18/05/2026

BIZ & FINANCE MONDAY | MAY 18, 2026

15

Wasco Greenergy maintains gross profit margin in Q1’26

MGB delivers solid first quarter with 19% rise in Patami PETALING JAYA: MGB Bhd, a construction company, property developer, Industrialised Building System precast concrete manu facturer, as well as a subsidiary of LBS Bina Group Bhd, kicked off the 2026 financial year on a solid footing. In the first quarter of FY2026 (Q1’26), the group recorded revenue of RM210.1 million, compared to RM227.7 million in the corresponding quarter of last year. The construction and trading segment delivered steady growth supported by higher contributions from overseas projects. This helped to partially offset lower contri butions from the property development segment, following the completion and vacant hand over of several projects. The group achieved 19% year on-year growth in profit after tax and minority interest (Patami) to RM14.1 million, underpinned by cost optimisation measures that strengthened margins. Group executive chairman Tan Sri Lim Hock San said, “We delivered a commendable perfor mance in Q1 FY2026, recording profit growth driven by disciplined cost management and project optimisation. “Our in-house precast capa bilities continue to enhance efficiency, strengthen cost control, and support timely project de livery. We remain optimistic about our growth prospects in both business segments.” PETALING JAYA: Verdant Solar Holdings Bhd, an integrated solar photovoltaic solutions provider, announced financial results for the third quarter ended March 31, 2026 (Q3’26), supported by expanding customer adoption, growing project execution activities and continued demand across Malaysia’s residential and com mercial solar segments. Revenue for the quarter was primarily contributed by the engineering, procurement, con struction and commissioning segment, which accounted for RM8.56 million or 97.61% of total revenue, while operations and maintenance services contributed RM210,000. In a statement, the group said it continued to benefit from in creasing market adoption and active project implementation across residential and commercial solar segments. For the quarter, Verdant Solar posted gross profit of RM2.47 million and loss after tax of RM1.98 million. As at March 31, 2026, the group maintained a strong financial position with cash and cash equivalents of RM48.1 million and total bank borrowings of about RM700,000. Verdant Solar benefits from rising demand

profit margins through disciplined project execution and ongoing contributions from our biomass steam energy systems business.” He added, “Built on more than four decades of engineering expertise, we continue to strengthen our execution capabilities, expand our engineering capacity and maintain operational discipline across our projects.

contributing revenue of RM5.2 million, compared with RM5.1 million in Q1’25. Gross profit improved to RM1.3 million from RM900,000 in the corresponding quarter, showing better project margins, while segment profit doubled to RM600,000 from RM300,000 in Q1’25. As at March 31, 2026,

o Renewable energy systems provider reports profitable quarter, stronger order book of RM244.7 million as at March 31

PETALING JAYA: Wasco Greenergy Bhd, a renewable energy systems provider in Malaysia, reported a profitable start to FY2026, under pinned by resilient gross profit margins, a growing order book of RM244.7 million, and strong cash and cash equivalents of RM126.7 million for the first quarter ended March 31, 2026 (Q1’26). For Q1’26, the group recorded revenue of RM54.4 million, com pared with RM61.4 million in the corresponding quarter last year. The variance was primarily driven by the timing of steam turbine deliveries (13 units in Q1’26 compared with 22 units in Q1’25) and softer contri butions from after-sales services. This was partially offset by increased project activities from

and commissioning of biomass steam energy systems. Against this backdrop, the group preserved its gross profit margin at about 24.5%, compared with 24.3% in Q1’25, reflecting disciplined project execution and cost management. Gross profit stood at RM13.3 million, compared with RM14.9 million in the corresponding quarter last year. Profit before tax was RM4.9 million, compared with RM6.3 million in Q1’25. Profit after tax was RM4.1 million, compared with RM4.9 million in the corresponding quarter last year. This was primarily attributable to the revenue variance, partially miti gated by improved tax efficiency and a higher interest income of RM900,000. The renewable energy segment remained the group’s largest contributor, generating revenue of RM49.1 million in Q1’26, compared with RM56.4 million in Q1’25. Its continued role in anchoring the group’s revenue base in the quarter was underpinned by its biomass steam energy systems portfolio. The industrial energy and equip ment segment contributed RM5.2 million, broadly in line with the RM5.1 million recorded in Q1’25. The industrial energy and equip ment segment

the group’s order book strengthened to RM244.7 million, comprising RM220.7 million from the renewable energy segment and RM24 million from the industrial energy and equip ment segment. This reflects continued order book growth from the RM241.3 million recorded at the close of FY2025, under

