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TECHBOND GROUP BERHAD Interim / Quarterly Report 2026

May 20, 2026

71652_rns_2026-05-20_2481232e-edd8-49a8-a88a-218b91982f2e.pdf

Interim / Quarterly Report

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TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

TECHBOND®

YOUR TECHNICAL BONDING PARTNER

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE THIRD QUARTER ENDED 31 MARCH 2026(1)

Individual quarter Cumulative quarter
Current year quarter 31/03/2026 RM'000 Preceding year quarter 31/03/2025 RM'000 Current year-to-date 31/03/2026 RM'000 Preceding year-to-date 31/03/2025 RM'000
Revenue 30,788 37,636 95,505 112,447
Cost of sales (22,275) (27,322) (67,830) (82,033)
Gross profit 8,513 10,314 27,675 30,414
Other income 465 246 1,658 1,204
Finance income 1,321 627 3,604 1,559
Administration expenses (4,024) (3,842) (11,736) (11,249)
Distribution expenses (1,145) (1,520) (3,632) (4,333)
Finance cost (180) (11) (364) (158)
Other expenses (142) (195) (951) (1,403)
Profit before taxation 4,808 5,619 16,254 16,034
Tax expense (711) (1,202) (2,689) (3,167)
Profit for the period 4,097 4,417 13,565 12,867
Other comprehensive expense, net of tax:-Item that may be reclassify subsequently to profit or loss
Foreign currency translation differences (183) (564) (2,368) (3,322)
Total comprehensive income for the period 3,914 3,853 11,197 9,545
Basic/Diluted earnings per share ("EPS")(sen)(2) 0.54 0.59 1.79 1.86

Notes:-

(1) The Unaudited Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income should be read in conjunction with the Group's audited financial statements for the financial year ended 30 June 2025 and the accompanying explanatory notes attached to the interim financial report.
(2) Basic and diluted EPS is calculated based on the Company's weighted average number of ordinary shares, referred to Note B10. The calculation of diluted earnings per ordinary share is the same with basic earnings per ordinary share as the Group has no dilutive potential ordinary shares.

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TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

TECHBOND®

YOUR TECHNICAL BONDING PARTNER

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 31 MARCH 2026(1)

| | Unaudited
As at
31/03/2026
RM'000 | Audited
As at
30/06/2025
RM'000 |
| --- | --- | --- |
| ASSETS | | |
| Non-current assets | | |
| Investment properties | 13,165 | 13,295 |
| Property, plant and equipment | 51,375 | 52,360 |
| Right-of-use assets | 41,780 | 43,062 |
| Other receivables | 39 | 33 |
| Cash and bank balances | - | 1,614 |
| Total non-current assets | 106,359 | 110,364 |
| Current assets | | |
| Inventories | 30,581 | 38,169 |
| Trade receivables | 19,957 | 24,029 |
| Other receivables | 5,624 | 4,059 |
| Current tax assets | 617 | 328 |
| Cash and bank balances | 131,979 | 110,468 |
| Total current assets | 188,758 | 177,053 |
| TOTAL ASSETS | 295,117 | 287,417 |
| EQUITY AND LIABILITIES | | |
| EQUITY | | |
| Equity attributable to the owners of the Company:- | | |
| Share capital | 219,494 | 219,494 |
| Merger deficit | (78,938) | (78,938) |
| Exchange translation reserve | 1,458 | 3,826 |
| Retained earnings | 122,479 | 114,604 |
| Total equity | 264,493 | 258,986 |
| LIABILITIES | | |
| Non-current liabilities | | |
| Deferred tax liabilities | 10,899 | 11,038 |
| Other payables | 169 | 183 |
| Borrowings | - | - |
| Total non-current liabilities | 11,068 | 11,221 |

2 | Page


TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

TECHBOND®

YOUR TECHNICAL BONDING PARTNER

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 31 MARCH 2026 (cont'd)(1)

| | Unaudited
As at
31/03/2026
RM'000 | Audited
As at
30/06/2025
RM'000 |
| --- | --- | --- |
| Current liabilities | | |
| Trade payables | 2,955 | 6,011 |
| Other payables | 2,567 | 5,103 |
| Current tax liabilities | 724 | 432 |
| Borrowings | 13,310 | 5,664 |
| Total current liabilities | 19,556 | 17,210 |
| Total liabilities | 30,624 | 28,431 |
| TOTAL EQUITY AND LIABILITIES | 295,117 | 287,417 |
| Net assets per share (RM)(2) | 0.35 | 0.37 |

Notes:-

(1) The Unaudited Condensed Consolidated Statement of Financial Position should be read in conjunction with the Group's audited financial statements for the financial year ended 30 June 2025 and the accompanying explanatory notes attached to the interim financial report.
(2) The net assets per share is calculated based on the weighted average number of shares in issue of 758,695,000 as at 31 March 2026 and 692,361,000 as at 30 June 2025.

