MAIN Market-listed electronic manufacturing services (EMS) solutions provider with global presence, Cape EMS Bhd, has reported substantial top-line growth and a sharp recovery in operating margins for its 3Q FY6/2026 ended March 31, 2026.
For the quarter under review, the group’s revenue jumped 48.8% year-on-year (yoy) to RM107.69 mil (3Q FY6/2025: RM72.38 mil) while its net profit edged up 26.4% to RM4.18 mil (3Q FY6/2025: RM3.43 mil).
The primary driver of this performance was a structurally improved product mix which was spearheaded by the group’s wholly-owned US subsidiary, iConn Inc.
This strategic diversification into higher-value engineering is actively replacing traditional assembly volumes, thus translating into a stronger operational baseline for the quarter.
For the cumulative 9M FY6/2026 period, Cape EMS amassed revenue of RM288.71 mil while its net earnings stood at RM15.86 mil to generate basic earnings per share of 1.60 sen.
“Our 3Q results validate the operational reset we initiated,” commented Cape EMS’ managing director and group CEO Christina Tee Kim Chin.
“The concrete improvement in our bottom line proves that our pivot toward higher-value engineering is working with iConn driving a much healthier product mix, particularly in the US market.”
Added Tee: “We’re actively moving away from traditional, lower-margin assembly and dedicating our capital to the Cape 2.0 mandate by focusing strictly on advanced electronics, energy, AI (artificial intelligence), data centre infrastructure, BESS (battery energy storage system) and EV (electric vehicle) mobility.”
The group’s Cape 2.0 roadmap operates across four core pillars designed to capture these high-growth structural trends.
Its Engineering Manufacturing Solutions segment focuses on advanced electronics and sub-micron CNC (computer numerical control) precision engineering for the industrial automation and semiconductor sectors.
The BESS segment targets energy storage, EV mobility and EPCC (engineering, procurement, construction and commissioning) opportunities.
Meanwhile, the iConn-led IMN (information management network) segment continues to scale its virtual manufacturing platform to support data centre infrastructure, AI workloads, and medical and life science customers.
Finally, the Wireless IoT (Internet of Thing) segment aims to capture rising regional demand for private wireless networks.
Regarding recent legal proceedings involving its subsidiary Cape Manufacturing (M) Sdn Bhd and Aeronas Aerocraft Sdn Bhd, the group reiterates that the dispute stems from an exploratory, non-binding memorandum of understanding (MOU) between both parties.
Cape EMS disputes the speculative claims in their entirety and confirms that the matter is not expected to have any material adverse impact on the group’s operations, financial stability or business continuity.
At the close of today’s (May 11) market trading, Cape EMS was unchanged at 29 sen with 10.61 million shares traded, thus valuing the company at RM288 mil. – May 11, 2026
