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P.I.E. INDUSTRIAL BHD Interim / Quarterly Report 2026
71213_rns_2026-05-21_d29d511b-e076-4b6c-8121-bdf0a3214cbd.pdf
Interim / Quarterly Report
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Page 1 of 23
P.I.E. INDUSTRIAL BERHAD
( Registration No. 199701008590 (424086-X) )
(Incorporated in Malaysia)
Interim Financial Report for the Financial
Period Ended 31 MARCH 2026
P.I.E. INDUSTRIAL BERHAD
( REGISTRATION NO.: 199701008590 (424086-X) )
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
| INDIVIDUAL QUARTER | CUMULATIVE QUARTER | ||||
|---|---|---|---|---|---|
| CURRENT YEAR QUARTER 31.03.2026 RM'000 | PRECEDING YEAR CORRESPONDING QUARTER 31.03.2025 RM'000 | CURRENT YEAR TO DATE 31.03.2026 RM'000 | PRECEDING YEAR CORRESPONDING PERIOD 31.03.2025 RM'000 | ||
| Revenue | 11 | 142,500 | 271,759 | 142,500 | 271,759 |
| Cost of sales | (141,170) | (249,417) | (141,170) | (249,417) | |
| Gross profit | 1,330 | 22,342 | 1,330 | 22,342 | |
| Administrative and distribution expenses | (6,159) | (6,834) | (6,159) | (6,834) | |
| Other operating income(loss) | (1,035) | 1,472 | (1,035) | 1,472 | |
| Income from other investments | 1,253 | 1,542 | 1,253 | 1,542 | |
| Finance costs | (502) | (628) | (502) | (628) | |
| Profit before tax | 11 | (5,112) | 17,894 | (5,112) | 17,894 |
| Income tax expense | 23 | (1,095) | (3,005) | (1,095) | (3,005) |
| (Loss)/profit for the period | 22 | (6,207) | 14,889 | (6,207) | 14,889 |
| Other comprehensive (loss)/income | |||||
| Items that may be subsequently reclassified to profit or loss: | |||||
| Currency translation differences in respect of foreign operations | (2,491) | 44 | (2,491) | 44 | |
| Other comprehensive (loss)/income, net of tax | (2,491) | 44 | (2,491) | 44 | |
| Total comprehensive (loss)/income for the period | (8,697) | 14,933 | (8,697) | 14,933 | |
| (Loss)/profit attributable to: | |||||
| - Owners of the Company | (5,759) | 15,019 | (5,759) | 15,019 | |
| - Non-controlling interests | (448) | (130) | (448) | (130) | |
| (6,207) | 14,889 | (6,207) | 14,889 | ||
| Total comprehensive (loss)/income attributable to: | |||||
| - Owners of the Company | (7,577) | 15,083 | (7,577) | 15,083 | |
| - Non-controlling interests | (1,121) | (150) | (1,121) | (150) | |
| (8,697) | 14,933 | (8,697) | 14,933 | ||
| Basic earnings per ordinary share (sen) | 27 | (1.62) | 3.88 | (1.62) | 3.88 |
The Unaudited Condensed Consolidated Statement of Comprehensive Income should be read in conjunction with the Annual Audited Financial
Statements for the financial year ended 31 December 2025 and the accompanying explanatory notes attached to the interim financial report.