3 | Page


TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE THIRD QUARTER ENDED 31 MARCH 2025

Non-Distributable Distributable
Share capital RM'000 Merger deficit RM'000 Exchange translation reserve RM'000 Retained earnings RM'000 Total equity RM'000
Balance as at 1 July 2024 154,535 (78,938) 10,057 105,551 191,205
Profit for the financial period - - - 12,867 12,867
Other comprehensive expense, net of tax - - (3,322) - (3,322)
Total comprehensive (expense)/income - - (3,322) 12,867 9,545
Transactions with owners:-
Dividends to owners of the Company - - - (6,821) (6,821)
Exercise of warrants conversion 64,959 - - - 64,959
Total transactions with owners 64,959 - - (6,821) 58,138
Balance as at 31 March 2025 219,494 (78,938) 6,735 111,597 258,888

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TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE THIRD QUARTER ENDED 31 MARCH 2026 (cont'd)(1)

Non-Distributable Distributable
Share capital RM'000 Merger deficit RM'000 Exchange translation reserve RM'000 Retained earnings RM'000 Total equity RM'000
Balance as at 1 July 2025 219,494 (78,938) 3,826 114,604 258,986
Profit for the financial period - - - 13,565 13,565
Other comprehensive expense, net of tax - - (2,368) - (2,368)
Total comprehensive (expense)/income - - (2,368) 13,565 11,197
Transactions with owners:-
Dividends to owners of the Company - - - (5,690) (5,690)
Exercise of warrants conversion - - - - -
Total transactions with owners - - - (5,690) (5,690)
Balance as at 31 March 2026 219,494 (78,938) 1,458 122,479 264,493

Note:-
(1) The Unaudited Condensed Consolidated Statement of Changes in Equity should be read in conjunction with the Group's audited financial statements for the financial year ended 30 June 2025 and the accompanying explanatory notes attached to the interim financial report.

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TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

TECHBOND®

YOUR TECHNICAL BONDING PARTNER

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE THIRD QUARTER ENDED 31 MARCH 2026⁽¹⁾

| | Current year-to-date
31/03/2026
RM'000 | Preceding year-to-date
31/03/2025
RM'000 |
| --- | --- | --- |
| OPERATING ACTIVITIES | | |
| Profit before taxation | 16,254 | 16,034 |
| Adjustments for:- | | |
| Amortisation of right-of-use-assets | 1,057 | 1,095 |
| Depreciation of investment properties | 112 | 118 |
| Depreciation of property, plant and equipment | 3,584 | 3,542 |
| Finance cost | 364 | 158 |
| Net unrealised loss/(gain) on foreign exchange | 41 | (275) |
| Provision for gratuity | 6 | - |
| Fair value gain on short-term fund | (2,206) | (900) |
| Gain on disposal of property, plant and equipment | (85) | (59) |
| Inventories written down | 1,969 | 95 |
| Net impairment gain on trade receivables | - | (33) |
| Interest income | (1,398) | (659) |
| Operating profit before working capital changes | 19,698 | 19,116 |
| Changes in working capital:- | | |
| Inventories | 5,058 | 1,590 |
| Receivables | 1,868 | 3,412 |
| Payables | (4,810) | (8,052) |
| Cash generated from operations | 21,814 | 16,066 |
| Tax paid | (2,469) | (3,923) |
| Finance income received | 3,604 | 1,559 |
| Net cash flows from operating activities | 22,949 | 13,702 |
| INVESTING ACTIVITIES | | |
| Proceeds from disposal of property, plant and equipment | 120 | 128 |
| Purchase of property, plant and equipment | (2,542) | (5,343) |
| Purchase of investment property | (13) | (200) |
| Placement of fixed deposits with licensed banks | (20,277) | - |
| Net cash flows used in investing activities | (22,712) | (5,415) |

⁽¹⁾ The total net cash flows (in thousands of dollars) are based on the CASH FLOWS index (CFA). The CASH FLOWS is based on the CLAI's CLAIMING PROGRAM (CPA).


TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

TECHBOND®

YOUR TECHNICAL BONDING PARTNER

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE THIRD QUARTER ENDED 31 MARCH 2026 (cont'd)(1)

| | Current year-to-date
31/03/2026
RM'000 | Preceding year-to-date
31/03/2025
RM'000 |
| --- | --- | --- |
| FINANCING ACTIVITIES | | |
| Dividend paid | (5,690) | (6,821) |
| Drawdown of borrowings | 14,447 | - |
| Interest paid | (364) | (158) |
| Repayment of term loans | (6,801) | (6,851) |
| Proceeds from conversion of warrants into ordinary shares | - | 64,959 |
| Net cash flows from financing activities | 1,592 | 51,129 |
| CASH AND CASH EQUIVALENTS | | |
| Net changes | 1,829 | 59,416 |
| Effect of foreign currency translation differences | (2,209) | 1,224 |
| At beginning of financial period | 97,718 | 29,833 |
| At end of financial period | 97,338 | 90,473 |
| Cash and cash equivalents at the end of the financial period comprise: | | |
| Cash and bank balances | 5,748 | 10,525 |
| Fixed deposits with licensed banks | 34,641 | 10,738 |
| Short-term fund | 91,590 | 75,161 |
| | 131,979 | 96,424 |
| Less: Fixed deposits with licensed banks,
maturity more than 3 months | (34,641) | (5,951) |
| | 97,338 | 90,473 |

Note:
(1) The Unaudited Condensed Consolidated Statement of Cash Flow should be read in conjunction with the Group's audited financial statements for the financial year ended 30 June 2025 and the accompanying explanatory notes attached to the interim financial report.

7 | Page


TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

TECHBOND®

YOUR TECHNICAL BONDING PARTNER

PART A: EXPLANATORY NOTES PURSUANT TO MFRS 134, INTERIM FINANCIAL REPORTING

A1. Basis of preparation

The interim financial report of the Group is unaudited and has been prepared in accordance with Malaysian Financial Reporting Standard ("MFRS") 134, Interim Financial Reporting issued by the Malaysian Accounting Standards Board ("MASB") and paragraph 9.22 of the Main Market Listing Requirements of Bursa Malaysia Securities Berhad ("Bursa Malaysia") ("Listing Requirements").

This interim financial report should be read in conjunction with the Group audited financial statements for the financial year ended 30 June 2025 and the accompanying explanatory notes attached to this interim financial report.

A2. Standards issued but not yet effective

The new and amended standards that are issued but not yet effective up to the date of issuance of the Group's and the Company's financial statements are disclosed below. The Group and the Company intend to adopt these new and amended standards, if applicable, when they become effective:-

Amendments to MFRS effective 1 January 2025:-

Amendments to MFRS 121 The Effect of Changes in Foreign Exchange Rates - Lack of Exchangeability

Amendments to MFRS effective 1 January 2026:-

Amendments to MFRS 9 and MFRS 7 Financial Instruments and Financial Instruments: Disclosures - Amendments to the Classification and Measurement of Financial Instruments and Contracts Referencing Nature-dependent Electricity

Amendments that are part of Annual Improvement - Volume 11:-

Amendments to MFRS 1 First-time Adoption of MFRS Accounting Standards

Amendments to MFRS 7 Financial Instruments: Disclosures

Amendments to MFRS 9 Financial Instruments

Amendments to MFRS 10 Consolidated Financial Statements

Amendments to MFRS 107 Statement of Cash Flow

Amendments to MFRS effective 1 January 2027:-

MFRS 18 Presentation and Disclosure in Financial Statements

MFRS 19 Subsidiaries without Public Accountability: Disclosures

8 | Page


TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

TECHBOND®

YOUR TECHNICAL BONDING PARTNER

PART A: EXPLANATORY NOTES PURSUANT TO MFRS 134, INTERIM FINANCIAL REPORTING (cont'd)

A2. Standards issued but not yet effective (cont'd)

Amendments to MFRSs - effective date deferred indefinitely:-

Amendments to MFRS 10 and MFRS 128

Consolidated Financial Statements and Investments in Associates and Joint Ventures: Sale or Contribution of Assets between an Investor and its Associate or Joint Venture

The Group and the Company intend to adopt these new and amended standards, if applicable, when they become effective. The initial application of the above standards/amendments to MFRS is not expected to have any material impact to the financial statements of the Group and of the Company upon adoption, except for MFRS 18 Presentation and Disclosure in Financial Statements.

