New Risk • May 18
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended June 2025. 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: Major Risks Share price has been highly volatile over the past 3 months (15% average weekly change). Earnings have declined by 27% per year over the past 5 years. Minor Risks Latest financial reports are more than 6 months old (reported June 2025 fiscal period end). Profit margins are more than 30% lower than last year (6.5% net profit margin). Market cap is less than US$100m (RM203.7m market cap, or US$51.6m). New Risk • Mar 04
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 7.7% 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 27% per year over the past 5 years. Minor Risks Share price has been volatile over the past 3 months (7.7% average weekly change). Profit margins are more than 30% lower than last year (6.5% net profit margin). Market cap is less than US$100m (RM135.8m market cap, or US$34.5m). New Risk • Mar 03
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 6.5% Last year net profit margin: 21% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 27% per year over the past 5 years. Minor Risks Profit margins are more than 30% lower than last year (6.5% net profit margin). Market cap is less than US$100m (RM168.0m market cap, or US$42.7m). New Risk • Dec 27
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 7.8% 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 31% per year over the past 5 years. Minor Risks Share price has been volatile over the past 3 months (7.8% average weekly change). Market cap is less than US$100m (RM190.7m market cap, or US$47.1m). Reported Earnings • Nov 01
Full year 2025 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2025 results: EPS: RM0.01 (down from RM0.039 in FY 2024). Revenue: RM107.3m (down 14% from FY 2024). Net income: RM6.93m (down 73% from FY 2024). Profit margin: 6.5% (down from 21% in FY 2024). The decrease in margin was primarily driven by lower revenue. Revenue exceeded analyst estimates by 1.2%. Earnings per share (EPS) missed analyst estimates by 46%. Over the last 3 years on average, earnings per share has fallen by 58% 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. Announcement • Oct 29
Globetronics Technology Bhd., Annual General Meeting, Nov 28, 2025 Globetronics Technology Bhd., Annual General Meeting, Nov 28, 2025, at 09:00 Singapore Standard Time. Location: olive 4-8, olive tree hotel penang, 76, jalan mahsuri, bandar sunway tunas, pulau pinang, 11950 bayan lepas Malaysia Reported Earnings • Aug 29
Second quarter 2025 earnings released: RM0.001 loss per share (vs RM0.006 profit in 2Q 2024) Second quarter 2025 results: RM0.001 loss per share (down from RM0.006 profit in 2Q 2024). Revenue: RM25.7m (down 7.2% from 2Q 2024). Net loss: RM537.0k (down 113% from profit in 2Q 2024). 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 37% per year, which means it has not declined as severely as earnings. New Risk • Jul 21
New major risk - Revenue and earnings growth Earnings have declined by 23% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 23% per year over the past 5 years. Minor Risks Paying a dividend despite having no free cash flows. Profit margins are more than 30% lower than last year (4.9% net profit margin). Market cap is less than US$100m (RM290.4m market cap, or US$68.6m). Announcement • Jun 05
Tata Electronics Reportedly Eyes Malaysia Foray Via Chip Fab Acquisition Tata Electronics Private Limited is reportedly in talks with global semiconductor players X-FAB Silicon Foundries SE (ENXTPA:XFAB), Dagang NeXchange Berhad (KLSE:DNEX) and Globetronics Technology Bhd. (KLSE:GTRONIC) to acquire fabrication or outsourced semiconductor assembly and test (OSAT) facility in Malaysia. An ET report said that Tata Semiconductor Manufacturing’s recently appointed president and head KC Ang will be leading the deal. For the uninitiated, Tata Semiconductor Manufacturing is the semiconductor foundry business of Tata Electronics. “Globetronics and DNeX’s SilTerra facility are among the front runners to be acquired by Tata Electronics,” one of the sources told ET. Tata Electronics declined to comment on Inc42’s queries. The acquisition is aimed at boosting Tata group company’s knowledge and talent base ahead of its foray into the semiconductor assembly and packaging business in India, the report added. The Tata group is investing heavily in the Indian semiconductor industry. It is building India’s first semiconductor fab in Gujarat’s Dholera, with a $11 Billion investment. Additionally, it is investing $3 Billion in a facility in Assam for the assembly and testing of semiconductor chips. This project in Assam will focus on OSAT activities. Reported Earnings • May 29
First quarter 2025 earnings released: EPS: RM0 (vs RM0.008 in 1Q 2024) First quarter 2025 results: EPS: RM0 (down from RM0.008 in 1Q 2024). Revenue: RM25.0m (down 16% from 1Q 2024). Net income: RM130.0k (down 98% from 1Q 2024). Profit margin: 0.5% (down from 19% in 1Q 2024). The decrease in margin was primarily driven by lower revenue. Revenue is forecast to grow 19% p.a. on average during the next 2 years, compared to a 10.0% growth forecast for the Semiconductor industry in Malaysia. Over the last 3 years on average, earnings per share has fallen by 51% per year but the company’s share price has only fallen by 30% per year, which means it has not declined as severely as earnings. New Risk • Apr 10