Page 2 of 23
P.I.E. INDUSTRIAL BERHAD
( REGISTRATION NO. : 199701008590 (424086-X) )
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 31 MARCH 2026
| | Note | AS AT
31.03.2026
RM'000 | AS AT
31.12.2025
RM'000 |
| --- | --- | --- | --- |
| ASSETS | | | |
| Non-current assets | | | |
| Property, plant and equipment | 9 | 266,097 | 268,035 |
| Investment properties | | 24,065 | 24,271 |
| Right-of-use assets | | 5,128 | 5,179 |
| Goodwill on consolidation | | 1,722 | 1,722 |
| Investment in associated company | | 174 | 174 |
| Deferred tax assets | | 1,165 | 1,182 |
| | | 298,351 | 300,563 |
| Current assets | | | |
| Inventories | | 199,678 | 188,371 |
| Trade and other receivables | | 153,523 | 166,837 |
| Current-tax assets | | 4,463 | 5,382 |
| Short-term investments | | 10,757 | 10,702 |
| Short-term deposits with licensed banks | | 82,757 | 68,891 |
| Cash and bank balances | | 33,476 | 54,537 |
| Total current assets | | 484,653 | 494,720 |
| TOTAL ASSETS | | 783,004 | 795,283 |
| EQUITY AND LIABILITIES | | | |
| Equity attributable to owners of the parent | | | |
| Share capital | | 83,203 | 83,203 |
| Reserves | | 8,043 | 9,412 |
| Retained earnings | | 539,898 | 545,657 |
| | | 631,143 | 638,272 |
| Non-controlling interests | | 20,853 | 22,423 |
| Total equity | | 651,997 | 660,695 |
| Non-current liabilities | | | |
| Deferred tax liabilities | | 5,405 | 5,437 |
| Current liabilities | | | |
| Short-term borrowings | 14 | 39,380 | 48,840 |
| Trade and other payables | | 84,276 | 78,061 |
| Current tax liabilities | | 1,946 | 2,250 |
| Total current liabilities | | 125,602 | 129,151 |
| Total liabilities | | 131,007 | 134,588 |
| TOTAL EQUITY AND LIABILITIES | | 783,004 | 795,283 |
| NET ASSETS | | 651,997 | 660,695 |
| Net Assets Per Share Attributable to Ordinary
Equity Holders of the Parent (RM) | | 1.70 | 1.72 |
The Unaudited Condensed Consolidated Statement of Financial Position should be read in conjunction with the Annual Audited Financial Statements for the financial year ended 31 December 2025 and the accompanying explanatory notes attached to the interim financial report.
Page 3 of 23
P.I.E. INDUSTRIAL BERHAD
( REGISTRATION NO. : 199701008590 (424086-X) )
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
| Share Capital | Non-distributable | Distributable Retained Profits | Equity attributable to owners of the Company | Non-Controlling Interest | Total | ||
|---|---|---|---|---|---|---|---|
| RM'000 | Foreign Currency Translation Reserve RM'000 | Revaluation Reserve RM'000 | RM'000 | RM'000 | RM'000 | RM'000 | |
| Period ended 31 March 2025 | |||||||
| Balance as of 1 January 2025 | 83,203 | 7,145 | 2,660 | 542,257 | 635,265 | 24,323 | 659,588 |
| Net profit for the period | - | - | - | 15,019 | 15,019 | (130) | 14,889 |
| Other comprehensive loss for the period | - | 64 | - | - | 64 | (20) | 44 |
| Total comprehensive (loss)/income for the period | - | 64 | - | 15,019 | 15,083 | (150) | 14,933 |
| Change in ownership interest in a subsidiary | - | - | - | - | - | - | - |
| Payment of dividends | - | - | - | - | - | - | - |
| Balance as of 31 March 2025 | 83,203‡ | 7,209 | 2,660 | 557,276 | 650,348 | 24,173 | 674,521 |
| Period ended 31 March 2026 | |||||||
| Balance as of 1 January 2026 | 83,203 | 6,752 | 2,660 | 545,657 | 638,272 | 22,423 | 660,695 |
| Net profit for the period | - | - | - | (5,759) | -5,759 | (448) | (6,207) |
| Other comprehensive loss for the period | - | (1,370) | - | - | (1,370) | (1,121) | (2,491) |
| Total comprehensive (loss)/income for the period | - | (1,370) | - | (5,759) | -7,129 | (1,569) | (8,697) |
| Payment of dividends | - | - | - | - | - | - | - |
| Balance as of 31 March 2026 | 83,203 | 5,382 | 2,660 | 539,898 | 631,143 | 20,853 | 651,997 |
The Unaudited Condensed Consolidated Statement of Changes in Equity should be read in conjunction with the Annual Audited Financial Statements for the financial year ended 31 December 2025 and the accompanying explanatory notes attached to the interim financial report.
