2026 with a definitive return to profitability supported by its CEB 2.0 transformation strategy.
For its 12-month FY6/2026, the group posted revenue of RM425.63 mil with pre-tax profit of RM12.57 mil and net profit of RM14.41 mil.
This represents a performance turnaround from a net loss of RM38.0 mil reported in the preceding 18-month financial transition period ended June 30, 2025. Basic earnings per share for the year stood at 1.45 sen.
For the individual 4Q FY2026 quarter, the group recorded its highest quarterly revenue to date of RM136.93 mil or 27.2% higher quarter-on-quarter (qoq) from RM107.7 mil.
This marks the fourth consecutive quarter of sequential revenue growth driven by an improved product mix and accelerating diversification across the group’s electronic manufacturing services (EMS) and renewable energy operations.
At the pre-tax level, the group incurred a pre-tax loss of RM7.25 mil following a one-off impairment loss of RM9.9 mil recognised on other receivables and project expenditure of about RM5.4 mil.
Excluding this one-off charge, the group stated that its final quarter would have recorded a pre-tax profit of RM8.1 mil.
‘Accelerating high-value engineering biz’
“FY6/2026 marked the first full operational year of our CEB 2.0 transformation with the results validating our strategic direction.,” observed Cape EMS’ managing director and group CEO Christina Tee Kim Chin.
“We returned the group to profitability with RM14.42 mil in net earnings, delivered four consecutive quarters of top-line growth and achieved a solid profit for the full financial year.”
While the group took a prudent one-off impairment in its 4Q FY6/2026, its underlying operations generated a normalised pre-tax profit of RM8.1 mil on record quarterly revenue.
“Our focus now is firmly on accelerating high-value engineering business, executing our renewable energy pipeline project and sustaining this profitable momentum into FY6/2027,” added Tee.
The group’s CEB 2.0 transformation strategy focuses on four business pillars, namely EMS; renewable energy (RE); intelligent manufacturing networks (IMN); and wireless IoT (Internet of Things).
Below are some projects/initiatives in the pipeline:
- EMS & precision engineering – Advancing sub-micron CNC (computer numerical control) and precision engineering capabilities targeting high-growth sectors such as industrial automation, semiconductors and specialised electronics.
- Renewable energy: Driven by Cape Renewables Sdn Bhd, the group is actively pursuing engineering, procurement, construction, and commissioning (EPCC) as well as operations and maintenance (O&M) opportunities across solar and energy storage concessions.
During the year, Cape Renewables acquired a 70% stake in Cape Wibawa (Sarawak) Sdn Bhd to broaden its power plant and electricity generation capabilities.
- IMN (intelligent manufacturing networks) & virtual manufacturing: Through wholly-owned US subsidiary iConn Inc, the group continues to expand its high-value engineering solutions network, particularly within the medical, life sciences and industrial digital infrastructure segments.
Moving into FY6/2027, Cape EMS remains optimistic that the continued disciplined execution of CEB 2.0 will strengthen its competitive positioning, enhance earnings quality and support sustainable long-term value creation.
At the close of Friday’s (Aug 28) market trading, Cape EM was down 0.5 sen or 1.89% to 26 sen with 8.06 million shares traded, thus valuing the company at RM258 mil. – Aug 30, 2026
