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CAPE EMS BERHAD Interim / Quarterly Report 2026
70390_rns_2026-05-10_18bd13c8-a50f-4835-9f7a-0c5b4707ed60.pdf
Interim / Quarterly Report
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CAPE EMS BERHAD
(Registration No.: 199901026859 (501759-M))
(Incorporated in Malaysia)
INTERIM FINANCIAL REPORT
THIRD QUARTER ENDED 31 MARCH 2026
CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 31 MARCH 2026 (1)
| | Note | 31.03.2026
Unaudited
RM'000 | 30.06.2025
Audited
RM'000 |
| --- | --- | --- | --- |
| ASSETS | | | |
| Non-current assets | | | |
| Property, plant and equipment | | 321,530 | 319,107 |
| Intangible assets | A13 | 4,296 | 2,572 |
| Goodwill on acquisition | A13 | 85,320 | 85,320 |
| Investment in associate | A13 | 624 | - |
| Total non-current assets | | 411,770 | 406,999 |
| Current assets | | | |
| Inventories | | 87,362 | 53,216 |
| Trade receivables | | 166,488 | 111,547 |
| Other receivables | | 102,265 | 69,124 |
| Current tax assets | | 6,139 | 4,727 |
| Amount due from a related party | | - | 480 |
| Fixed deposits with licensed banks | | 3,605 | 50,340 |
| Other investments | | 302 | 1,794 |
| Cash and bank balances | | 24,342 | 22,826 |
| Total current assets | | 390,503 | 314,054 |
| Total assets | | 802,273 | 721,053 |
| EQUITY AND LIABILITIES | | | |
| Equity | | | |
| Share capital (2) | | 324,021 | 324,021 |
| Exchange translation reserve | | (1,957) | (1,526) |
| Revaluation reserve | | 51,880 | 52,854 |
| Retained profits | | 76,773 | 59,938 |
| Total equity attributable to owners of the Company | | 450,717 | 435,287 |
| Non-controlling interests | | 71 | 289 |
| Total equity | | 450,788 | 435,576 |
| Liabilities | | | |
| Non-current liabilities | | | |
| Lease liabilities | B8 | 10,861 | 12,940 |
| Loans and borrowings | B8 | 93,254 | 49,466 |
| Deferred tax liabilities | | 18,920 | 19,191 |
| Total non-current liabilities | | 123,035 | 81,597 |
1
CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 31 MARCH 2026 (1) (CONT'D)
| | Note | 31.03.2026
Unaudited
RM'000 | 30.06.2025
Audited
RM'000 |
| --- | --- | --- | --- |
| EQUITY AND LIABILITIES (CONT'D) | | | |
| Liabilities (Cont'd) | | | |
| Current liabilities | | | |
| Trade payables | | 75,401 | 42,943 |
| Other payables | | 31,551 | 29,672 |
| Amount due to related party | | - | 734 |
| Lease liabilities | B8 | 3,428 | 4,661 |
| Loans and borrowings | B8 | 113,725 | 121,859 |
| Current tax liabilities | | 4,345 | 4,011 |
| Total current liabilities | | 228,450 | 203,880 |
| Total liabilities | | 351,485 | 285,477 |
| Total equity and liabilities | | 802,273 | 721,053 |
| Net assets per share attributable to owners of the Company (RM) (3) | | 0.45 | 0.44 |
Note:
(1) The unaudited condensed consolidated statement of financial position should be read in conjunction with the audited financial statements for the financial period ended 30 June 2025 and the accompanying explanatory notes attached to the unaudited condensed consolidated interim financial report.
(2) Based on 992,000,000 ordinary shares in issue as at 31 March 2026 and 30 June 2025 respectively.
(3) Net assets per share attributable to owners of the Company is calculated based on equity attributable to owners of the Company divided by the total number of ordinary shares in issue.
2
CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE THIRD QUARTER ENDED 31 MARCH 2026 (1)
| Note | Individual quarter | Cumulative quarter | |||
|---|---|---|---|---|---|
| 31.03.2026 | |||||
| Unaudited | |||||
| RM'000 | 31.03.2025 | ||||
| Unaudited | |||||
| RM'000 | 31.03.2026 | ||||
| Unaudited | |||||
| RM'000 | 31.03.2025 | ||||
| Unaudited | |||||
| RM'000 | |||||
| Revenue | A11 | 107,686 | 72,385 | 288,708 | - |
| Cost of sales | (88,170) | (68,400) | (223,793) | - | |
| Gross profit | 19,516 | 3,985 | 64,915 | - | |
| Other income | 5 | 473 | 2,768 | - | |
| Finance income | 53 | 829 | 644 | - | |
| Administration expenses | (10,013) | (9,518) | (34,072) | - | |
| Distribution costs | (1,191) | (1,470) | (3,777) | - | |
| Other operating expenses | (515) | 12,274 | (2,399) | - | |
| Finance costs | (3,114) | (2,912) | (8,361) | - | |
| Share of profit of associate | 102 | - | 102 | ||
| Profit before tax | B12 | 4,843 | 3,661 | 19,820 | - |
| Income tax expenses | B5 | (680) | (367) | (4,177) | - |
| Profit for the financial period | 4,163 | 3,294 | 15,643 | - | |
| Other comprehensive income, net of tax | |||||
| Items that will not be reclassified subsequently to profit or loss | |||||
| Revaluation of land and factory buildings | - | (11,647) | - | - | |
| Tax effect on item that will not be reclassified subsequently to profit or loss | - | 2,254 | - | - | |
| Realisation of revaluation reserve upon depreciation of revalued assets | 727 | (87) | 974 | - | |