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P.I.E. INDUSTRIAL BERHAD
( REGISTRATION NO. : 199701008590 (424086-X) )
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
| 3 months ended | ||
|---|---|---|
| 31.03.2026 | ||
| RM'000 | 31.03.2025 | |
| RM'000 | ||
| CASH FLOWS FROM OPERATING ACTIVITIES | ||
| Profit for the period | (6,207) | 14,889 |
| Adjustments for: | ||
| Income tax expense | 1,095 | 3,005 |
| Non-cash items | 8,312 | 7,459 |
| Non-operating items | (1,633) | 1,657 |
| Operating profit before working capital changes | 1,567 | 27,010 |
| Changes in working capital: | ||
| Net change in current assets | 1,401 | (28,632) |
| Net change in current liabilities | 7,744 | 21,011 |
| Cash generate from operations | 10,712 | 19,389 |
| Tax refunded | 1,407 | 5 |
| Income tax paid | (1,923) | (2,094) |
| Interest received | 666 | 582 |
| Net cash generated from operating activities | 10,861 | 17,882 |
| CASH FLOWS FROM INVESTING ACTIVITIES | ||
| Proceeds from disposal of short-term investments | - | 1,274 |
| Proceeds from disposal of property, plant and equipment | 63 | - |
| Payment for property, plant and equipment | (7,097) | 572 |
| Purchase of investment in income funds | - | - |
| Net cash used in investing activities | (7,034) | (7,058) |
| CASH FLOWS FROM FINANCING ACTIVITIES | ||
| subsidiary | - | - |
| Dividend paid | - | - |
| Net proceeds from bank borrowings | 3,221 | - |
| Net repayment of bank borrowings | (11,001) | (16,300) |
| Interest paid | (502) | (628) |
| Bank balances held as security | 5 | - |
| Net cash used in financing activities | (8,277) | (16,928) |
| NET INCREASE IN CASH AND CASH EQUIVALENTS | (4,450) | (6,104) |
| Effect of foreign exchange rate differences | (2,741) | 2,866 |
| CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD | 123,330 | 115,560 |
| CASH AND CASH EQUIVALENTS AT END OF PERIOD | 116,139 | 112,322 |
Page 6 of 23
P.I.E. INDUSTRIAL BERHAD
( REGISTRATION NO. : 199701008590 (424086-X) )
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
| 3 months ended | ||
|---|---|---|
| 31.03.2026 | ||
| RM'000 | 31.03.2025 | |
| RM'000 | ||
| REPRESENTED BY:- | ||
| Short-term deposits with licensed banks | 82,757 | 34,422 |
| Cash and bank balances | 33,476 | 77,999 |
| Less : Bank balance pledged as security | (93) | (99) |
| 116,139 | 112,322 |
The Unaudited Condensed Consolidated Statement of Cash Flows should be read in conjunction with the Annual Audited Financial Statements for the financial year ended 31 December 2025 and the accompanying explanatory notes attached to the interim financial report.
P.I.E. INDUSTRIAL BERHAD
(REGISTRATION NO.: 199701008590 (424086-X))
NOTES TO THE UNAUDITED INTERIM FINANCIAL REPORT
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
PART A – EXPLANATORY NOTES PURSUANT TO MFRS 134, INTERIM FINANCIAL REPORTING
1 Basis of Preparation
The interim financial report is unaudited and has been prepared in accordance with the requirements of Chapter 9, Continuing Disclosure, Paragraph 9.22 of the Main Market Listing Requirements (“LR”) of Bursa Malaysia Securities Berhad (“Bursa Securities”) and in compliance with Malaysian Financial Reporting Standards (“MFRSs”) 134, Interim Financial Reporting issued by Malaysian Accounting Standards Board (MASB), and should be read in conjunction with the Group’s annual audited financial statements for the year ended 31 December 2025, which have been prepared in accordance with MFRSs, International Financial Reporting Standards and the requirements of the Companies Act 2016, in Malaysia.
The explanatory notes attached to these interim financial report provide an explanation of events and transactions that are significant to an understanding of the changes in the financial position and performance of the Group since the year ended 31 December 2025.