MFRS 18 introduces new requirements on presentation within the statements of profit or loss, including specified totals and subtotals. It also requires disclosure of management defined performance measures and includes new requirements for aggregation and disaggregation of financial information based on the identified 'roles' of the primary financial statements and the notes. In addition, there are consequential amendments to MFRS 107 Statement of Cash Flows and MFRS 134 Interim Financial Reporting.

The amendments will have an impact on the Group's and the Company's presentation of statements of profit or loss and other comprehensive income, statements of cash flows and additional disclosures in the notes to the financial statements but not on the measurement or recognition of any items in the Group's and the Company's financial statements.

The Group and the Company are currently assessing the impact of MFRS 18 and plan to adopt the new standard on the required effective date.

A3. Auditors' report

There was no qualification on the audited financial statements of the Group for the financial year ended 30 June 2025.

A4. Seasonal or cyclical factors

The business operations of the Group were not materially affected by any seasonal and cyclical factors during the current quarter and financial period-to-date under review.

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TECHBOND GROUP BERHAD
201601019667 (1190604-M)
(Incorporated in Malaysia)
TECHBOND®
YOUR TECHNICAL BONDING PARTNER

PART A: EXPLANATORY NOTES PURSUANT TO MFRS 134, INTERIM FINANCIAL REPORTING (cont'd)

A5. Material unusual items

There were no unusual items affecting the assets, liabilities, equity, net income or cash flows of the Group during the current quarter under review.

A6. Material changes in estimates

There were no changes in estimates that have a material effect in the current quarter and financial period-to-date under review.

A7. Debt and equity securities

There were no issuance, cancellation, repurchase, resale or repayment of debt and equity securities for the current quarter and financial period-to-date under review.

A8. Dividend paid

A first interim single-tier dividend of 0.75 sen per ordinary share amounting to RM5,690,211 in respect of financial year ending 30 June 2026 has been paid on 24 December 2025.

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10 | Page


TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

TECHBOND®

YOUR TECHNICAL BONDING PARTNER

PART A: EXPLANATORY NOTES PURSUANT TO MFRS 134, INTERIM FINANCIAL REPORTING (cont'd)

A9. Segmental information

The Group’s operating segments are adhesives, sealants and supporting products and services. These operating segments are required to be organised and managed for the purpose of making decisions about resource allocation and performance assessment. The segmental results are as follows:-

Individual quarter Cumulative quarter
Current year quarter 31/03/2026 RM’000 Preceding year quarter 31/03/2025 RM’000 Current year-to-date 31/03/2026 RM’000 Preceding year-to-date 31/03/2025 RM’000
Revenue
Adhesives, sealants and chemicals 28,808 35,451 89,503 106,096
Supporting products and services 1,849 2,038 5,595 5,912
Others* 131 147 407 439
30,788 37,636 95,505 112,447
Profit before taxation
Adhesives, sealants and chemicals 4,519 5,330 15,737 15,289
Supporting products and services 232 167 348 540
Others* 57 122 169 205
4,808 5,619 16,254 16,034
  • Others segments of the Group which are not of sufficient size to be reported separately.

11 | Page


TECHBOND GROUP BERHAD
201601019667 (1190604-M)
(Incorporated in Malaysia)
TECHBOND®
YOUR TECHNICAL BONDING PARTNER

PART A: EXPLANATORY NOTES PURSUANT TO MFRS 134, INTERIM FINANCIAL REPORTING (cont'd)

A10. Property, plant and equipment

(i) Acquisitions and disposals

There were additions of property, plant and equipment during the current quarter and financial period-to-date under review.

There were no material disposals during the current quarter and financial period-to-date under review.

(ii) Impairment losses

There were no impairment losses during the current quarter and financial period-to-date under review.

