New Risk • Jun 07
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Malaysian stocks, typically moving 12% a week. This is considered a major risk. Share price volatility 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. It may also indicate 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. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (12% average weekly change). Earnings have declined by 43% per year over the past 5 years. Minor Risk Market cap is less than US$100m (RM61.8m market cap, or US$15.3m). Reported Earnings • May 15
Third quarter 2026 earnings released: RM0.001 loss per share (vs RM0.006 profit in 3Q 2025) Third quarter 2026 results: RM0.001 loss per share (down from RM0.006 profit in 3Q 2025). Revenue: RM20.1m (down 5.2% from 3Q 2025). Net loss: RM191.0k (down 117% from profit in 3Q 2025). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 40 percentage points per year, which is a significant difference in performance. Reported Earnings • Feb 12
Second quarter 2026 earnings released: EPS: RM0.003 (vs RM0.01 in 2Q 2025) Second quarter 2026 results: EPS: RM0.003 (down from RM0.01 in 2Q 2025). Revenue: RM24.9m (up 25% from 2Q 2025). Net income: RM537.0k (down 70% from 2Q 2025). Profit margin: 2.2% (down from 8.8% in 2Q 2025). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 56% per year but the company’s share price has only fallen by 28% per year, which means it has not declined as severely as earnings. Reported Earnings • Nov 20
First quarter 2026 earnings released: RM0.001 loss per share (vs RM0.001 profit in 1Q 2025) First quarter 2026 results: RM0.001 loss per share (down from RM0.001 profit in 1Q 2025). Revenue: RM24.7m (up 29% from 1Q 2025). Net loss: RM145.0k (down 248% from profit in 1Q 2025). Over the last 3 years on average, earnings per share has fallen by 44% per year but the company’s share price has increased by 3% per year, which means it is well ahead of earnings. Announcement • Nov 19
Volcano Berhad Approves Final Dividend for the Financial Year Ended 30 June 2025 Volcano Berhad, at the AGM held on 19 November 2025 approved the payment of the final dividend of 0.20 sen per ordinary share of the Company in respect of the financial year ended 30 June 2025. Reported Earnings • Oct 19
Full year 2025 earnings released: EPS: RM0.007 (vs RM0.03 in FY 2024) Full year 2025 results: EPS: RM0.007 (down from RM0.03 in FY 2024). Revenue: RM82.2m (up 14% from FY 2024). Net income: RM1.35m (down 74% from FY 2024). Profit margin: 1.6% (down from 7.2% in FY 2024). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 34% per year but the company’s share price has increased by 5% per year, which means it is well ahead of earnings. Announcement • Oct 16
Volcano Berhad, Annual General Meeting, Nov 19, 2025 Volcano Berhad, Annual General Meeting, Nov 19, 2025, at 10:00 Singapore Standard Time. Location: kelawai room, lobby, gurney bay hotel, 53 persiaran gurney, 10250 george town, penang, Malaysia New Risk • Oct 15
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 7.6% 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 Risks Earnings have declined by 17% per year over the past 5 years. High level of non-cash earnings (35% accrual ratio). Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (7.6% average weekly change). Profit margins are more than 30% lower than last year (1.6% net profit margin). Market cap is less than US$100m (RM86.3m market cap, or US$20.4m). New Risk • Sep 12
New minor risk - Dividend sustainability The dividend is not well covered by cash flows. The company is paying a dividend despite having no free cash flows. Dividend yield: 2.1% This is considered a minor risk. Dividends are ultimately paid out of the company's available cash reserves. Companies that pay out too much of their cash flow are at risk of having to reduce or cut their dividend in future. If cash flow growth slows or cash flows fall, then there may not be enough cash reserves to maintain the same dividend. Or in extreme cases, companies may opt to take on debt to maintain the dividend. This risk is mitigated by the fact the dividend is covered by earnings, however, cash flows are generally more important. 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: Major Risks Earnings have declined by 17% per year over the past 5 years. High level of non-cash earnings (35% accrual ratio). Minor Risks Paying a dividend despite having no free cash flows. Profit margins are more than 30% lower than last year (1.6% net profit margin). Market cap is less than US$100m (RM87.2m market cap, or US$20.7m). Reported Earnings • Aug 28
