TMR

TELEKOM Malaysia Bhd (TM) reported a 19.87% decline in net profit for the first quarter ended March 31, 2026 (1Q26), mainly due to a one-off RM127.3 million write-down on unutilised prepaid 5G capacity, even as revenue grew.

Net profit fell to RM321.51 million from RM401.26 million a year earlier, while revenue rose 2.92% to RM2.93 billion from RM2.85 billion.

The write-down was linked to TM’s decision to exit Digital Nasional Bhd (DNB) in February. The group had previously maintained that its termination of the 5G access agreement was valid, despite DNB asserting the agreement remained in force.

Excluding one-off items, TM said underlying profit after tax and non-controlling interests (Patami) rose 9.3% year-on-year to RM436.3 million, supported by stronger contributions from its core operations, particularly B2B and carrier-to-carrier segments including cloud, cybersecurity, smart services, artificial intelligence and data centres.

Earnings before interest and tax (Ebit) declined to RM430.6 million from RM550.3 million a year earlier, weighed by higher mobile network infrastructure sharing costs and foreign exchange losses.

The group declared an interim dividend of 6.5 sen per share, equivalent to 78% of reported Patami, payable on June 25.

Looking ahead, TM said it remains cautiously optimistic and is on track to meet its FY2026 guidance, supported by growth in its quad-play offerings and enterprise digital services, while continuing to execute its PWR 2030 strategy. –TMR

The post TM 1Q profit falls 20% on RM127m 5G write-down appeared first on The Malaysian Reserve.

Ni Hsin Group Bhd said its wholly owned unit, Ni Hsin EV Tech Sdn Bhd (NHEVT), has signed a Motorcycle Completely Knocked Down (CKD) Assembly Cooperation Agreement with China’s Chongqing Qiulong Technology Co Ltd to assemble and sell SURRON electric off-road motorcycles in Malaysia.

The agreement follows a memorandum of understanding signed between the two parties on April 15, 2026, and appoints NHEVT as the exclusive original equipment manufacturer (OEM) assembler and distributor for selected SURRON electric off-road motorcycle models in Malaysia.

Under the arrangement, NHEVT will support local assembly operations, quality control and compliance with Malaysian regulatory and certification requirements, while enabling Qiulong to expand its presence into the Malaysian market through a capital-efficient structure.

Ni Hsin said the collaboration combines NHEVT’s local EV assembly capabilities with Qiulong’s expertise in electric mobility products and research and development capabilities to strengthen regional market expansion.

The agreement will remain in force for three years unless terminated by either party with at least 90 days’ written notice.

The company said the deal is not expected to have any material impact on earnings per share, net assets per share or gearing for the financial year ending June 30, 2026. –TMR

The post Ni Hsin inks deal to assemble, distribute SURRON electric off-road motorcycles in Malaysia appeared first on The Malaysian Reserve.

COASTAL Contracts Bhd said it has officially secured a US$92.5 million (RM367.1 million) contract from Mexico’s state-owned oil company Petroleos Mexicanos, formalising emergency infrastructure works carried out by its consortium at the Ixachi gas field.

The contract was awarded on May 20 following the successful completion of an emergency order issued in January, with the consortium finishing the project within four months under a compressed timeline. The second Perdiz Plant at the Ixachi field has since commenced operations.

Coastal said the work order was issued to address excessive gas flaring at the field, with a standard open tender not feasible due to the urgency of the situation, requiring immediate execution by the consortium.

The contract covers primary infrastructure works for the gas sweetening plant from Jan 23 to May 22, 2026.

Coastal said a separate contract covering full design, construction and commissioning of the plant is expected to follow once finalised by Pemex.

The group described the completion of the project within four months as a significant engineering achievement, given the scale and operating complexity involved.

Coastal’s 50%-owned joint venture Coastoil Dynamic SA de CV led the consortium, alongside Sistemas Integrales de Compresión SA de CV and Nuvoil SA de CV. –TMR

The post Coastal Contracts locks in RM367.5m Pemex deal after completing Mexico emergency gas project appeared first on The Malaysian Reserve.

DAGANG NeXchange Bhd (DNeX) returned to the black in the first quarter ended March 31, 2026 (Q126), posting a net profit of RM12.78 million versus a net loss of RM79.03 million a year earlier, driven by stronger operating performance across its core business segments.

Revenue, however, declined 9.9% to RM267.55 million from RM296.83 million, mainly due to the stronger ringgit against the US dollar and pound sterling, which affected the translation of earnings from its cross-border operations.

Its semiconductor segment recorded lower revenue of RM155.1 million compared with RM178.7 million previously, largely due to currency translation effects.

Excluding the forex impact, revenue would have declined by a smaller 3%, mainly due to lower shipment volumes of 45,000 units versus 63,000 units a year earlier.

The lower shipment volume was partly offset by a significant increase in average selling prices, which rose to US$805 per wafer from US$589 previously.

DNeX said it remains focused on strengthening operational and financial fundamentals while maintaining disciplined execution and strategic investments amid macroeconomic and geopolitical uncertainties. –TMR

The post DNeX returns to profit in 1Q despite lower revenue amid currency impact appeared first on The Malaysian Reserve.