| Transfer of revaluation reserve to retained profits | (727) | 87 | (974) | - | |
| Foreign currency translation differences for foreign operation, net of tax | (2,134) | (217) | (431) | - | |
| Other comprehensive loss for the financial period | (2,134) | (9,610) | (431) | - |
3
CAPE EMS BERHAD
(Registration No.: 199901026859 (501759-M))
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE THIRD QUARTER ENDED 31 MARCH 2026 (1) (CONT'D)
| Note | Individual quarter | Cumulative quarter | |||
|---|---|---|---|---|---|
| 31.03.2026 | |||||
| Unaudited | |||||
| RM'000 | 31.03.2025 | ||||
| Unaudited | |||||
| RM'000 | 31.03.2026 | ||||
| Unaudited | |||||
| RM'000 | 31.03.2025 | ||||
| Unaudited | |||||
| RM'000 | |||||
| Total comprehensive income/(loss) | |||||
| for the financial period | 2,029 | (6,316) | 15,212 | - | |
| Profit/(Loss) attributable to: | |||||
| Owners of the Company | 4,180 | 3,434 | 15,861 | - | |
| Non-controlling interests | (17) | (140) | (218) | - | |
| Profit for the financial period | 4,163 | 3,294 | 15,643 | - | |
| Total comprehensive income/(loss) | |||||
| attributable to: | |||||
| Owners of the Company | 2,046 | (6,176) | 15,430 | - | |
| Non-controlling interests | (17) | (140) | (218) | - | |
| Total comprehensive income/(loss) | |||||
| for the financial period | 2,029 | (6,316) | 15,212 | - | |
| Earnings per share | |||||
| - Basic (sen) | B11 | 0.42 | 0.35 | 1.60 | - |
| - Diluted (sen) | 0.42 | 0.35 | 1.60 | - |
Note:
(1) As announced on 28 April 2025, the financial year end of the Group has been changed from 31 December 2024 to 30 June 2025. As such, there will be no comparative financial information available for the preceding year corresponding cumulative periods.
The unaudited condensed consolidated statement of profit or loss and other comprehensive income should be read in conjunction with the unaudited financial statements for the financial period ended 31 March 2025 and the accompanying explanatory notes attached to the unaudited condensed consolidated interim financial report.
CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
AUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE FINANCIAL PERIOD ENDED 30 JUNE 2025 (1)
| Audited | Share capital | Non-distributable Exchange translation reserve | Revaluation reserve | Distributable Retained profits | Total | Non-controlling interest | Total equity |
|---|---|---|---|---|---|---|---|
| RM'000 | RM'000 | RM'000 | RM'000 | RM'000 | RM'000 | RM'000 | |
| Balance at 1 January 2024 | 324,021 | 1,217 | 26,650 | 103,301 | 455,189 | (33) | 455,156 |
| Transaction with owners: | |||||||
| Acquisition of subsidiary | - | - | - | - | - | 408 | 408 |
| Dividends | - | - | - | (6,646) | (6,646) | - | (6,646) |
| Total transaction with owners | - | - | - | (6,646) | (6,646) | 408 | (6,238) |
| Loss for the financial period | - | - | - | (37,978) | (37,978) | (86) | (38,064) |
| Realisation of revaluation reserve upon depreciation of revalued assets | - | - | (1,261) | 1,261 | - | - | - |
| Other comprehensive (loss)/income for the financial period | - | (2,743) | 27,465 | - | 24,722 | - | 24,722 |
| Total comprehensive (loss)/income for the financial period | - | (2,743) | 26,204 | (36,717) | (13,256) | (86) | (13,342) |
| Balance at 30 June 2025 | 324,021 | (1,526) | 52,854 | 59,938 | 435,287 | 289 | 435,576 |
CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE THIRD QUARTER ENDED 31 MARCH 2026 (1) (CONT'D)
| Unaudited | Attributable to owners of the Company | ||||||
|---|---|---|---|---|---|---|---|
| Share capital | |||||||
| RM'000 | Non-distributable | ||||||
| Exchange translation reserve | |||||||
| RM'000 | Distributable | ||||||
| Retained profits | |||||||
| RM'000 | Total | ||||||
| RM'000 | Non-controlling interests | ||||||
| RM'000 | Total equity | ||||||
| RM'000 | |||||||
| RM'000 | RM'000 | ||||||
| Balance at 1 July 2025 | 324,021 | (1,526) | 52,854 | 59,938 | 435,287 | 289 | 435,576 |
| Profit for the financial period | - | - | - | 15,861 | 15,861 | (218) | 15,643 |
| Realisation of revaluation reserve upon depreciation of revalued assets | - | - | (974) | 974 | - | - | - |
| Other comprehensive loss for the financial period | - | (431) | - | - | (431) | - | (431) |
| Total comprehensive (loss)/income for the financial period | - | (431) | (974) | 16,835 | 15,430 | (218) | 15,212 |
| Balance at 31 March 2026 | 324,021 | (1,957) | 51,880 | 76,773 | 450,717 | 71 | 450,788 |
(1) The unaudited condensed consolidated statements of changes in equity should be read in conjunction with the audited financial statements for the financial period ended 30 June 2025 and the accompanying explanatory notes attached to the unaudited condensed consolidated interim financial report.
CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE FINANCIAL PERIOD ENDED 31 MARCH 2026 (1)
| | 9 months ended
31.03.2026
Unaudited
RM'000 | 18 months ended
30.06.2025
Audited
RM'000 |
| --- | --- | --- |
| OPERATING ACTIVITIES | | |
| Profit/(Loss) before tax | 19,820 | (34,587) |
| Adjustments for:- | | |
| Amortisation of intangible assets | 381 | 225 |
| Depreciation of property, plant and equipment | 17,536 | 32,902 |
| Depreciation of right-of-use assets | 3,580 | 5,865 |
| Fair value gain on financial assets measured at fair value through profit or loss ("FVTPL") | - | (2,151) |
| Gain on disposal of property, plant and equipment | - | (24) |
| Impairment of goodwill | 1,159 | - |
| Impairment losses on trade receivables | 1,689 | 5,815 |
| Interest expense | 8,361 | 17,713 |
| Interest income | (644) | (4,301) |
| Property, plant and equipment written off | - | 293 |
| Share of profit of associate | (102) | - |
| Unrealised (gain)/loss on foreign exchange | (4,669) | 744 |
| Operating profit before working capital changes | 47,111 | 22,494 |
| Changes in working capital: | | |
| Inventories | (34,147) | 23,502 |
| Receivables | (97,022) | 26,472 |
| Payables | 30,598 | (78,447) |
| Related parties | (255) | 704 |
| Cash flows used in operations | (53,715) | (5,275) |
| Tax refund | 1,769 | 14 |
| Tax paid | (6,421) | (10,359) |
| Net cash flows used in operating activities | (58,367) | (15,620) |
| INVESTING ACTIVITIES | | |
| Acquisition of subsidiary | (21) | (22,952) |
| Investment in associate | (522) | - |
| Fair value gain on financial assets measured at FVTPL | - | 2,151 |
| Interest received | 644 | 4,301 |
| Proceeds from disposal of property, plant and equipment | - | 115 |
| Purchase of property, plant and equipment | (7,393) | (69,326) |
| Purchase of intangible assets | (2,246) | (2,979) |
| Net cash flows used in investing activities | (9,538) | (88,690) |
7
CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE FINANCIAL PERIOD ENDED 31 MARCH 2026 (1) (CONT'D)
| | 9 months ended
31.03.2026
Unaudited
RM'000 | 18 months ended
30.06.2025
Audited
RM'000 |
| --- | --- | --- |
| FINANCING ACTIVITIES | | |
| Advances to related party | - | (480) |
| Decrease in fixed deposit pledged with a licensed bank | - | 3,210 |
| Dividends paid | - | (6,646) |
| Interest paid | (8,361) | (17,713) |
| Net changes in short-term borrowings | 29,898 | 23,312 |
| Net changes in term loans | 4,409 | (24,019) |
| Repayment of lease liabilities - principal portion | (3,312) | (7,311) |
| Net cash flows generated from/(used in) financing activities | 22,634 | (29,647) |
| CASH AND CASH EQUIVALENTS | | |
| Net changes | (45,271) | (133,957) |
| Effect of exchange rate changes | (1,418) | 1,516 |
| At beginning of period | 70,485 | 202,926 |
| At end of period | 23,796 | 70,485 |
| CASH AND CASH EQUIVALENTS COMPRISE: | | |
| Cash and bank balances | 24,342 | 22,826 |
| Fixed deposits with licensed banks | 3,605 | 50,340 |
| Other investments | 302 | 1,794 |
| Bank overdrafts | (3,805) | (3,827) |
| | 24,444 | 71,133 |
| Less: Fixed deposits pledged with licensed banks | (225) | (225) |
| Less: Finance service reserve account | (423) | (423) |
| | 23,796 | 70,485 |
Note:
(1) The unaudited condensed consolidated statement of cash flows should be read in conjunction with the audited financial statements for the financial period ended 30 June 2025 and the accompanying explanatory notes attached to the unaudited condensed consolidated interim financial report.
8
C
Cape EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
PART A: EXPLANATORY NOTES PURSUANT TO MALAYSIAN FINANCIAL REPORTING STANDARDS ("MFRS") 134: INTERIM FINANCIAL REPORTING AND INTERNATIONAL ACCOUNTING STANDARDS ("IAS") 34: INTERIM FINANCIAL REPORTING
A1. Basis of Preparation
This condensed consolidated interim financial report is unaudited and has been prepared in accordance with Main Market Listing Requirements of Bursa Malaysia Securities Berhad ("Listing Requirements"), MFRS 134: Interim Financial Reporting issued by the Malaysian Accounting Standards Board ("MASB") ("MFRS 134") and IAS 34: Interim Financial Reporting issued by the International Accounting Standard Board ("IASB") ("IAS 34").
This unaudited condensed consolidated interim financial report should be read in conjunction with the audited consolidated financial statements for the financial period ended 30 June 2025 and the accompanying explanatory notes attached to this condensed consolidated interim financial report.
A2. Material Accounting Policies
The accounting policies and presentations adopted by the Company and its subsidiaries ("Group") are consistent with those adopted for the audited financial statements of the Group for the financial period ended 30 June 2025, except for the adoption of the following new accounting standards, interpretations and amendments issued by Malaysian Accounting Standards Board ("MASB").