Full year 2025 earnings released: EPS: RM0.007 (vs RM0.03 in FY 2024) Full year 2025 results: EPS: RM0.007 (down from RM0.03 in FY 2024). Revenue: RM82.2m (up 14% from FY 2024). Net income: RM1.35m (down 74% from FY 2024). Profit margin: 1.6% (down from 7.2% in FY 2024). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 34% per year but the company’s share price has increased by 8% per year, which means it is well ahead of earnings. Reported Earnings • May 22
Third quarter 2025 earnings released: EPS: RM0.006 (vs RM0.006 in 3Q 2024) Third quarter 2025 results: EPS: RM0.006 (in line with 3Q 2024). Revenue: RM21.2m (up 24% from 3Q 2024). Net income: RM1.15m (up 15% from 3Q 2024). Profit margin: 5.4% (down from 5.8% in 3Q 2024). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 24% per year but the company’s share price has increased by 14% per year, which means it is well ahead of earnings. New Risk • Apr 02
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 7.4% 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 Risks Earnings have declined by 4.1% per year over the past 5 years. High level of non-cash earnings (23% accrual ratio). Minor Risks Share price has been volatile over the past 3 months (7.4% average weekly change). Market cap is less than US$100m (RM115.3m market cap, or US$25.9m). Declared Dividend • Feb 21
First half dividend of RM0.0032 announced Shareholders will receive a dividend of RM0.0032. Ex-date: 5th March 2025 Payment date: 21st March 2025 Dividend yield will be 1.1%, which is lower than the industry average of 3.5%. Sustainability & Growth Dividend is covered by earnings (43% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has decreased over the past 36 years, indicating a lack of growth and stability in payments. The company's earnings per share (EPS) would need to decline by 53% to shift the payout ratio to a potentially unsustainable range, which is more than the 7.8% EPS decline seen over the last 5 years. New Risk • Feb 20
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 23% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risks Earnings have declined by 4.1% per year over the past 5 years. High level of non-cash earnings (23% accrual ratio). Minor Risk Market cap is less than US$100m (RM141.7m market cap, or US$32.0m). Reported Earnings • Feb 20
Second quarter 2025 earnings released: EPS: RM0.01 (vs RM0.007 in 2Q 2024) Second quarter 2025 results: EPS: RM0.01 (up from RM0.007 in 2Q 2024). Revenue: RM20.0m (up 21% from 2Q 2024). Net income: RM1.76m (up 42% from 2Q 2024). Profit margin: 8.8% (up from 7.5% in 2Q 2024). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 28% per year but the company’s share price has increased by 24% per year, which means it is well ahead of earnings. New Risk • Jan 22
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 6.9% 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 2.0% per year over the past 5 years. Minor Risks Share price has been volatile over the past 3 months (6.9% average weekly change). Profit margins are more than 30% lower than last year (5.0% net profit margin). Market cap is less than US$100m (RM144.4m market cap, or US$32.5m). New Risk • Dec 02
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 6.9% 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 2.0% per year over the past 5 years. Minor Risks Share price has been volatile over the past 3 months (6.9% average weekly change). Profit margins are more than 30% lower than last year (5.0% net profit margin). Market cap is less than US$100m (RM145.3m market cap, or US$32.7m). Reported Earnings • Nov 21
First quarter 2025 earnings released: EPS: RM0.001 (vs RM0.01 in 1Q 2024) First quarter 2025 results: EPS: RM0.001 (down from RM0.01 in 1Q 2024). Revenue: RM19.1m (flat on 1Q 2024). Net income: RM98.0k (down 94% from 1Q 2024). Profit margin: 0.5% (down from 9.0% in 1Q 2024). Over the last 3 years on average, earnings per share has fallen by 28% per year but the company’s share price has increased by 19% per year, which means it is well ahead of earnings. Reported Earnings • Oct 23