2 Significant Accounting Policies
The significant accounting policies, methods of computation and basis of consolidation adopted by the Group for the preparation of the interim financial report are consistent with those adopted in the annual audited financial statements for the year ended 31 December 2025 except for the adoption of the following amendments or improvements to MFRSs that are mandatory for the current financial year.
Effective for annual periods beginning on or after 1 January 2025
Am Amendments to MFRS 121 Lack of Exchangeability
The following are accounting standards that have been issued by the Malaysian Accounting Standards Boards but not yet effective to the Group:
Effective for annual periods beginning on or after 1 January 2026
Amendments to MFRS 9 and MFRS 7 Classification and Measurement of Financial Instruments, Contracts Referencing Nature-dependent Electricity
Amendments to MFRSs Annual Improvements to MFRS Standards - Volume 11
Effective for annual periods beginning on or after 1 January 2027
MFRS 18 Presentation and Disclosure in Financial Statements
MFRS 19 Subsidiaries without Public Accountability: Disclosures
Effective date yet to be confirmed
Amendments to MFRS 10 and MFRS 128 Sales or Contribution of Assets between an Investor and its Associate or Joint Venture
The initial application of the above standard and amendments to MFRSs is not expected to have any material impact to the financial statements of the Group upon adoption.
Page 7 of 23
P.I.E. INDUSTRIAL BERHAD
(REGISTRATION NO. : 199701008590 (424086-X))
NOTES TO THE UNAUDITED INTERIM FINANCIAL REPORT
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
3 Auditors’ Report on Preceding Annual Financial Statements
The auditors’ reports for the Company and its subsidiaries for the financial year ended 31 December 2025 were not subject to any qualification.
4 Seasonal or Cyclical Factors
The cyclical nature of the manufacturing sector is generally correlated to the global economy and is normally seasonal with demand peaking at the year-end festive seasons.
5 Unusual Items Due To Their Nature, Size or Incidence
There were no unusual items affecting assets, liabilities, equity, net income or cash flows during the current quarter and financial period-to-date because of their nature, size or incidence.
6 Changes in Estimates
There were no material changes in estimates of amount reported in either the prior interim period of the current financial period or prior financial years that have a material effect on the results during the current quarter and financial period-to-date.
7 Debt and Equity Securities
There were no issuances, cancellations, repurchases, resale and repayments of debt and equity securities during the financial period ended 31 March 2026.
As of 31 March 2026, total issued and fully paid-up share capital are 384,041,985 ordinary shares.
Page 8 of 23
P.I.E. INDUSTRIAL BERHAD
(REGISTRATION NO. : 199701008590 (424086-X))
NOTES TO THE UNAUDITED INTERIM FINANCIAL REPORT
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
8 Dividends Paid
The Company did not pay any dividend to its shareholders during the financial period ended 31 March 2026.
9 Revaluation of Property, Plant and Equipment
The valuation of property, plant and equipment has been brought forward without amendment from the previous annual audited financial statements for the financial period ended 31 March 2026.
10 Material Post Balance Sheet Events
There are no material events subsequent to the end of the current quarter that requires adjustment to, or disclosure in the unaudited interim financial report for the financial period ended 31 March 2026.
Page 9 of 23
P.I.E. INDUSTRIAL BERHAD
(REGISTRATION NO.: 199701008590 (424086-X))
NOTES TO THE UNAUDITED INTERIM FINANCIAL REPORT
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
11 Operating Segment
Segment information is presented in respect of the Group's business segments.
