New Risk • May 17
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Malaysian stocks, typically moving 8.5% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 4.9% per year over the past 5 years. Minor Risks Share price has been volatile over the past 3 months (8.5% average weekly change). Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (1.2% net profit margin). Market cap is less than US$100m (RM99.9m market cap, or US$25.3m). Reported Earnings • May 01
Second quarter 2026 earnings released: EPS: RM0.003 (vs RM0.006 in 2Q 2025) Second quarter 2026 results: EPS: RM0.003 (down from RM0.006 in 2Q 2025). Revenue: RM36.8m (up 45% from 2Q 2025). Net income: RM1.15m (down 52% from 2Q 2025). Profit margin: 3.1% (down from 9.5% in 2Q 2025). Over the last 3 years on average, earnings per share has fallen by 45% per year but the company’s share price has only fallen by 33% per year, which means it has not declined as severely as earnings. Reported Earnings • Jan 31
First quarter 2026 earnings released: EPS: RM0.64 (vs RM0.006 in 1Q 2025) First quarter 2026 results: EPS: RM0.64 (up from RM0.006 in 1Q 2025). Revenue: RM39.5m (up 74% from 1Q 2025). Net income: RM2.47m (up 4.7% from 1Q 2025). Profit margin: 6.3% (down from 10% in 1Q 2025). Over the last 3 years on average, earnings per share has fallen by 32% per year whereas the company’s share price has fallen by 30% per year. Reported Earnings • Dec 27
Full year 2025 earnings released: EPS: RM0.008 (vs RM0.031 in FY 2024) Full year 2025 results: EPS: RM0.008 (down from RM0.031 in FY 2024). Revenue: RM110.9m (up 7.1% from FY 2024). Net income: RM2.78m (down 75% from FY 2024). Profit margin: 2.5% (down from 11% in FY 2024). Over the last 3 years on average, earnings per share has fallen by 21% per year but the company’s share price has fallen by 28% per year, which means it is performing significantly worse than earnings. Annonce • Dec 23
Econframe Berhad, Annual General Meeting, Jan 30, 2026 Econframe Berhad, Annual General Meeting, Jan 30, 2026, at 10:30 Singapore Standard Time. Location: putra room, sultan abdul aziz shah golf & country club, no. 1, rumah kelab, jalan kelab golf 13/6, seksyen 13, 40100 shah alam, selangor darul ehsan, Malaysia Reported Earnings • Nov 02
Full year 2025 earnings released: EPS: RM0.008 (vs RM0.031 in FY 2024) Full year 2025 results: EPS: RM0.008 (down from RM0.031 in FY 2024). Revenue: RM110.9m (up 7.1% from FY 2024). Net income: RM2.78m (down 75% from FY 2024). Profit margin: 2.5% (down from 11% in FY 2024). Over the last 3 years on average, earnings per share has fallen by 21% per year but the company’s share price has only fallen by 14% per year, which means it has not declined as severely as earnings. Reported Earnings • Aug 01
Third quarter 2025 earnings released: EPS: RM0.008 (vs RM0.004 in 3Q 2024) Third quarter 2025 results: EPS: RM0.008 (up from RM0.004 in 3Q 2024). Revenue: RM28.4m (up 14% from 3Q 2024). Net income: RM2.90m (up 97% from 3Q 2024). Profit margin: 10% (up from 5.9% in 3Q 2024). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 6% per year whereas the company’s share price has fallen by 4% per year. Reported Earnings • May 02
Second quarter 2025 earnings released: EPS: RM0.007 (vs RM0.01 in 2Q 2024) Second quarter 2025 results: EPS: RM0.007 (down from RM0.01 in 2Q 2024). Revenue: RM25.4m (down 6.0% from 2Q 2024). Net income: RM2.41m (down 29% from 2Q 2024). Profit margin: 9.5% (down from 13% in 2Q 2024). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has increased by 11% per year, which means it is tracking significantly ahead of earnings growth. Annonce • Mar 28
Econframe Berhad Announces the Resignation of Tan Loo Ee as Company Secretary, Effective from 28 March 2025 Econframe Berhad announced the Resignation of Tan Loo Ee as Company Secretary, effective from 28 March 2025. Annonce • Jan 24
Econframe Berhad (KLSE:EFRAME) agreed to acquire Ivory Pearl Sdn. Bhd. from Yeong Chew Tet, Chan Yoke Peng, Razik Fareed Jaffardeen, Choo Yoke Liong @ Choo Siao Liong, Lam Phit Yen, Choo Jee Sam, JS Choo Holdings Sdn. Bhd., Chin Kum Yoke, Raja Gopal A/L Muniappan and Lee Kok Choy for RM 56 million. Econframe Berhad (KLSE:EFRAME) agreed to acquire Ivory Pearl Sdn. Bhd. from Yeong Chew Tet, Chan Yoke Peng, Razik Fareed Jaffardeen, Choo Yoke Liong @ Choo Siao Liong, Lam Phit Yen, Choo Jee Sam, JS Choo Holdings Sdn. Bhd., Chin Kum Yoke, Raja Gopal A/L Muniappan and Lee Kok Choy for RM 56 million on January 23, 2025. Under the terms of the transaction, RM 46.7 million will be paid in cash and the remaining RM 9.3 million will be settled via the issuance and allotment of 16.5 million consideration shares at an issue price of RM 0.5653 per consideration share, subject to the terms of the SSA. The Cash Consideration of RM 46.7 million will be funded via a combination of internally generated funds and bank borrowings. Ivory Pearl Sdn. Bhd will become a wholly-owned subsidiary of Econframe Berhad (KLSE:EFRAME) upon completion of the proposed acquisition.