Full year 2024 earnings released: EPS: RM0.03 (vs RM0.037 in FY 2023) Full year 2024 results: EPS: RM0.03 (down from RM0.037 in FY 2023). Revenue: RM72.3m (down 3.1% from FY 2023). Net income: RM5.23m (down 13% from FY 2023). Profit margin: 7.2% (down from 8.1% in FY 2023). The decrease in margin was driven by lower revenue. Declared Dividend • Oct 19
Final dividend of RM0.005 announced Shareholders will receive a dividend of RM0.005. Ex-date: 29th November 2024 Payment date: 16th December 2024 Dividend yield will be 1.4%, which is lower than the industry average of 3.5%. Sustainability & Growth Dividend is covered by earnings (45% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has decreased over the past 36 years, indicating a lack of growth and stability in payments. The company's earnings per share (EPS) would need to decline by 51% to shift the payout ratio to a potentially unsustainable range, which is more than the 3.3% EPS decline seen over the last 5 years. Announcement • Oct 17
Volcano Berhad, Annual General Meeting, Nov 20, 2024 Volcano Berhad, Annual General Meeting, Nov 20, 2024, at 10:00 Singapore Standard Time. Location: kelawai room, lobby, gurney bay hotel, 53 persiaran gurney, 10250 george town, pulau pinang, Malaysia Reported Earnings • Aug 22
Full year 2024 earnings released: EPS: RM0.029 (vs RM0.037 in FY 2023) Full year 2024 results: EPS: RM0.029 (down from RM0.037 in FY 2023). Revenue: RM72.3m (down 3.1% from FY 2023). Net income: RM5.23m (down 13% from FY 2023). Profit margin: 7.2% (down from 8.1% in FY 2023). The decrease in margin was driven by lower revenue. Buy Or Sell Opportunity • Aug 05
Now 23% undervalued The stock has been flat over the last 90 days, currently trading at RM0.66. The fair value is estimated to be RM0.86, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last year. Earnings per share has declined by 11%. Reported Earnings • May 17
Third quarter 2024 earnings released Third quarter 2024 results: EPS: RM0.006. Net income: RM1.00m (up RM1.00m from 3Q 2023). Buy Or Sell Opportunity • Mar 22
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 36% to RM0.56. The fair value is estimated to be RM0.71, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 7.7% over the last 3 years. Earnings per share has declined by 3.5%. Reported Earnings • Nov 18
First quarter 2024 earnings released: EPS: RM0.01 (vs RM0.015 in 1Q 2023) First quarter 2024 results: EPS: RM0.01 (down from RM0.015 in 1Q 2023). Revenue: RM19.2m (down 1.1% from 1Q 2023). Net income: RM1.72m (down 29% from 1Q 2023). Profit margin: 9.0% (down from 13% in 1Q 2023). The decrease in margin was primarily driven by higher expenses. Announcement • Nov 17
Volcano Berhad Approves Final Dividend in Respect of the Financial Period Ended 30 June 2023 Volcano Berhad at its Annual General Meeting held on 16 November 2023, approved the payment of the final dividend of 0.32 sen per ordinary share of the Company in respect of the financial period ended 30 June 2023. Reported Earnings • Oct 18
Full year 2023 earnings released: EPS: RM0.037 (vs RM0.044 in FY 2022) Full year 2023 results: EPS: RM0.037 (down from RM0.044 in FY 2022). Revenue: RM74.6m (up 2.1% from FY 2022). Net income: RM6.04m (down 16% from FY 2022). Profit margin: 8.1% (down from 9.8% in FY 2022). The decrease in margin was driven by higher expenses. Announcement • Oct 07
Volcano Berhad Recommends Final Single Tier Dividend for the Financial Period Ended 30 June 2023 The board of directors of Volcano Berhad recommend a final single tier dividend of 0.32 sen per ordinary share in respect of the financial period ended 30 June 2023. The dividend is subject to shareholders' approval at the forthcoming fifth annual general meeting of the company. New Risk • Sep 06
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 10% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Minor Risks Latest financial reports are more than 6 months old (reported December 2022 fiscal period end). Share price has been volatile over the past 3 months (7.8% average weekly change). Shareholders have been diluted in the past year (10% increase in shares outstanding). Market cap is less than US$100m (RM165.3m market cap, or US$35.4m). New Risk • Aug 18