Amendments to MFRS adopted during the financial year
The Group has applied the following new standards/amendments/improvements to MFRSs which are mandatory for the financial years beginning on or after 1 January 2024:
- Amendments to MFRS 16 Leases – Lease Liability in a Sale and Leaseback
- Amendments to MFRS 101 – Presentation of Financial Statements – Non-Current Liabilities with Covenants
- Amendments to MFRS 101 – Presentation of Financial Statements – Classification of Liabilities as Current or Non-Current
- Amendments to MFRS 107 – Statement of Cash Flows and MFRS 7 Financial Instruments: Disclosures – Supplier Finance Arrangements
The adoption of abovementioned amendments to MFRS do not have material impact on the interim financial statements of the Group.
MFRS and amendments to MFRS
The following are MFRS and amendments to MFRS with effective date on or after 1 January 2025 issued by MASB and they have not been early adopted by the Group. The Group intends to adopt these MFRS and amendments to the published standards, if applicable, when they become effective in the respective year.
(a) Effective for financial year beginning on or after 1 January 2025
- Amendments to MFRS 121 – The Effects of Changes in Foreign Exchange Rates – Lack of Exchangeability
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CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
PART A: EXPLANATORY NOTES PURSUANT TO MFRS 134 AND IAS 34 (CONT'D)
A2. Material Accounting Policies (Cont'd)
MFRS and amendments to MFRS (Cont'd)
(b) Effective for financial year beginning on or after 1 January 2026
- Amendments to MFRS 9 – Financial Instruments and MFRS 7 – Financial Instruments: Disclosures – Amendments to the Classification and Measurement of Financial Instruments
- Amendments to MFRS 9 – Financial Instruments and MFRS 7 – Financial Instruments: Disclosures – Contracts Referencing Nature-dependent Electricity
- MFRS 1, MFRS 7, MFRS 9, MFRS 10, MFRS 107 – Annual Improvements to MFRS Accounting Standards – Volume 11 and Amendments to MFRS 121 – The effect of changes in foreign exchange rates – lack of exchangeability.
(c) Effective for financial year beginning on or after 1 January 2027
- MFRS 18 – Presentation and Disclosure in Financial Statements
- MFRS 19 – Subsidiaries without Public Accountability: Disclosures
- Amendments to MFRS 121 – The Effects of Changes in Foreign Exchange Rates – Translation to a Hyperinflationary Presentation Currency
(d) Amendments effective for a date yet to be confirmed
- Amendments to MFRS 10 – Consolidated Financial Statements and MFRS 128 – Investments in Associates and Joint Ventures – Sale or Contribution of Assets between an Investor and its Associate or Joint Venture
The initial application of the above MFRS and amendments to be published standards is not expected to have any material impact on the financial statements of the Group, except for:
MFRS 18 – Presentation and Disclosure in Financial Statements
On 14 June 2024, MASB issued new standard MFRS 18 which replaces MFRS 101, MFRS 18 continues the general requirements from MFRS 101, enhancing guidance for grouping information through aggregation and disaggregation across all primary financial statements and notes. The standard provides structured summaries of assets, liabilities, equity, income, expenses, and cash flows.
In the statement of profit or loss, MFRS 18 introduces two new defined subtotals: operating profit and profit before financing and income taxes. Additionally, it categorises income and expenses into operating, investing, financing, income taxes and discontinued operations.
Limited changes are introduced to specific requirements for the statement of cash flows and the statement of financial position. There are no changes to the specific requirements for the statement of comprehensive income and the statement of changes in equity.
The notes to the financial statements will include material information that supplements the primary financial statements, with new and amended disclosures such as management-defined performance measures and specified expenses by nature. The information presented in the primary financial statements and notes will be clearly linked to ensure consistency and transparency.
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CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
PART A: EXPLANATORY NOTES PURSUANT TO MFRS 134 AND IAS 34 (CONT'D)
A2. Material Accounting Policies (Cont'd)
MFRS 18 – Presentation and Disclosure in Financial Statements (Cont’d)
MFRS 18 must be applied retrospectively and are applicable for the year beginning on or after 1 January 2027 with earlier application permitted.
The Group is currently assessing the impact of the MFRSs to determine the impact they will have on the Group’s financial statement’s disclosures.
A3. Auditors’ Report
The audited consolidated financial statements of the Group for the financial period ended 30 June 2025 were not subject to any audit qualification.
A4. Seasonal or Cyclical Factors
The Group’s operations are not subject to any significant seasonal or cyclical factors.
A5. Unusual Items
There were no unusual items affecting assets, liabilities, equity, net income or cash flow of the Group for the current quarter and financial period under review.
A6. Significant Changes in Accounting Estimates
There were no material changes in estimates that have any material effect in the current quarter and financial period under review.
A7. Debt and Equity Securities
There was no issuance and repayment of debts and equity securities during the current quarter and financial period under review.
A8. Dividends Paid
There were no dividends paid during the current quarter under review.
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CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
PART A: EXPLANATORY NOTES PURSUANT TO MFRS 134 AND IAS 34 (CONT'D)
A9. Property, plant and equipment
The Group acquired property, plant and equipment amounting to RM7.4 million during the financial period under review.
There were no material disposals of property, plant and equipment during the financial period under review.
A10. Impairment losses
Saved as disclosed in Note B12, there were no other significant impairment losses or reversal of impairment losses arising from property, plant and equipment, financial assets or other assets during the current quarter and financial period under review.
A11. Segment Information
The Group is principally involved in electronics manufacturing services (“EMS”) and other related supporting goods and services. The segmental performance of electronics manufacturing services and other related supporting goods and services in aggregate due to the inter-related nature of the two revenue streams. Segmental information is not prepared as the die casting and machining segment has not met the quantitative thresholds for reporting segment.