Acquisition.
The transaction is subject to the relevant approvals being obtained and the fulfilment of the conditions of the SSA. Reported Earnings • Dec 28
Full year 2024 earnings: EPS and revenues miss analyst expectations Full year 2024 results: EPS: RM0.031 (down from RM0.039 in FY 2023). Revenue: RM103.5m (up 36% from FY 2023). Net income: RM11.0m (down 16% from FY 2023). Profit margin: 11% (down from 17% in FY 2023). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 14%. Earnings per share (EPS) also missed analyst estimates by 38%. Over the last 3 years on average, earnings per share has increased by 24% per year but the company’s share price has only increased by 7% per year, which means it is significantly lagging earnings growth. Annonce • Dec 23
Econframe Berhad, Annual General Meeting, Jan 23, 2025 Econframe Berhad, Annual General Meeting, Jan 23, 2025, at 10:30 Singapore Standard Time. Location: toh yuen vip room, klang executive club, 42,persiaran bukit raja 2, bandar baru klang, 41150 klang, selangor darul ehsan, Malaysia Upcoming Dividend • Nov 14
Upcoming dividend of RM0.02 per share Eligible shareholders must have bought the stock before 21 November 2024. Payment date: 11 December 2024. Payout ratio is a comfortable 62% and the cash payout ratio is 88%. Trailing yield: 3.4%. Lower than top quartile of Malaysian dividend payers (4.8%). Higher than average of industry peers (2.8%). New Risk • Nov 04
New minor risk - Dividend sustainability The company has an unstable dividend paying track record. The dividend has had an annual drop of over 20% in the past. Dividend yield: 3.4% This is considered a minor risk. If the company has cut or reduced its dividend in the past, it may be a sign that the underlying business is too cyclical to consistently maintain or grow the dividend over the long-term. It may also indicate the company prioritizes other outcomes instead of maintaining the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Profit margins are more than 30% lower than last year (11% net profit margin). Shareholders have been diluted in the past year (3.9% increase in shares outstanding). Market cap is less than US$100m (RM207.9m market cap, or US$47.7m). Reported Earnings • Nov 01
Full year 2024 earnings released: EPS: RM0.032 (vs RM0.039 in FY 2023) Full year 2024 results: EPS: RM0.032 (down from RM0.039 in FY 2023). Revenue: RM103.5m (up 36% from FY 2023). Net income: RM11.0m (down 16% from FY 2023). Profit margin: 11% (down from 17% in FY 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 32% p.a. on average during the next 2 years, compared to a 8.1% growth forecast for the Building industry in Asia. Over the last 3 years on average, earnings per share has increased by 25% per year but the company’s share price has only increased by 7% per year, which means it is significantly lagging earnings growth. Annonce • Oct 24
Econframe Berhad Announces Appointment of Yeow Sze Min as Company Secretary Econframe Berhad announced appointment of Yeow Sze Min as Company Secretary. Date Of Change is 24 October 2024. Reported Earnings • Jul 31
Third quarter 2024 earnings released: EPS: RM0.004 (vs RM0.01 in 3Q 2023) Third quarter 2024 results: EPS: RM0.004 (down from RM0.01 in 3Q 2023). Revenue: RM24.9m (up 27% from 3Q 2023). Net income: RM1.47m (down 58% from 3Q 2023). Profit margin: 5.9% (down from 18% in 3Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 32% p.a. on average during the next 3 years, compared to a 8.2% growth forecast for the Building industry in Asia. Over the last 3 years on average, earnings per share has increased by 30% per year but the company’s share price has only increased by 12% per year, which means it is significantly lagging earnings growth. Reported Earnings • Apr 23
Second quarter 2024 earnings released: EPS: RM0.01 (vs RM0.01 in 2Q 2023) Second quarter 2024 results: EPS: RM0.01 (in line with 2Q 2023). Revenue: RM27.0m (up 46% from 2Q 2023). Net income: RM3.37m (up 6.6% from 2Q 2023). Profit margin: 13% (down from 17% in 2Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 35% p.a. on average during the next 2 years, compared to a 8.2% growth forecast for the Building industry in Asia. Over the last 3 years on average, earnings per share has increased by 35% per year but the company’s share price has only increased by 16% per year, which means it is significantly lagging earnings growth. Board Change • Mar 01