(iii) Valuation

The Group has not carried out any valuation on its property, plant and equipment during the current quarter and financial period-to-date under review.

A11. Material events subsequent to the end of the quarter

There were no material events subsequent to the end of the current quarter and financial period to-date under review that have not been reflected in the interim financial report.

12 | Page


TECHBOND GROUP BERHAD
201601019667 (1190604-M)
(Incorporated in Malaysia)
TECHBOND®
YOUR TECHNICAL BONDING PARTNER

PART A: EXPLANATORY NOTES PURSUANT TO MFRS 134, INTERIM FINANCIAL REPORTING (cont'd)

A12. Changes in the composition of the group

There were no changes in the composition of the Group during the current quarter under review.

A13. Contingent liabilities and contingent assets

There were no material contingent liabilities or contingent assets to be disclosed as at the date of this interim financial report.

A14. Material capital commitments

The capital commitments of the Group as at the end of the quarter under review were as follows:-

RM'000
Authorised and contracted for:-
Purchase of property, plant and equipment 3,221
Purchase of land 23,594
26,815

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13 | Page


TECHBOND GROUP BERHAD
201601019667 (1190604-M)
(Incorporated in Malaysia)
TECHBOND®
YOUR TECHNICAL BONDING PARTNER

PART A: EXPLANATORY NOTES PURSUANT TO MFRS 134, INTERIM FINANCIAL REPORTING (cont'd)

A15. Significant related party transactions

Significant related party transactions in the current quarter and current period-to-date are as follows:-

| | Current year quarter
31/03/2026
RM'000 | Current period-to-date
31/03/2026
RM'000 |
| --- | --- | --- |
| Rental expenses charged by a company in which the Directors have interests | 36 | 110 |
| Rental income charged to a company in which the Directors have interests | (*) | (1) |

*Amount below RM1,000

A16. Fair value of financial liabilities

There were no gains or losses arising from fair value changes of the Group's financial liabilities for the current quarter and financial period-to-date under review.

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14 | Page


TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

TECHBOND®

YOUR TECHNICAL BONDING PARTNER

PART B: EXPLANATORY NOTES PURSUANT TO APPENDIX 9B OF THE LISTING REQUIREMENTS

B1. Review of performance

(a) Comparison with the corresponding quarter in the previous financial year

| | Individual quarter
3 months ended | | | Changes |
| --- | --- | --- | --- | --- |
| | 31/03/2026
RM'000 | 31/03/2025
RM'000 | RM'000 | % |
| Revenue | 30,788 | 37,636 | (6,848) | (18.20%) |
| Profit before taxation | 4,808 | 5,619 | (811) | (14.43%) |
| Profit for the period | 4,097 | 4,417 | (320) | (7.24%) |

For the three-month period ended 31 March 2026 ("Current Quarter"), the Group's revenue came in at RM30.79 million versus RM37.64 million in the prior year. This was largely driven by the adverse impact of Ringgit appreciation on the translation of foreign currency-denominated revenue alongside fewer working days during the festive seasons, as well as a strategic realignment of the product mix within the chemical segment. In terms of revenue breakdown by segment, the industrial adhesives, sealants and chemicals accounted for bulk of the revenue at 93.57% or RM28.81 million to total revenue for the Current Quarter.

Profit before taxation ("PBT") for the quarter under review stood at RM4.81 million vis-à-vis RM5.62 million a year ago. Meanwhile, profit after tax and non-controlling interest ("net profit") was at RM4.10 million for the Current Quarter, compared to RM4.42 million last year. The bottom-line performance was impacted by the above-mentioned factors. However, profit margins improved on a year-on-year ("YoY") basis, reflecting the positive outcomes of the ongoing portfolio optimization initiatives.

15 | Page


TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

TECHBOND®

YOUR TECHNICAL BONDING PARTNER

PART B: EXPLANATORY NOTES PURSUANT TO APPENDIX 9B OF THE LISTING REQUIREMENTS (cont'd)

B1. Review of performance (cont'd)

(b) Comparison with the corresponding financial period-to-date in the previous financial year (9 months)

Cumulative quarter 9 months ended Changes
31/03/2026 RM'000 31/03/2025 RM'000 RM'000 %
Revenue 95,505 112,447 (16,942) (15.07%)
Profit before taxation 16,254 16,034 220 1.37%
Profit for the period 13,565 12,867 698 5.42%

Cumulatively, the Group posted revenue of RM95.51 million for the period ended 31 March 2026, as compared to RM112.45 million in the preceding year, as a result of the factors mentioned earlier. On a positive note, the Group's sales were in fact higher in constant currency terms, driven by an encouraging uptrend in export sales. Industrial adhesives, sealants and chemicals segment remained the chief revenue contributor at RM89.50 million or 93.72% for the current period under review.