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 8.3% 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 High level of non-cash earnings (51% accrual ratio). Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (8.3% average weekly change). Profit margins are more than 30% lower than last year (9.8% net profit margin). Market cap is less than US$100m (RM287.0m market cap, or US$64.2m). Price Target Changed • Mar 03
Price target decreased by 14% to RM0.67 Down from RM0.78, the current price target is an average from 5 analysts. New target price is 79% above last closing price of RM0.38. Stock is down 74% over the past year. The company is forecast to post earnings per share of RM0.021 for next year compared to RM0.016 last year. Reported Earnings • Mar 02
Full year 2024 earnings released: EPS: RM0.016 (vs RM0.039 in FY 2023) Full year 2024 results: EPS: RM0.016 (down from RM0.039 in FY 2023). Revenue: RM110.6m (down 16% from FY 2023). Net income: RM10.8m (down 59% from FY 2023). Profit margin: 9.8% (down from 20% in FY 2023). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 25% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Semiconductor industry in Malaysia. Over the last 3 years on average, earnings per share has fallen by 42% per year but the company’s share price has only fallen by 35% per year, which means it has not declined as severely as earnings. Announcement • Jan 09
Globetronics Technology Bhd. Appoints Lim Swee Foon as Company Secretary Globetronics Technology Bhd. appointed Lim Swee Foon as company secretary. Date of change: 9 January 2025. Reported Earnings • Nov 30
Third quarter 2024 earnings released: RM0.008 loss per share (vs RM0.014 profit in 3Q 2023) Third quarter 2024 results: RM0.008 loss per share (down from RM0.014 profit in 3Q 2023). Revenue: RM29.3m (down 15% from 3Q 2023). Net loss: RM5.20m (down 155% from profit in 3Q 2023). Revenue is forecast to grow 23% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Semiconductor industry in Malaysia. Over the last 3 years on average, earnings per share has fallen by 34% per year whereas the company’s share price has fallen by 30% per year. Price Target Changed • Oct 09
Price target decreased by 9.9% to RM1.04 Down from RM1.15, the current price target is an average from 6 analysts. New target price is 67% above last closing price of RM0.62. Stock is down 58% over the past year. The company is forecast to post earnings per share of RM0.038 for next year compared to RM0.039 last year. New Risk • Sep 10
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 11% 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 High level of non-cash earnings (49% accrual ratio). Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (11% average weekly change). Market cap is less than US$100m (RM364.7m market cap, or US$84.0m). Buy Or Sell Opportunity • Sep 09
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 47% to RM0.80. The fair value is estimated to be RM1.01, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 21% over the last 3 years. Earnings per share has declined by 26%. For the next 3 years, revenue is forecast to grow by 16% per annum. Earnings are also forecast to grow by 17% per annum over the same time period. Price Target Changed • Aug 26
Price target decreased by 8.6% to RM1.15 Down from RM1.26, the current price target is an average from 8 analysts. New target price is 13% above last closing price of RM1.02. Stock is down 32% over the past year. The company is forecast to post earnings per share of RM0.043 for next year compared to RM0.039 last year. New Risk • Aug 24
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 49% 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 Risk High level of non-cash earnings (49% accrual ratio). Minor Risk Paying a dividend despite having no free cash flows. Reported Earnings • Aug 24
Second quarter 2024 earnings released: EPS: RM0.006 (vs RM0.011 in 2Q 2023) Second quarter 2024 results: EPS: RM0.006 (down from RM0.011 in 2Q 2023). Revenue: RM27.8m (down 12% from 2Q 2023). Net income: RM4.27m (down 40% from 2Q 2023). Profit margin: 15% (down from 23% in 2Q 2023). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 15% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Semiconductor industry in Malaysia. Over the last 3 years on average, earnings per share has fallen by 26% per year but the company’s share price has only fallen by 18% per year, which means it has not declined as severely as earnings. Valuation Update With 7 Day Price Move • Jun 06
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to RM1.47, the stock trades at a forward P/E ratio of 27x. Average forward P/E is 32x in the Semiconductor industry in Malaysia. Total loss to shareholders of 22% over the past three years. Announcement • May 11