Insufficient new directors There is 1 new director who has joined the board in the last 3 years. The company's board is composed of: 1 new director. 7 experienced directors. No highly experienced directors. Independent & Non Executive Director Soon Chan was the last director to join the board, commencing their role in 2022. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Annonce • Jan 16
Econframe to Diversify with Acquisition of 70% Stake in Eta World Econframe Berhad (KLSE:EFRAME) proposed the acquisition of a 70% equity interest in Eta World Sdn. Bhd. from Eta Industries Sdn. Bhd. for MYR 56 million. The acquisition, involving cash and issuance of new shares, aims to diversify Econframe's business into construction services and property development, focusing on industrial properties. Econframe Group is presently involved in providing total door system solutions for property development. ETA World is an industrial property builder known for turnkey solutions. The proposed diversification is contingent on shareholder approval and is anticipated to contribute significantly to Econframe's financial performance, enhancing its position in the industrial property market. The completion of the proposals is expected in the first half of 2024. Annonce • Dec 29
Econframe Berhad, Annual General Meeting, Jan 29, 2024 Econframe Berhad, Annual General Meeting, Jan 29, 2024, at 10:30 Singapore Standard Time. Location: Toh Yuen VIP Room,Klang Executive Club, 42, Persiaran Bukit Raja 2,Bandar Baru Klang, 41150 Klang, SELANGOR DARUL EHSAN Malaysia Agenda: To receive the Audited Financial Statements of the Company for the financial year ended 31 August 2023 together with the Reports of the Directors and Auditors thereon; to approve the Directors' fees and Benefits payable to the Directors of the Company; to re-elect Mr. Tan Hock Soon as Director; to re-elect Puan Ilham Fadilah binti Sunhaji as Director; to re-appoint Messrs. Baker Tilly Monteiro Heng PLT as Auditors of the Company and to authorise the Board of Directors to determine their remuneration; and to provide authority issue shares pursuant to the Companies Act 2016. Reported Earnings • Oct 25
Full year 2023 earnings released: EPS: RM0.039 (vs RM0.035 in FY 2022) Full year 2023 results: EPS: RM0.039 (up from RM0.035 in FY 2022). Revenue: RM75.9m (up 28% from FY 2022). Net income: RM13.1m (up 16% from FY 2022). Profit margin: 17% (down from 19% in FY 2022). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 29% per year but the company’s share price has increased by 37% per year, which means it is tracking significantly ahead of earnings growth. Annonce • Oct 18
Econframe Berhad Announces Resignation of Teoh Keng Chang as Executive Director Econframe Berhad announced resignation of MR. Teoh Keng Chang, aged 31 as Executive Director due to other personal commitment, effective on October 17, 2023. Reported Earnings • Jul 29
Third quarter 2023 earnings released: EPS: RM0.01 (vs RM0.009 in 3Q 2022) Third quarter 2023 results: EPS: RM0.01 (up from RM0.009 in 3Q 2022). Revenue: RM19.6m (up 30% from 3Q 2022). Net income: RM3.51m (up 16% from 3Q 2022). Profit margin: 18% (down from 20% in 3Q 2022). The decrease in margin was driven by higher expenses. Reported Earnings • Apr 19
Second quarter 2023 earnings released: EPS: RM0.01 (vs RM0.008 in 2Q 2022) Second quarter 2023 results: EPS: RM0.01 (up from RM0.008 in 2Q 2022). Revenue: RM18.4m (up 26% from 2Q 2022). Net income: RM3.16m (up 22% from 2Q 2022). Profit margin: 17% (in line with 2Q 2022). Valuation Update With 7 Day Price Move • Jan 17
Investor sentiment improved over the past week After last week's 23% share price gain to RM1.04, the stock trades at a trailing P/E ratio of 30.1x. Average trailing P/E is 12x in the Building industry in Malaysia. Total returns to shareholders of 114% over the past year. Reported Earnings • Dec 22