Meanwhile, the Group's PBT hit an all-time high of RM16.25 million in the period under review, versus RM16.03 million a year ago. Similarly, net profit rose 5.42% YoY to a record RM13.57 million from RM12.87 million in the prior year. The improvement in bottom-line performance was chiefly attributed to the above-mentioned portfolio optimization efforts coupled with higher cost efficiencies and finance income.

16 | Page


TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

TECHBOND®

YOUR TECHNICAL BONDING PARTNER

PART B: EXPLANATORY NOTES PURSUANT TO APPENDIX 9B OF THE LISTING REQUIREMENTS (cont'd)

B2. Comparison with immediate preceding quarter

Individual quarter 3 months ended Changes
31/03/2026 RM’000 31/12/2025 RM’000 RM’000 %
Revenue 30,788 31,841 (1,053) (3.31%)
Profit before taxation 4,808 5,703 (895) (15.69%)
Profit for the period 4,097 4,668 (571) (12.23%)

On a quarter-on-quarter ("QoQ") basis, revenue for the Current Quarter stood at RM30.79 million, compared to RM31.84 million in the immediate preceding quarter. Despite the festive seasons in the Current Quarter, post-festive sales momentum accelerated at a faster pace than historical trends, driven by the evolving geopolitical landscape. PBT and net profit came in at RM4.81 million and RM4.10 million respectively, versus RM5.70 million and RM4.67 million in the immediate preceding quarter.

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TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

TECHBOND®

YOUR TECHNICAL BONDING PARTNER

PART B: EXPLANATORY NOTES PURSUANT TO APPENDIX 9B OF THE LISTING REQUIREMENTS (cont'd)

B3. Prospects

The global economy continues to operate in an increasingly complex environment. Ongoing conflicts in the Middle East have introduced significant disruptions to global supply chains and escalated cost pressures across industries. Concurrently, the strengthening of the Ringgit against the US Dollar has exerted additional pressure on the translation of foreign currency revenues.

These developments have translated into higher input costs across the entire supply chain, including Techbond. The Group has proactively engaged with its customers to collectively manage and mitigate these impacts, and remains confident that the overall situation is well within manageable bounds. More importantly, drawing on the Group's experience and proactive planning, raw material inventories were maintained at healthy levels in anticipation of these developments, enabling the Group to swiftly capitalize on emerging opportunities.

Such a move was underpinned by the Group's robust balance sheet and net cash position, which afforded the financial headroom needed to accommodate the increased working capital demands brought about by escalating raw material costs. On the other hand, the Group's timely transition to electric forklifts has effectively minimized our exposure to the ongoing surge in fuel prices.

Overall, the demand outlook remains healthy at this juncture, supported by new orders from newly acquired customers as well as growing demand from the Group's existing customer base. Correspondingly, production utilization rates have remained at solid levels, with the polymerization plant recording increased utilization.

On balance, the Group maintains a positive outlook premised upon the factors outlined above. That said, the Group continues to exercise vigilance given the fluid and evolving nature of global developments and the broader trade environment.

18 | Page


TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

TECHBOND®

YOUR TECHNICAL BONDING PARTNER

PART B: EXPLANATORY NOTES PURSUANT TO APPENDIX 9B OF THE LISTING REQUIREMENTS (cont'd)

B4. Profit forecast

The Group did not issue any profit forecast in any form of public documentation and announcement.

B5. Tax expense

Individual quarter Cumulative quarter
Current year quarter 31/03/2026 RM'000 Preceding year quarter 31/03/2025 RM'000 Current year-to-date 31/03/2026 RM'000 Preceding year-to-date 31/03/2025 RM'000
Current tax 743 1,275 2,828 3,279
Deferred tax (32) (73) (139) (112)
Total 711 1,202 2,689 3,167

The effective tax rate of the Group for the current year quarter and current year-to-date was lower than the Malaysia statutory rate of 24% due to tax exemption granted for subsidiary in Vietnam.