The Group’s non-current assets located outside Malaysia are not material and therefore not separately disclosed.
Revenue segmented by geographical markets
| | Individual quarter
3 months ended | | Cumulative quarter
9 months ended | |
| --- | --- | --- | --- | --- |
| | 31.03.2026
Unaudited
RM’000 | 31.03.2025
Unaudited
RM’000 | 31.03.2026
Unaudited
RM’000 | 31.03.2025
Unaudited
RM’000 |
| Asia | 28,811 | 20,594 | 65,349 | - |
| America | 77,631 | 50,045 | 200,921 | - |
| Europe | 1,244 | 1,746 | 22,438 | - |
| | 107,686 | 72,385 | 288,708 | - |
A12. Material Events Subsequent to the Statement of Financial Position Date
There were no material events subsequent to the end of the current financial period under review that have not been reflected in this condensed consolidated interim financial report.
12
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CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
PART A: EXPLANATORY NOTES PURSUANT TO MFRS 134 AND IAS 34 (CONT'D)
A13. Changes in the Composition of the Group
In August 2025, the Group acquired 100% of the issued share capital of Cape Renewables Sdn. Bhd. (formerly known as Good Hope Global Sdn. Bhd.), a Malaysia-incorporated company, for a total consideration of RM50,000.
The acquisition of Cape Renewables Sdn. Bhd. will focus on Battery Energy Storage Systems ("BESS"), positioning the Group as a regional hub for energy storage solutions with long-term operations and maintenance support across ASEAN.
In addition, the Group has incorporated Ligowave Wireless Sdn. Bhd., a wholly-owned subsidiary in August 2025 to market and distribute Wi-Fi transmission products under the renowned Ligowave brand, targeting the Indonesia, Malaysia, and Central Asia markets.
In December 2025, the Company acquired a 20% equity interest in ENGDC Sdn. Bhd., for a total consideration of RM522,000. The acquisition enables the Group's EMS business segment to venture into higher value-added engineering and solution-based services, as well as the supply of digital infrastructure-related products.
A14. Contingent Liabilities
There were no material contingent liabilities since the end of the last audited consolidated financial statements.
A15. Commitments
| | 31.03.2026
Unaudited
RM'000 | 30.06.2025
Audited
RM'000 |
| --- | --- | --- |
| Authorised and contracted for: | | |
| Plant and machinery | 3,883 | 5,097 |
| Renovation and electrical installation | 149 | 226 |
| Equipment, furniture and fittings | 571 | - |
| | 4,603 | 5,323 |
A16. Significant Related Party Transactions
There were no significant related party transactions for the current quarter and financial period under review.
A17. Derivatives
There were no derivatives used in the current quarter and financial period under review.
A18. Fair Value of Financial Liabilities
There were no gains or losses arising from fair value changes in the Group's financial liabilities for the current quarter and financial period under review.
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CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
PART B: ADDITIONAL INFORMATION REQUIRED PURSUANT TO PART A OF APPENDIX 9B OF THE LISTING REQUIREMENTS
B1. Review of Performance
Current quarter against corresponding quarter
| | Individual quarter
3 months ended | | Cumulative quarter
9 months ended | |
| --- | --- | --- | --- | --- |
| | 31.03.2026
Unaudited
RM’000 | 31.03.2025
Unaudited
RM’000 | 31.03.2026
Unaudited
RM’000 | 31.03.2025
Unaudited
RM’000 |
| Revenue | 107,686 | 72,385 | 288,708 | - |
| Profit before tax (“PBT”) | 4,843 | 3,661 | 19,820 | - |
| Profit after tax (“PAT”) | 4,163 | 3,294 | 15,643 | - |
The Group’s performance for the current quarter reported a revenue of RM107.7 million compared to revenue of RM72.4 million in the corresponding quarter. The increase is mainly due to the improved business product mix and product diversification undertaken by the Group, particularly by the wholly-owned subsidiary in the United States, iConn Inc.
The Group recorded PBT of RM4.8 million and PAT of RM4.2 million in the current quarter which is in line with the increase in revenue in the current quarter.
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CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
PART B: ADDITIONAL INFORMATION REQUIRED PURSUANT TO PART A OF APPENDIX 9B OF THE LISTING REQUIREMENTS (CONT'D)
B2. Comparison with Immediate Preceding Quarter (Q2'26 vs Q3'26)
| | Individual quarter
3 months ended | | Variance
(%) |
| --- | --- | --- | --- |
| | 31.03.2026
Unaudited
RM'000 | 31.12.2025
Unaudited
RM'000 | |
| Revenue | 107,686 | 89,554 | 20.2 |
| Profit before tax (“PBT”) | 4,843 | 9,289 | (47.9) |
| Profit after tax (“PAT”) | 4,163 | 6,938 | (40.0) |
The Group’s revenue increased by RM18.1 million or 20.2%, from RM89.6 million in the preceding quarter to RM107.7 million in the current quarter was contributed from stronger sales posted by improved business product mix and product diversification undertaken by the Group.
The Group recorded a lower PBT of RM4.8 million and PAT of RM4.2 million in the current quarter compared to PBT of RM9.3 million and PAT of RM6.9 million posted in the preceding quarter was mainly attributable to net foreign exchange losses of RM1.3 million arising from the appreciation of MYR against USD and a fire insurance claim on inventories of RM1.6 million received in the preceding quarter.