Full year 2022 earnings released: EPS: RM0.035 (vs RM0.016 in FY 2021) Full year 2022 results: EPS: RM0.035 (up from RM0.016 in FY 2021). Revenue: RM59.4m (up 45% from FY 2021). Net income: RM11.2m (up 120% from FY 2021). Profit margin: 19% (up from 13% in FY 2021). The increase in margin was driven by higher revenue. Annonce • Dec 17
Econframe Berhad, Annual General Meeting, Jan 17, 2023 Econframe Berhad, Annual General Meeting, Jan 17, 2023, at 10:30 Singapore Standard Time. Location: Royal Ballroom, Sultan Abdul Aziz Shah Golf & Country Club, No. 1, Rumah Kelab, Jalan Kelab Golf 13/6, Seksyen 13, 40100 Shah Alam, SELANGOR DARUL EHSAN Malaysia Agenda: To receive the Audited Financial Statements of the Company for the financial year ended 31 August 2022 together with the Reports of the Directors and Auditors thereon; to approve the payment of Directors' fees of up to MYR 280,000/- for the financial year ending 31 August 2023 and Directors' benefits of up to RM55,000/- for the period from 17 January 2023 to the next AGM to be held in year 2024; to re-elect the Directors, who retire pursuant Clause 21.11 of the Company's Constitution, and being eligible, have offered themselves for re-election; and to consider other matters. Valuation Update With 7 Day Price Move • Dec 08
Investor sentiment improved over the past week After last week's 25% share price gain to RM1.03, the stock trades at a trailing P/E ratio of 29.8x. Average trailing P/E is 12x in the Building industry in Malaysia. Total returns to shareholders of 151% over the past year. Board Change • Nov 16
High number of new and inexperienced directors There are 9 new directors who have joined the board in the last 3 years. The company's board is composed of: 9 new directors. No experienced directors. No highly experienced directors. Independent Non-Executive Chairman Robert Koong is the most experienced director on the board, commencing their role in 2020. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. Reported Earnings • Oct 22
Full year 2022 earnings released: EPS: RM0.035 (vs RM0.016 in FY 2021) Full year 2022 results: EPS: RM0.035 (up from RM0.016 in FY 2021). Revenue: RM59.4m (up 45% from FY 2021). Net income: RM11.2m (up 120% from FY 2021). Profit margin: 19% (up from 13% in FY 2021). The increase in margin was driven by higher revenue. Reported Earnings • Jul 23
Third quarter 2022 earnings released: EPS: RM0.009 (vs RM0.005 in 3Q 2021) Third quarter 2022 results: EPS: RM0.009 (up from RM0.005 in 3Q 2021). Revenue: RM15.1m (up 20% from 3Q 2021). Net income: RM3.03m (up 74% from 3Q 2021). Profit margin: 20% (up from 14% in 3Q 2021). The increase in margin was driven by higher revenue. Board Change • Apr 27
High number of new and inexperienced directors There are 9 new directors who have joined the board in the last 3 years. The company's board is composed of: 9 new directors. No experienced directors. No highly experienced directors. Independent Non-Executive Chairman Robert Koong is the most experienced director on the board, commencing their role in 2020. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. Annonce • Apr 23
Econframe Berhad Declares Single-Tier Interim Dividend for the Financial Year Ending 31 August 2022, Payable on May 27, 2022 Econframe Berhad's Board of Directors has declared an interim single-tier dividend of 0.50 sen per ordinary share in respect of the financial year ending 31 August 2022. The interim single-tier dividend shall be payable on 27 May 2022 to shareholders of the Company whose name appear in the Record of Depositors at the close of business on 13 May 2022. The interim financial report does not reflect this dividend. Such dividend will be accounted for in the equity as an appropriation of retained earnings in the financial period ending 31 May 2022. Reported Earnings • Jan 26
First quarter 2022 earnings: EPS in line with expectations, revenues disappoint First quarter 2022 results: EPS: RM0.008 (up from RM0.004 in 1Q 2021). Revenue: RM13.3m (up 25% from 1Q 2021). Net income: RM2.66m (up 136% from 1Q 2021). Profit margin: 20% (up from 11% in 1Q 2021). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 11%. Reported Earnings • Dec 28