The Group comprises the following main business segments:
a) Manufacturing Manufacturing of industrial products
b) Trading Trading of electrical products
c) Others Investment holdings
| Segments | Manufacturing
RM'000 | Trading
RM'000 | Others
RM'000 | Elimination
RM'000 | Total
RM'000 |
| --- | --- | --- | --- | --- | --- |
| Period ended 31 March 2026 | | | | | |
| Revenue | 142,500 | - | - | - | 142,500 |
| Inter-segment revenue | - | - | - | - | - |
| | 142,500 | - | - | - | 142,500 |
| Segment results | (3,081) | (7) | 1,028 | 171 | (1,889) |
| Investment revenue | | | | | 1,253 |
| Other gains and losses | | | | | (3,974) |
| Finance costs | | | | | (502) |
| Share of results in associated company | | | | | - |
| Profit before tax | | | | | (5,112) |
| Segments | Manufacturing
RM'000 | Trading
RM'000 | Others
RM'000 | Elimination
RM'000 | Total
RM'000 |
| --- | --- | --- | --- | --- | --- |
| Period ended 31 March 2025 | | | | | |
| Revenue | 271,759 | - | - | - | 271,759 |
| Inter-segment revenue | - | - | - | - | - |
| | 271,759 | - | - | - | 271,759 |
| Segment results | 16,477 | (3) | 1,170 | (4) | 17,640 |
| Investment revenue | | | | | 1,542 |
| Other gains and losses | | | | | (660) |
| Finance costs | | | | | (628) |
| Share of results in associated company | | | | | - |
| Profit before tax | | | | | 17,894 |
Page 10 of 23
P.I.E. INDUSTRIAL BERHAD
(REGISTRATION NO. : 199701008590 (424086-X))
NOTES TO THE UNAUDITED INTERIM FINANCIAL REPORT
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
12 Changes in the Composition of the Group
There are no material events subsequent to the end of the current quarter that requires adjustment to, or disclosure in the unaudited interim financial report for the financial period ended 31 March 2026.
13 Capital Commitments
There was no capital expenditure contracted but not provided for in the unaudited interim financial report of the Group during the current financial period under review.
14 Short-Term Borrowings
| 3 months ended | ||
|---|---|---|
| 31.03.2026 | 31.03.2025 | |
| RM'000 | RM'000 | |
| Current | ||
| - Secured | 39,380 | 39,834 |
| The breakdown of Group borrowings by currency is as follows: | ||
| Functional currency | ||
| - USD | 10,000 | 9,000 |
Page 11 of 23
P.I.E. INDUSTRIAL BERHAD
(REGISTRATION NO.: 199701008590 (424086-X))
NOTES TO THE UNAUDITED INTERIM FINANCIAL REPORT
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
15 Fair Value of Instruments
(a) Determination of fair value
Set out below is a comparison of the carrying amounts and fair values of the Group's financial instruments, by class, which are not carried at fair value in the financial statements.
| 31.03.2026 | 31.12.2025 | |||
|---|---|---|---|---|
| Carrying Amount | Fair Value | Carrying Amount | Fair Value | |
| RM'000 | RM'000 | RM'000 | RM'000 | |
| Financial assets : | ||||
| Trade and other receivables (excluding prepayments) | 147,942 | 147,942 | 163,467 | 163,467 |
| Financial assets carried at fair value through profit or loss | 10,757 | 10,757 | 10,702 | 10,702 |
| Cash and cash equivalents | 116,233 | 116,233 | 123,428 | 123,428 |
| 274,932 | 274,932 | 297,597 | 297,597 |
(b) Fair value hierarchy
| 31.03.2026 | 31.12.2025 | |||
|---|---|---|---|---|
| Carrying Amount | Fair Value | Carrying Amount | Fair Value | |
| RM'000 | RM'000 | RM'000 | RM'000 | |
| Financial liabilities : | ||||
| Trade and other payables | 84,276 | 84,276 | 78,061 | 78,061 |
| Short term borrowings | 39,380 | 39,380 | 48,840 | 48,840 |
| 123,656 | 123,656 | 126,901 | 126,901 |
P.I.E. INDUSTRIAL BERHAD
(REGISTRATION NO.: 199701008590 (424086-X))
NOTES TO THE UNAUDITED INTERIM FINANCIAL REPORT
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
15 Fair Value of Instruments (Continued)
The Group classifies fair value measurement using a fair value hierarchy that reflects the significance of the inputs used in making the measurements. The fair value hierarchy has the following levels:
Level 1 - Quoted prices in active markets for identical assets or liabilities;
Level 2 - Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly; and
Level 3 - Inputs for the asset or liability that are not based on observable market data (unobservable inputs).
