Kobay Technology property division pre-tax profit nearly doubles to RM1.43 million in 1QFY2027

Kobay Technology Bhd’s property development division reported a 95% jump in pre-tax profit to RM1.43 million for the first quarter ended Sept 30, 2026, driven by short-term rental income, despite a 29% drop in revenue to RM7.21 million. The division returned to profit from a pre-tax loss of RM1.27 m

PETALING JAYA (Nov 6): Kobay Technology Bhd’s property development division reported a 95% increase in pre-tax profit to RM1.43 million for the first quarter ended Sept 30, 2026 (1QFY2027), mainly supported by short-term rental income despite lower revenue.

In a Bursa Malaysia filing on Thursday (Nov 5), the group said the division’s revenue fell 29% to RM7.21 million from RM10.09 million a year earlier, while pre-tax profit rose from RM730,000. Compared with the preceding quarter’s restated figures, the property division returned to profit from a pre-tax loss of RM1.27 million, although revenue declined 23% from RM9.37 million. Kobay attributed the sequential revenue decline to lower property sales.

On its property outlook, the group said new launches would be timed according to market conditions and homebuyer sentiment amid geopolitical uncertainties. The group said management would also monitor and refine its risk management strategies in view of rising building material costs and higher borrowing expenses.

At group level, net profit attributable to shareholders rose 73.3% to RM18.66 million from RM10.77 million a year earlier, as manufacturing earnings strengthened. Revenue increased 17.5% to RM130.24 million from RM110.88 million, while pre-tax profit climbed 65.1% to RM23.47 million from RM14.21 million. Earnings per share rose to 5.83 sen from 3.36 sen. No dividend was recommended for the quarter.

Manufacturing remained the largest revenue and pre-tax profit contributor, with revenue rising 34% to RM96.25 million and pre-tax profit increasing 71% to RM21.04 million. Kobay attributed the improvement to continued expansion in the semiconductor industry. The group said a healthy order pipeline and encouraging customer demand provided better revenue visibility for its semiconductor business. It expects the division to sustain its growth momentum in FY2027, barring a significant deterioration in market conditions.

The pharmaceutical and healthcare division recorded a 5% decline in revenue to RM18.92 million, but pre-tax profit edged up 2% to RM1.27 million, which the group attributed to more effective cost controls. Meanwhile, the asset management and investment holding division slipped into a pre-tax loss of RM18,000 from a profit of RM2.47 million a year earlier, while revenue fell 12% to RM7.77 million. Kobay attributed the weaker performance primarily to fewer direct international flights and geopolitical tensions.