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended December 2022. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Minor Risks Latest financial reports are more than 6 months old (reported December 2022 fiscal period end). Share price has been volatile over the past 3 months (7.8% average weekly change). Market cap is less than US$100m (RM163.4m market cap, or US$35.2m). New Risk • Aug 05
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 7.9% 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: Minor Risks Share price has been volatile over the past 3 months (7.9% average weekly change). Market cap is less than US$100m (RM194.7m market cap, or US$42.7m). Valuation Update With 7 Day Price Move • Aug 04
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to RM1.18, the stock trades at a trailing P/E ratio of 27.4x. Average trailing P/E is 19x in the Machinery industry in Malaysia. Total returns to shareholders of 192% over the past year. Upcoming Dividend • Apr 10
Upcoming dividend of RM0.013 per share at 1.5% yield Eligible shareholders must have bought the stock before 17 April 2023. Payment date: 03 May 2023. Payout ratio is a comfortable 30% and this is well supported by cash flows. Trailing yield: 1.5%. Lower than top quartile of Malaysian dividend payers (5.3%). Lower than average of industry peers (2.7%). Valuation Update With 7 Day Price Move • Mar 13
Investor sentiment improves as stock rises 35% After last week's 35% share price gain to RM1.09, the stock trades at a trailing P/E ratio of 25.3x. Average trailing P/E is 17x in the Machinery industry in Malaysia. Total returns to shareholders of 189% over the past year. Reported Earnings • Nov 22
Third quarter 2022 earnings released: EPS: RM0.015 (vs RM0.012 in 3Q 2021) Third quarter 2022 results: EPS: RM0.015 (up from RM0.012 in 3Q 2021). Revenue: RM19.4m (up 6.9% from 3Q 2021). Net income: RM2.42m (up 25% from 3Q 2021). Profit margin: 13% (up from 11% in 3Q 2021). The increase in margin was driven by higher revenue. Board Change • Nov 16
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 8 experienced directors. No highly experienced directors. Independent Non Executive Director Yen Yeow Tan was the last director to join the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Reported Earnings • Aug 20
Second quarter 2022 earnings released Second quarter 2022 results: EPS: RM0.011. Net income: RM1.85m (up RM1.85m from 2Q 2021). Board Change • Jun 01
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 8 experienced directors. No highly experienced directors. Independent Non Executive Director Yen Yeow Tan was the last director to join the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Reported Earnings • May 28
First quarter 2022 earnings released First quarter 2022 results: EPS: RM0.012. Revenue: RM20.9m (flat on 1Q 2021). Net income: RM1.99m (up RM1.99m from 1Q 2021). Profit margin: 9.5% (up from null in 1Q 2021). Announcement • May 27
Volcano Berhad, Annual General Meeting, May 26, 2022 Volcano Berhad, Annual General Meeting, May 26, 2022. Board Change • May 02
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 8 experienced directors. No highly experienced directors. Independent Non Executive Director Yen Yeow Tan was the last director to join the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Announcement • Apr 27
Volcano Berhad Announces First and Final Single Tier Dividend for the Financial Year Ended 31 December 2021, Payable on 24 June 2022 Volcano Berhad announced first and final single tier dividend of 1.3 sen per share for the financial year ended 31 December 2021. Ex-date is 9 June 2022. Payment date is 24 June 2022. Announcement • Apr 14
Volcano Berhad Recommends First and Final Single Tier Dividend in Respect of the Financial Year Ended 31 December 2021 The Board of Directors of Volcano Berhad recommend a first and final single tier dividend of 1.3 sen per share in respect of the financial year ended 31 December 2021. The aforesaid dividend is subject to shareholders' approval at the forthcoming Fourth Annual General Meeting of the Company. Reported Earnings • Feb 25
Full year 2021 earnings: Revenues and EPS in line with analyst expectations Full year 2021 results: EPS: RM0.042 (up from RM0.024 in FY 2020). Revenue: RM73.0m (up 39% from FY 2020). Net income: RM6.68m (up 98% from FY 2020). Profit margin: 9.2% (up from 6.4% in FY 2020). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. 