Globetronics Technology Bhd. Announces Retirement of Ng Kok Choon as Executive Non-Independent Director Globetronics Technology Bhd. announced retirement of NG KOK CHOON as Executive Non-Independent Director. Age is 58. Date of change is 10 May 2024. Reported Earnings • May 10
First quarter 2024 earnings released: EPS: RM0.009 (vs RM0.005 in 1Q 2023) First quarter 2024 results: EPS: RM0.009 (up from RM0.005 in 1Q 2023). Revenue: RM29.9m (down 9.7% from 1Q 2023). Net income: RM5.72m (up 73% from 1Q 2023). Profit margin: 19% (up from 10.0% in 1Q 2023). The increase in margin was driven by lower expenses. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Semiconductor industry in Malaysia. Over the last 3 years on average, earnings per share has fallen by 22% per year but the company’s share price has only fallen by 16% per year, which means it has not declined as severely as earnings. Reported Earnings • Apr 18
Full year 2023 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2023 results: EPS: RM0.039 (down from RM0.068 in FY 2022). Revenue: RM131.8m (down 27% from FY 2022). Net income: RM26.4m (down 42% from FY 2022). Profit margin: 20% (down from 25% in FY 2022). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 14%. Earnings per share (EPS) exceeded analyst estimates by 1.3%. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Semiconductor industry in Malaysia. Over the last 3 years on average, earnings per share has fallen by 18% per year whereas the company’s share price has fallen by 20% per year. Announcement • Apr 16
Globetronics Technology Bhd., Annual General Meeting, May 08, 2024 Globetronics Technology Bhd., Annual General Meeting, May 08, 2024, at 10:30 Singapore Standard Time. Location: Conference Room of Globetronics Technology Bhd 11900 Bayan Lepas, Penang Malaysia Agenda: To receive the Audited Financial Statements for the financial year ended 31 December 2023 together with the Reports of Directors and Auditors thereon; to re-elect Mr. Liaw Way Gian as a Director of the Company; to re-elect Mr. Ku Chong Hong as a Director of the Company; to re-elect Mr. Tan Teik Hsiung as a Director of the Company; to approve the payment of Directors' fees amounting to RMB 709,626 to the Non-Executive Directors who had served the Company in respect of financial year ended 31 December 2023; to re-appoint Messrs. KPMG PLT as Auditors of the Company to hold office until the conclusion of the next AGM of the Company and to authorise the Directors to fix their remuneration; and to discuss matters. Announcement • Mar 12
Globetronics Technology Bhd. Appoints Tan Tong Lang as Joint Secretary Globetronics Technology Bhd. appointed Tan Tong Lang as Joint Secretary. Date Of Change: 12 Mar. 2024. Upcoming Dividend • Mar 05
Upcoming dividend of RM0.02 per share Eligible shareholders must have bought the stock before 12 March 2024. Payment date: 22 March 2024. Payout ratio is a comfortable 52% but the company is paying out more than the cash it is generating. Trailing yield: 2.4%. Lower than top quartile of Malaysian dividend payers (4.9%). Higher than average of industry peers (1.7%). Board Change • Feb 26
Less than half of directors are independent There are 6 new directors who have joined the board in the last 3 years. Of these new board members, 2 were independent directors. The company's board is composed of: 6 new directors. No experienced directors. No highly experienced directors. 2 independent directors (4 non-independent directors). CEO & Executive Director Charng Heng is the most experienced director on the board, commencing their role in 2022. Independent and Non Executive Director Teik Tan was the last independent director to join the board, commencing their role in 2024. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Lack of experienced directors. Announcement • Feb 23
Globetronics Technology Bhd. Announces Single Tier Special Dividend for the Year Ended 31 December 2023, Payable on 22 March 2024 Globetronics Technology Bhd. announced single tier special dividend of 1 sen per ordinary share for the year ended 31 December 2023. Dividend payable on 22 March 2024 and Ex-Date of 12 March 2024. Reported Earnings • Feb 21
Full year 2023 earnings released: EPS: RM0.039 (vs RM0.068 in FY 2022) Full year 2023 results: EPS: RM0.039 (down from RM0.068 in FY 2022). Revenue: RM131.8m (down 27% from FY 2022). Net income: RM26.4m (down 42% from FY 2022). Profit margin: 20% (down from 25% in FY 2022). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Semiconductor industry in Malaysia. Over the last 3 years on average, earnings per share has fallen by 18% per year whereas the company’s share price has fallen by 21% per year. Valuation Update With 7 Day Price Move • Jan 18
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to RM1.44, the stock trades at a forward P/E ratio of 26x. Average forward P/E is 30x in the Semiconductor industry in Malaysia. Total loss to shareholders of 46% over the past three years. Announcement • Jan 11