15
icApe
CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
PART B: ADDITIONAL INFORMATION REQUIRED PURSUANT TO PART A OF APPENDIX 9B OF THE LISTING REQUIREMENTS (CONT'D)
B3. Prospects for the Group
The Group has started implementing Cape EMS Berhad 2.0 (“Cape 2.0”) transformation strategy since the beginning of the financial year 2026 (“FY2026”). The Group is embarking on diversification plan with the introduction of four business pillars, namely Engineering Manufacturing Solution (“EMS”), Battery Energy Storage System (“BESS”), Intelligent Manufacturing Network (“IMN”) and Wireless IoT (“Wireless”) to support a clearer glide path to strengthen operational competency, enhance value creation, sustainable revenue, profitability and growth strategy for the Group.
EMS business segment will focus on developing precision engineering initiatives in sub-micron CNC capabilities to produce components for higher value-added and high growth industries such as industrial automation and semiconductor sectors.
The renewable energy segment which specializes in BESS has been developing synergistic business in securing engineering, procurement, construction and commissioning as well as operations and maintenance projects from the long term power purchase concession contract, large scale solar provider and industrial projects. Such projects are expected to contribute positively in both revenue and profitability on a sustainability basis.
The IMN business segment through its wholly-owned subsidiary, iConn Inc. (“iConn”) have made positive development in enhancing its engineering solutions business network, higher value add products and customers particularly in medical and lifescience business via the virtual manufacturing business platform developed with Oracle NetSuite. This business segment has been contributing positively to the Group’s performance and is expected to improve on its contribution continually.
Barring unforeseen circumstances, the Group expects Cape 2.0 diversification strategy to deliver an improved and sustainable performance for the Group.
B4. Profit Forecast
Not applicable as the Group did not issue any profit forecast during the financial period under review.
16
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CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
PART B: ADDITIONAL INFORMATION REQUIRED PURSUANT TO PART A OF APPENDIX 9B OF THE LISTING REQUIREMENTS (CONT'D)
B5. Taxation
| | Individual quarter
3 months ended | | Cumulative quarter
9 months ended | |
| --- | --- | --- | --- | --- |
| | 31.03.2026
Unaudited
RM'000 | 31.03.2025
Unaudited
RM'000 | 31.03.2026
Unaudited
RM'000 | 31.03.2025
Unaudited
RM'000 |
| Current tax expenses | 873 | 367 | 4,448 | - |
| Deferred tax expense | - | - | - | - |
| Realisation of deferred tax upon depreciation and amortisation of revalued assets | (193) | - | (271) | - |
| | 680 | 367 | 4,177 | - |
| Effective tax rate (%) | (14.0) (1) | (10.0) | (21.1) (1) | - |
Note:
(1) The overall effective tax rate of 14.0% and 21.1% for individual and cumulative quarter ended 31 March 2026 was lower than the statutory tax rate mainly due to reversal of over provision of tax in prior financial year.
icApe
CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
PART B: ADDITIONAL INFORMATION REQUIRED PURSUANT TO PART A OF APPENDIX 9B OF THE LISTING REQUIREMENTS (CONT'D)
B6. Status of Corporate Proposals
- Proposed variation of the utilisation of proceeds previously raised from the initial public offering of the Company ("Proposed Variation"); and proposed private placement of up to 114,080,000 new ordinary shares in the Company to independent third party to be identified later and at an issue price to be determined later ("Proposed Private Placement") (Collectively, the "Proposals")
On 17 September 2025, the Company announced that it proposed to undertake the Proposals.
On 28 October 2025, Bursa Malaysia Securities Berhad approved the listing and quotation of up to 114,080,000 Placement Shares to be issued pursuant to the Proposed Private Placement, subject to the conditions set out in the letter by Bursa Malaysia Securities Berhad.
The Proposals are subject to shareholders' approval at the Extraordinary General Meeting scheduled for 25 November 2025.
On 25 November 2025, the shareholders of the Company approved the Proposals at the Extraordinary General Meeting.
On 13 April 2026, the Company submitted an application to seek Bursa Securities' approval for an extension of time of 6 months from 28 April 2026 up to 27 October 2026 for the Company to implement and complete the Private Placement.
On 5 May 2026, Bursa Malaysia Securities Berhad approved an extension of time of 6 months from 28 April 2026 up to 27 October 2026 for the Company to implement and complete the Private Placement.
- Share Issuance Scheme
The Share Issuance Scheme ("SIS") approved by shareholders on 1 August 2025 became effective on 6 August 2025. A total of 148,800,000 options were offered on 11 August 2025 at an exercise price of RM0.30 per share. The SIS is currently being implemented.
During the quarter, no SIS options were exercised. Cumulatively to date, the number of options exercised remains at nil. The balance of outstanding options not yet exercised is 148,800,000, representing $15\%$ of the issued share capital. The SIS remains in force for a duration of five (5) years effective from 6 August 2025.
Save for the above, there was no other outstanding uncompleted corporate proposal for the current quarter and financial period under review.