Full year 2021 earnings: EPS in line with expectations, revenues disappoint Full year 2021 results: EPS: RM0.016 (down from RM0.021 in FY 2020). Revenue: RM41.0m (flat on FY 2020). Net income: RM5.11m (down 4.3% from FY 2020). Profit margin: 13% (in line with FY 2020). Revenue missed analyst estimates by 11%. Over the next year, revenue is forecast to grow 53%, compared to a 13% growth forecast for the industry in Malaysia. Reported Earnings • Oct 26
Full year 2021 earnings released: EPS RM0.016 (vs RM0.021 in FY 2020) The company reported a soft full year result with weaker earnings, although revenues and profit margins were flat. Full year 2021 results: Revenue: RM41.0m (flat on FY 2020). Net income: RM5.11m (down 4.3% from FY 2020). Profit margin: 13% (in line with FY 2020). Reported Earnings • Jul 27
Third quarter 2021 earnings released: EPS RM0.005 (vs RM0.12 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: RM12.6m (up 163% from 3Q 2020). Net income: RM1.74m (up RM1.61m from 3Q 2020). Profit margin: 14% (up from 2.7% in 3Q 2020). The increase in margin was driven by higher revenue. Annonce • Jan 26
Econframe Berhad Appoints Lim Foo Seng as Non Independent and Non Executive Director Econframe Berhad announced the appointment of LIM FOO SENG as Non Independent and Non Executive Director. Date of change of 01 February 2021. Working experience and occupation: Mr. Lim Foo Seng started his career in Deloitte Kassim Chan, an international accounting firm, from 1989 till 1995. He left to join Arab-Malaysian Corporation Berhad Group in 1995 and left Amcorp Group in 2003 where his last position with Amcorp Group was a Chief Financial Officer of MCM Technologies Berhad.He joined Quest Technology Sdn Bhd in 2003 as a Chief Financial Officer and subsequently, from 2005 to 2008, he served as an Executive Director for Quest's immediate holding company, Ruby Quest Berhad. From 2008 to 2009, he was an Executive Director of Asia Bioenergy Technologies Berhad. Thereafter in late 2009, he set up and co-owned an investment holding company in which he subsequently disposed of his stakes and resigned as director in 2011. Subsequently, he embarked into retail industry where he was the Head of Strategic Planning for Aivoria Group Sdn Bhd and Winn Worldwide Sdn Bhd from 2011 to 2013 and 2014 to 2017 respectively. Currently he is the Chief Strategy Officer of Nova Pharma Solutions Berhad, a company involved in the provision of engineering services for pharmaceutical and biotechnology industries. Reported Earnings • Dec 26
Full year 2020 earnings released: EPS RM0.021 The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: RM40.6m (down 7.9% from FY 2019). Net income: RM5.34m (down 34% from FY 2019). Profit margin: 13% (down from 19% in FY 2019). The decrease in margin was driven by lower revenue. Analyst Estimate Surprise Post Earnings • Dec 26
Revenue beats expectations, earnings disappoint Revenue exceeded analyst estimates by 0.04%. Earnings per share (EPS) missed analyst estimates by 14%. Over the next year, revenue is forecast to grow 16%, compared to a 11% growth forecast for the Building industry in Malaysia. Annonce • Nov 03
Econframe Berhad Announces Re-Designation of Tan Hock Soon, an Independent Non-Executive Director to Senior Independent Non-Executive Director The Board of Econframe Berhad announced redesignation of Mr. Tan Hock Soon, an Independent Non-Executive Director to Senior Independent Non-Executive Director with effect from 2 November 2020. Analyst Estimate Surprise Post Earnings • Oct 28
Annual earnings released: Revenue beats expectations Annual revenue exceeded analyst estimates by 0.04% at RM40.6m. Revenue is forecast to grow 16% over the next year, compared to a 7.4% growth forecast for the Building industry in Malaysia. Reported Earnings • Oct 28
Full year earnings released - EPS RM0.021 Over the last 12 months the company has reported total profits of RM5.34m, down 34% from the prior year. Total revenue was RM40.6m over the last 12 months, down 7.8% from the prior year. Profit margins were 13%, which is lower than the 18% margin from last year. The decrease in margin was driven by lower revenue.