B6. Status of corporate proposals

There were no corporate proposals announced that are not completed as at the date of this interim financial report.

19 | Page


TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

TECHBOND®

YOUR TECHNICAL BONDING PARTNER

PART B: EXPLANATORY NOTES PURSUANT TO APPENDIX 9B OF THE LISTING REQUIREMENTS (cont'd)

B7. Borrowings

All the Group’s borrowings are short-term and long-term in nature, secured and denominated in Ringgit Malaysia.

As at 31 March 2026
Long-term RM’000 Short-term RM’000 Total borrowings RM’000
Secured
Term loan
Denominated in RM - 702 702
Denominated in VND - 12,608 12,608
Total term loan - 13,310 13,310
As at 31 March 2025
Long-term RM’000 Short-term RM’000 Total borrowings RM’000
Secured
Term loan
Denominated in RM - 1,101 1,101
Denominated in VND - - -
Total term loan - 1,101 1,101

B8. Material litigation

Our Group is not involved in any material litigation, claim and/or arbitration, either as plaintiff or defendant and our Board is not aware of any proceeding, pending or threatened against our Group, or of any fact which is likely to give rise to a proceeding which might materially affect the business or financial position of our Group.

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TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

TECHBOND®

YOUR TECHNICAL BONDING PARTNER

PART B: EXPLANATORY NOTES PURSUANT TO APPENDIX 9B OF THE LISTING REQUIREMENTS (cont'd)

B9. Dividend

Save as disclosed in Note A8, there were no other dividends proposed, declared or paid by the Company for current financial quarter and financial year-to-date.

B10. Earnings per share ("EPS")

The basic and diluted EPS for the current quarter and financial period is computed as below:-

Individual quarter Cumulative quarter
Current year quarter 31/03/2026 Preceding year quarter 31/03/2025 Current year-to-date 31/03/2026 Preceding year-to-date 31/03/2025
Profit after tax attributable to the owners of the Company (RM'000) 4,097 4,417 13,565 12,867
Weighted average number of ordinary shares in issue ('000) 758,695 754,266 758,695 692,361
Basic/Diluted EPS (sen)(1) 0.54 0.59 1.79 1.86

Note:-
(1) Basic EPS is calculated by dividing the profit attributable to owners of the company by the weighted average number of ordinary shares outstanding during the period under review. Diluted EPS is equivalent to the basic EPS as there were no potential dilutive securities issued during the current quarter under review.

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TECHBOND GROUP BERHAD

201601019667 (1190604-M)

(Incorporated in Malaysia)

TECHBOND®

YOUR TECHNICAL BONDING PARTNER

PART B: EXPLANATORY NOTES PURSUANT TO APPENDIX 9B OF THE LISTING REQUIREMENTS (cont'd)

B11. Profit before taxation

Profit before taxation is arrived at after charging/(crediting):-

Individual quarter Cumulative quarter
Current year quarter 31/03/2026 RM'000 Preceding year quarter 31/03/2025 RM'000 Current year-to-date 31/03/2026 RM'000 Preceding year-to-date 31/03/2025 RM'000
Amortisation of right-of-use-assets 348 365 1,057 1,095
Depreciation of investment properties 37 40 112 118
Depreciation of property, plant and equipment 1,161 1,232 3,584 3,542
Finance cost 180 11 364 158
Gain on disposal of property, plant and equipment - (24) (85) (59)
Finance income:-
- Interest income (571) (167) (1,398) (659)
- Fair value gain on short-term fund (750) (460) (2,206) (900)
Net realised loss on foreign exchange 299 68 910 1,403
Net unrealised (gain)/loss on foreign exchange (157) 127 41 (275)
Net impairment gain on trade receivables - (3) - (33)
Inventories written down 705 - 1,969 95
Rental of premises - short-term leases 49 48 149 149
Rental income# (347) (351) (1,055) (1,051)

Included in Group’s revenue and other income

Save as disclosed above, the other disclosure items pursuant to Paragraph 16, Part A of Appendix 9B of the Listing Requirements are not applicable.

The Group does not have the following items for the financial period under review:-

(i) gain or loss on disposal of quoted or unquoted investments; and
(ii) gain or loss on derivatives.

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