18
icApe
CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
PART B: ADDITIONAL INFORMATION REQUIRED PURSUANT TO PART A OF APPENDIX 9B OF THE LISTING REQUIREMENTS (CONT'D)
B7. Utilisation of Proceeds from the Public Issue
The gross proceeds from the Public Issue of RM155,700,000 are expected to be used in the following manner:
| Details of use of proceeds | Estimated timeframe for use from the date of Listing/ Proposed Variation taking effect | Proposed utilisation RM’000 | Re-allocation RM’000 | Actual utilisation up to 31.03.2026 RM’000 | Balance unutilised RM’000 |
|---|---|---|---|---|---|
| Construction of New Senai 226 Warehouse and installation of automated storage facilities | Within 48 months | 53,105 | (27,168) (4) | (8,610) | 17,327 |
| New production line for EMS operations | Within 12 months | - | 16,000 (4) | (16,000) | - |
| Setting-up of new cleanroom facility and purchase of new automated production lines for EMS operations | Within 24 months | 62,810 | (36,000) (3) | (26,810) | - |
| Installation of energy saving cooling system | Within 24 months | 3,688 | - | (3,329) | 359 |
| Purchase of new machinery and equipment for die cast manufacturing related services | Within 12 months | 4,599 | (768) (2) | (3,831) | - |
| Working capital | Within 12 months | 20,498 | 49,415 (1)(2)(3)(4) | (69,913) | - |
| Estimated listing expenses | Within 3 months | 11,000 | (1,479) (1) | (9,521) | - |
| Total estimated proceeds | 155,700 | - | (138,014) | 17,686 |
The utilisation of the proceeds as disclosed above should be read in conjunction with the Prospectus of the Company dated 16 February 2023 and the circular to the shareholders in relation to the variation of the utilisation of proceeds dated 7 November 2025.
icApe
CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
PART B: ADDITIONAL INFORMATION REQUIRED PURSUANT TO PART A OF APPENDIX 9B OF THE LISTING REQUIREMENTS (CONT'D)
B7. Utilisation of Proceeds from the Public Issue (Cont'd)
Note:
(1) The unutilised balance of RM1.5 million allocated for estimated listing expenses was reallocated to working capital.
(2) The unutilised balance of RM0.8 million allocated for the purchase of new machinery and equipment for die cast manufacturing related services was reallocated to working capital.
(3) The unutilised balance of RM36.0 million allocated for the setting-up of new cleanroom facility and purchase of new automated production lines for EMS operations was reallocated to working capital.
(4) The unutilised balance of RM27.2 million allocated for the construction of New Senai 226 Warehouse and installation of automated storage facilities was reallocated to working capital of RM11.2 million and new production line for EMS operations of RM16.0 million.
20
icApe
CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
PART B: ADDITIONAL INFORMATION REQUIRED PURSUANT TO PART A OF APPENDIX 9B OF THE LISTING REQUIREMENTS (CONT'D)
B8. Borrowings and Lease Liabilities
| | 31.03.2026
Unaudited
RM'000 | 30.06.2025
Audited
RM'000 |
| --- | --- | --- |
| Borrowings | | |
| Secured: | | |
| Current | | |
| Term loans | 31,044 | 47,843 |
| Bank overdrafts | 3,805 | 3,827 |
| Short-term financing | 78,876 | 70,189 |
| | 113,725 | 121,859 |
| Non-current | | |
| Term loans | 93,254 | 49,466 |
| | 206,979 | 171,325 |
| Borrowings denominated in the following currencies: | | |
| Ringgit Malaysia | 169,604 | 143,479 |
| United States Dollar | 37,375 | 27,846 |
| | 206,979 | 171,325 |
| Lease liabilities | | |
| Current | 3,428 | 4,661 |
| Non-current | 10,861 | 12,940 |
| | 14,289 | 17,601 |
icApe
CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
PART B: ADDITIONAL INFORMATION REQUIRED PURSUANT TO PART A OF APPENDIX 9B OF THE LISTING REQUIREMENTS (CONT'D)
B9. Material litigation
Cape Manufacturing (M) Sdn. Bhd. vs Aeronas Aerocraft Sdn. Bhd. and four (4) others arising from a proposed aircraft manufacturing collaboration
Reference made to the announcement on 8th May 2026.
Cape Manufacturing (M) Sdn. Bhd. (“CMM”), a wholly-owned subsidiary of the Company, had on 7th May 2026 been served with a Writ of Summons and Statement of Claim dated 5th May 2026 filed by Aeronas Aerocraft Sdn. Bhd (“Aeronas”) in the High Court of Malaya at Johor Bahru.
CMM had on 8th May 2026 filed legal proceedings in the High Court of Malaya at Kuala Lumpur against Aeronas and several other parties arising from disputes in relation to a Memorandum of Understanding (“MOU”) dated 9th March 2025 pertaining to a proposed collaboration on aircraft manufacturing and related activities.
The Company disputes the claims made against CMM and has instructed its solicitors to vigorously defend and pursue the respective legal actions.
The arrangement entered into between CMM and Aeronas was limited to a MOU. The MOU merely served as a framework document for the parties to conduct preliminary discussions and to carry out initial development works for an assembly workshop for light aircrafts. CMM and Aeronas did not enter into a final commercial agreement or a binding comprehensive implementation arrangement.
The proposed collaboration was expressly subject to the fulfilment of various conditions, including but not limited to the successful establishment of a light aircraft assembly plant, the obtaining of all relevant regulatory approvals, and compliance with applicable commercial, technical, operational, financial and corporate governance requirements.
The Company emphasizes that the proposed collaboration was exploratory and conditional in nature from the outset. To date, apart from the scope covered under the said MOU, the parties have not executed any binding commercial execution agreement, definitive investment documentation, formal operational arrangement, or any conclusive implementation agreement.