Globetronics Technology Bhd. Appoints Yip Wai Chee as Chief Operating Officer Globetronics Technology Bhd. announced the appointment of Mr. Yip Wai Chee, aged 56, as Chief Operating Officer, effective 10 January 2024. Qualifications: Bachelor Degree in Mechanical Engineering University of Malaya Working experience and occupation Vice President of Business and Operations - Globetronics (January 2022 - Present); Business and Operations Director - Globetronics (December 2016 - December 2021); Operations Director - Flextronics (June 2015 - August 2016); Senior Manager Product Management - Intel Corporation (January 2014 - May 2015); Lean Manufacturing Manager - Intel Corporation (June 2011 - May 2015); Technical Training Manager - Intel Corporation (May 2009 - May 2015); Operations Manager - Intel Corporation (October 2005 - April 2009); Test Engineering Manager - Intel Corporation (March 2004 - September 2005); Assembly/Test Equipment Manager - Intel Corporation (May 1999 - February 2004); Module Engineer - Intel Corporation (May 1993 - April 1999). Announcement • Dec 18
Globetronics Technology Bhd. announced that it expects to receive MYR 140 million in funding from APB Resources Berhad Globetronics Technology Bhd. announced a private placement of 70,000,000 common shares at a price of 2 per share for gross proceeds of 140,000,000 on December 18, 2023. The transaction included participation from new investor APB Resources Berhad for 10.41% stake in the company. Announcement • Nov 04
Globetronics Technology Bhd. Declares Single Tier Second Interim Dividend for the Financial Year Ending 31 December 2023 Globetronics Technology Bhd. declared a single tier second interim dividend of 0.5 sen per ordinary share for the financial year ending 31 December 2023. The rate of the 2nd interim dividend declared is lower by 0.5 sen when compared with the rate of the 2nd interim dividend declared for the corresponding period in previous financial year which is in line with lower profits recorded and conservation of cash flow for future capital expenditures. Major Estimate Revision • Oct 31
Consensus EPS estimates fall by 10% The consensus outlook for earnings per share (EPS) in fiscal year 2023 has deteriorated. 2023 revenue forecast decreased from RM163.5m to RM153.4m. EPS estimate also fell from RM0.045 per share to RM0.04 per share. Net income forecast to grow 17% next year vs 28% growth forecast for Semiconductor industry in Malaysia. Consensus price target down from RM1.32 to RM1.29. Share price rose 2.1% to RM1.43 over the past week. Reported Earnings • Oct 25
Third quarter 2023 earnings released: EPS: RM0.014 (vs RM0.019 in 3Q 2022) Third quarter 2023 results: EPS: RM0.014 (down from RM0.019 in 3Q 2022). Revenue: RM34.6m (down 25% from 3Q 2022). Net income: RM9.53m (down 25% from 3Q 2022). Profit margin: 28% (in line with 3Q 2022). Revenue is forecast to grow 15% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Semiconductor industry in Malaysia. Over the last 3 years on average, earnings per share has fallen by 12% per year but the company’s share price has fallen by 22% per year, which means it is performing significantly worse than earnings. Major Estimate Revision • Aug 01
Consensus EPS estimates fall by 14% The consensus outlook for earnings per share (EPS) in fiscal year 2023 has deteriorated. 2023 revenue forecast decreased from RM178.8m to RM163.5m. EPS estimate also fell from RM0.052 per share to RM0.045 per share. Net income forecast to grow 3.5% next year vs 31% growth forecast for Semiconductor industry in Malaysia. Consensus price target up from RM1.05 to RM1.24. Share price fell 13% to RM1.40 over the past week. New Risk • Jul 29
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 7.5% 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: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (7.5% average weekly change). Reported Earnings • Jul 26
Second quarter 2023 earnings released: EPS: RM0.011 (vs RM0.017 in 2Q 2022) Second quarter 2023 results: EPS: RM0.011 (down from RM0.017 in 2Q 2022). Revenue: RM31.5m (down 34% from 2Q 2022). Net income: RM7.08m (down 37% from 2Q 2022). Profit margin: 23% (in line with 2Q 2022). Revenue is forecast to grow 14% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Semiconductor industry in Malaysia. Over the last 3 years on average, earnings per share has fallen by 7% per year but the company’s share price has fallen by 17% per year, which means it is performing significantly worse than earnings. Valuation Update With 7 Day Price Move • Jul 14
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to RM1.60, the stock trades at a forward P/E ratio of 29x. Average forward P/E is 30x in the Semiconductor industry in Malaysia. Total loss to shareholders of 23% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at RM0.77 per share. Upcoming Dividend • Jun 27
Upcoming dividend of RM0.01 per share at 4.7% yield Eligible shareholders must have bought the stock before 04 July 2023. Payment date: 20 July 2023. Payout ratio is a comfortable 51% and this is well supported by cash flows. Trailing yield: 4.7%. Lower than top quartile of Malaysian dividend payers (5.5%). Higher than average of industry peers (2.0%).