Meridian Bhd's net loss widens 39.6% in 1QFY2027 despite revenue surge to RM2.57 million
Meridian Bhd reported a net loss of RM1.17 million for the first quarter ended Aug 31, 2026, widening 39.6% year-on-year despite revenue jumping to RM2.57 million. The group also faces ongoing foreclosure proceedings against a subsidiary and a Bursa Malaysia rejection of its extension application fo
PETALING JAYA (Nov 2): Meridian Bhd's net loss widened 39.6 per cent to RM1.17 million in the first quarter ended Aug 31, 2026 (1QFY2027), from RM839,000 a year earlier, despite a sharp increase in revenue. Revenue rose to RM2.57 million from RM557,000, with property sales accounting for most of the quarter's turnover, according to its Bursa Malaysia filing on Friday (Oct 30). Loss per share widened to 0.48 sen from 0.37 sen. No dividend was declared or recommended.
Property sales contributed RM2.45 million to quarterly revenue, while fresh fruit bunch sales and rental income accounted for about RM50,000 and RM70,000 respectively. The group recorded a gross loss of RM327,000, compared with a gross profit of RM29,000 a year earlier, as cost of sales increased to RM2.90 million from RM528,000. Finance costs rose to RM456,000 from RM381,000, while administrative expenses fell to RM398,000 from RM492,000.
Quarter on quarter, its pre-tax loss narrowed to RM1.17 million from RM7.03 million. Meridian attributed the improvement primarily to RM3.54 million in fair value losses on investment properties recorded in the preceding quarter. On its outlook, the group said it would continue evaluating the timing and pricing of property launches during the current financial year, while focusing on cost efficiency and operational effectiveness.
The Practice Note 17 company also disclosed that Bursa Malaysia Securities had rejected its latest application for more time to submit a regularisation plan. According to the report, Bursa Securities rejected the application in its Oct 22 decision because Meridian had not demonstrated, to the exchange's satisfaction, material development towards finalising and submitting the regularisation plan to the relevant regulatory authorities. Meridian said it had appealed against its delisting and that the removal of its securities, scheduled for Nov 3, would be deferred pending Bursa Securities' decision on the appeal.
Separately, the group said foreclosure proceedings involving wholly owned subsidiary Sri Lingga Sdn Bhd remained ongoing. According to the report, Public Bank Bhd is seeking a court order to foreclose 1,040 subdivided land parcels owned by the subsidiary to satisfy outstanding indebtedness of RM15.08 million as at Aug 20, 2026. Meridian said a decision scheduled for Aug 20 had been deferred following progress in discussions on a possible amicable settlement, with further case management fixed for Nov 11. No settlement had been concluded.
Meridian also disclosed that its auditors had issued a disclaimer of opinion on the group's financial statements for the year ended May 31, 2026, as they could not obtain sufficient appropriate audit evidence to form an opinion.