The Company takes the position that any claims, allegations or purported assertions of rights beyond the scope of the original MOU lack proper contractual and legal basis.
22
icApe
CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
PART B: ADDITIONAL INFORMATION REQUIRED PURSUANT TO PART A OF APPENDIX 9B OF THE LISTING REQUIREMENTS (CONT'D)
B9. Material litigation (Cont'd)
Cape Manufacturing (M) Sdn. Bhd. vs Aeronas Aerocraft Sdn. Bhd. and four (4) others arising from a proposed aircraft manufacturing collaboration (Cont'd)
The Company wishes to clarify that the claims made by Aeronas against CMM in the legal proceedings are without factual or legal basis, made in bad faith to embarrass CMM and the Company, devoid of any merits and are purely speculative. In particular, the Company wishes to clarify on the following:
a. the alleged special damages amounting to RM10,017,000.00 are without any basis as Aeronas has wholly or partly failed in the performance of its obligations under the MOU;
b. the alleged special damages amounting to RM40,000,000.00, which is the financial assistance proposed to be extended by CMM for the purpose of setting up a production assembly plant for 30 aircrafts annually did not materialise as Aeronas failed to inter alia produce confirmed book orders and customer placement of monetary deposits for the sale of 30 aircrafts; and
c. the alleged loss of revenue amounting to RM229,500,000.00 by Aeronas are based on the alleged sale of 30 aircrafts by Aeronas which are purely speculative, hypothetical and unproven as Aeronas again failed to produce confirmed book orders and customer placement of monetary deposits for the sale of 30 aircrafts.
The Company has instructed its solicitors to make the necessary applications to the High Court for Aeronas to provide further and better particulars of the claims made against CMM and in the event Aeronas is not able to substantiate the claims, to apply to the High Court to strike out the claims made by Aeronas.
Accordingly, the Company does not presently expect the legal proceedings to have any material adverse financial or operational impact on the Group.
The Company also wishes to reassure shareholders and stakeholders that the termination of the said MOU and any related claims are not expected to have any material adverse impact on the Group's current operations, financial stability, business continuity or future growth trajectory.
23
icApe
CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
PART B: ADDITIONAL INFORMATION REQUIRED PURSUANT TO PART A OF APPENDIX 9B OF THE LISTING REQUIREMENTS (CONT'D)
B10. Dividends
There is no dividend declared or recommended during the current quarter and financial period under review.
B11. Earnings per share ("EPS")
The basic and diluted EPS for the current quarter and financial period under review are computed as follows:
| | Individual quarter
3 months ended | | Cumulative quarter
9 months ended | |
| --- | --- | --- | --- | --- |
| | 31.03.2026
Unaudited
RM’000 | 31.03.2025
Unaudited
RM’000 | 31.03.2026
Unaudited
RM’000 | 31.03.2025
Audited
RM’000 |
| Profit attributable to owners of the Company | 4,180 | 3,434 | 15,861 | - |
| Weighted average number of ordinary shares in issue (basic) (unit) | 992,000^{(1)} | 992,000^{(1)} | 992,000^{(1)} | - |
| Basic EPS (sen) | 0.42 | 0.35 | 1.60 | - |
Note:
(1) Calculated on the basis of 992,000,000 ordinary shares after the private placement of 69,000,000 new ordinary shares on the Main Market of Bursa Malaysia Securities Berhad on 12 December 2023.
24
icApe
CAPE EMS BERHAD
(Incorporated in Malaysia)
(Registration No.: 199901026859 (501759-M))
PART B: ADDITIONAL INFORMATION REQUIRED PURSUANT TO PART A OF APPENDIX 9B OF THE LISTING REQUIREMENTS (CONT'D)
B12. Profit/(Loss) before tax (1)
| | Individual quarter
3 months ended | | Cumulative quarter
9 months ended | |
| --- | --- | --- | --- | --- |
| | 31.03.2026
Unaudited
RM’000 | 31.03.2025
Unaudited
RM’000 | 31.03.2026
Unaudited
RM’000 | 31.03.2025
Unaudited
RM’000 |
| Amortisation of intangible assets | 255 | 1,760 | 381 | - |
| Depreciation of property, plant and equipment | 5,782 | 750 | 17,536 | - |
| Depreciation of right-of-use assets | 1,264 | 556 | 3,580 | - |
| Expenses relating to short-term leases | 505 | 1,047 | 1,785 | - |
| Finance costs | 3,113 | 2,911 | 8,361 | - |
| Fair value loss/(gain) on financial assets measured at FVTPL | - | (280) | - | - |
| Finance income | (53) | (852) | (644) | - |
| Foreign exchange loss/(gain): | | | | |
| - realised | 1,464 | 749 | 5,258 | - |
| - unrealised (2) | (623) | (1,021) | (4,669) | - |
| Impairment of goodwill | 3 | - | 1,159 | - |
| Impairment loss on trade receivables | 622 | (14,601) | 1,689 | - |
Note:
(1) Save as disclosed above, the other disclosure items pursuant to Paragraph 16, Part A of Appendix 9B of the Listing Requirements are not applicable.
(2) Monetary assets and liabilities denominated in foreign currencies are translated into the reporting currency using the exchange rate in effect at the reporting date, which is the closing rate as of 31 March 2026. Any exchange rate movements between the Malaysian Ringgit and the US Dollar, Chinese Yuan or Singapore Dollar will affect the unrealised foreign exchange gain or loss towards the end of financial year.