Wellcall Holdings Berhad Just Beat Earnings Expectations: Here's What Analysts Think Will Happen Next

Investors in Wellcall Holdings Berhad (KLSE:WELLCAL) had a good week, as its shares rose 3.2% to close at RM1.30 following the release of its full-year results. Wellcall Holdings Berhad missed revenue estimates by 7.3%, coming in atRM184m, although statutory earnings per share (EPS) of RM0.094 beat expectations, coming in 5.2% ahead of analyst estimates. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

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Taking into account the latest results, the current consensus from Wellcall Holdings Berhad's two analysts is for revenues of RM194.5m in 2026. This would reflect a satisfactory 5.5% increase on its revenue over the past 12 months. Statutory per-share earnings are expected to be RM0.095, roughly flat on the last 12 months. In the lead-up to this report, the analysts had been modelling revenues of RM222.6m and earnings per share (EPS) of RM0.12 in 2026. It looks like sentiment has declined substantially in the aftermath of these results, with a real cut to revenue estimates and a substantial drop in earnings per share numbers as well.

View our latest analysis for Wellcall Holdings Berhad

The analysts made no major changes to their price target of RM1.59, suggesting the downgrades are not expected to have a long-term impact on Wellcall Holdings Berhad's valuation.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Wellcall Holdings Berhad's past performance and to peers in the same industry. It's pretty clear that there is an expectation that Wellcall Holdings Berhad's revenue growth will slow down substantially, with revenues to the end of 2026 expected to display 5.5% growth on an annualised basis. This is compared to a historical growth rate of 8.5% over the past five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 14% per year. Factoring in the forecast slowdown in growth, it seems obvious that Wellcall Holdings Berhad is also expected to grow slower than other industry participants.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Wellcall Holdings Berhad. On the negative side, they also downgraded their revenue estimates, and forecasts imply they will perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have analyst estimates for Wellcall Holdings Berhad going out as far as 2027, and you can see them free on our platform here.

We don't want to rain on the parade too much, but we did also find 1 warning sign for Wellcall Holdings Berhad that you need to be mindful of.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.