Backed by an order book of RM244.7 million and healthy cash reserves of RM126.7 million, we remain well-positioned to deliver energy solutions to customers across the palm oil and process industries.” Looking ahead, the group expects demand for efficient and sustainable steam

pinned by healthy and robust new order inflows during the quarter, thereby providing strong revenue visibility for the coming quarters. The group maintained a strong financial position with cash and cash equivalents of RM126.7 million as at March 31, 2026. Of the RM75 million raised through its December 2025 initial public offering, RM67.3 million remains available for deployment, earmarked for initiatives including investments in biomass steam power plant ownership, expansion into Indonesia and digitalisation of business systems. Group CEO Lee Yee Chong said: “Q1 FY2026 reflects the timing of project deliveries and execution milestones across our business segments. While the quarter re corded a more moderate revenue performance compared with the corresponding quarter last year, the group remained profitable and continued to maintain healthy gross

energy systems to remain supported by industrial decarbonisation ini tiatives, energy efficiency require ments and continued investments within the palm oil and process industries in Malaysia and the broader Asean region. Wasco Greenergy said it will continue to advance project execution, technology enhance ment and digitalisation initiatives while actively pursuing new con tract opportunities across selected key markets. Separately, Wasco Greenergy held its second annual general meeting last Friday, at which share holders approved all resolutions tabled. Notably, shareholders approved the proposed share buy back mandate of up to 10% of the company’s issued shares. Other resolutions that were approved included directors’ fees and meeting allowances, re-election of directors and reappointment of auditors. broader markets came under pressure by the end of the week despite a strong start. Nevertheless, the overall warrants market momentum remained con structive, with total weekly turnover trending higher and investors continuing to actively use both call and put warrants to navigate volatile index and single stock movements in the weeks ahead. To view the full list of structured warrants available on Bursa Malaysia, visit malaysiawarrants.com.my. Provided for Malaysian residents’ information only. This commentary has not been reviewed by the Securities Commission Malaysia. It is not an offer or recommendation to trade and is not research material. Past performance is not indicative of future performance. You should make your own assessment and seek profes sional advice. The warrants will not be offered to any US persons.

the engineering, procurement, construction

Lee says Wasco Greenergy remains well positioned to deliver energy

solutions to customers.

showed improved performance year-on-year,

WARRANTS WATCH

HSI volatility and Trump’s China visit fuel trading activity TURNOVER in the Malaysian

Top stock warrants by value traded: Warrant Value Issuer Exercise

structured warrants market for the week ended May 15 came in at RM810.9 million, a 7.8% increase week-on-week (w-o-w) compared to the previous week. The increase in turnover was supported by a strong rebound in Hang Seng Index (HSI) warrants activity, which totalled RM369.9 million and comprised 45.6% of overall total turnover, and up 22.7% w-o-w from RM301.4 million the prior week. Meanwhile, trading activity in stock warrants across Malaysia, Hong Kong and US equities, came in at RM441.1 million, comprising the bulk of total turnover at over 54%, though this represented a 2.2% drop from RM450.9 million in the previous week. The elevated HSI warrants activity was underpinned by a volatile week for the index, driven by a landmark visit of US President Donald Trump’s to China, while artificial intelligence driven gains and strong US corporate

Expiry date

name

(RM’ mil)

level

HSI-CWQT HSI-CWQH HSI-CWOY HSI-PWRP HSI-PWPY

42.72 33.63 31.75 29.97 29.16

Macquarie Kenanga Kenanga Kenanga Kenanga

28,000.00 28,000.00 28,000.00 24,000.00 25,000.00

29 June 2026 29 June 2026 28 May 2026 29 June 2026 28 May 2026

25,808.00 on investors’ caution ahead of upcoming macroeconomic data releases. Trading activity for warrants over Malaysia stocks was supported by interest in Top Glove, YTL Corpo ration, Zetrix AI and IOI Property (IOIP), among others. For Top Glove, TOPGLOV-C5M dominated with 254 million units traded, valued at RM26.71 million. Meanwhile, YTL-C2L was the most active among its peers with 93.8 million units or RM6.32 million value traded. Meanwhile, on the global front,

earnings continued to lend medium term support. Among the top HSI warrants by value traded, HSI-CWQT came with RM42.7 million in traded value, followed by HSI-CWQH at RM33.6 million and HSI-CWOY at RM31.8 million, with all three carrying an exercise level of 28,000. On the put side, HSI-PWRP and HSI PWPY each recorded close to RM30 million in turnover, reflecting two-way interest as investors hedged against potential downside. However, by the close of May 15, HSI May futures had retreated 2% to