As at the reporting date, the Group held the following financial assets and liabilities that were measured at fair value by level of fair value hierarchy :
| | Level 1
RM'000 | Level 2
RM'000 | Level 3
RM'000 | Total
RM'000 |
| --- | --- | --- | --- | --- |
| 31 March 2026 | | | | |
| Financial assets | | | | |
| Investment in unit trusts | 10,757 | - | - | 10,757 |
| | 10,757 | - | - | 10,757 |
| 31 December 2025 | | | | |
| Financial assets | | | | |
| Investment in unit trusts | 10,702 | - | - | 10,702 |
| | 10,702 | - | - | 10,702 |
There have been no transfers between any levels during the current quarter under review and the comparative period.
16 Contingent Liabilities
Save as disclosed below, there were no obligations and contingent liabilities for the Group as of 31 March 2026.
| RM'000 | |
|---|---|
| a) Letter of guarantee by a bank for a foreign subsidiary's import duties | 111 |
| b) Corporate guarantees given by the Company to banks for credit facilities granted to certain subsidiary companies | 273,881 |
| 273,991 |
Page 13 of 23
P.I.E. INDUSTRIAL BERHAD
(REGISTRATION NO.: 199701008590 (424086-X))
NOTES TO THE UNAUDITED INTERIM FINANCIAL REPORT
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
PART B – EXPLANATORY NOTES PURSUANT TO APPENDIX 9B OF THE LISTING REQUIREMENTS OF BURSA MALAYSIA SECURITIES BERHAD
17 Review of Group Performance
Financial review for current quarter and financial period to date
| Individual Period (1st quarter) | Changes | Cumulative Period | Changes | ||||
|---|---|---|---|---|---|---|---|
| Current Year Quarter Ended 31.03.2026 | Preceding Year Corresponding Quarter ended 31.03.2025 | Current Year Quarter Ended 31.03.2026 | Preceding Year Corresponding Quarter ended 31.03.2025 | ||||
| RM'000 | RM'000 | Amount | % | RM'000 | RM'000 | Amount | % |
| 142,500 | 271,759 | (129,259) | -48% | 142,500 | 271,759 | (129,259) | -48% |
| - | - | - | 0% | - | - | - | 0% |
| - | - | - | 0% | - | - | - | 0% |
| 142,500 | 271,759 | (129,259) | -48% | 142,500 | 271,759 | (129,259) | -48% |
| 132,783 | 264,942 | (132,159) | -50% | 132,783 | 264,942 | (132,159) | -50% |
| 9,717 | 6,817 | 2,900 | 43% | 9,717 | 6,817 | 2,900 | 43% |
| - | - | - | 0% | - | - | - | 0% |
| 142,500 | 271,759 | (129,259) | -48% | 142,500 | 271,759 | (129,259) | -48% |
| (5,112) | 17,894 | (23,006) | -129% | (5,112) | 17,894 | (23,006) | -129% |
| (6,086) | 16,725 | (22,811) | -136% | (6,086) | 16,725 | (22,811) | -136% |
| (7) | (3) | (4) | -133% | (7) | (3) | (4) | -133% |
| 981 | 1,172 | (191) | -16% | 981 | 1,172 | (191) | -16% |
| (5,112) | 17,894 | (23,006) | -129% | (5,112) | 17,894 | (23,006) | -129% |
| (6,207) | 14,889 | (21,096) | -142% | (6,207) | 14,889 | (21,096) | -142% |
| (5,759) | 15,019 | (20,778) | -138% | (5,759) | 15,019 | (20,778) | -138% |
| (448) | (130) | (318) | -245% | (448) | (130) | (318) | -245% |
Revenue by segments
- Manufacturing
- Trading
- Others
Total revenue
Revenue by geographical location of the Group's operations
- Malaysia
- Thailand
- Singapore
Total revenue
Operating profit
Profit before tax by segments
- Manufacturing
- Trading
- Others
Total profit before tax
(Loss)/profit after tax
(Loss)/profit after tax attributable to:
- Owners of the Company
- Non-controlling interests
Page 14 of 23
P.I.E. INDUSTRIAL BERHAD
(REGISTRATION NO.: 199701008590 (424086-X))
NOTES TO THE UNAUDITED INTERIM FINANCIAL REPORT
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
PART B – EXPLANATORY NOTES PURSUANT TO APPENDIX 9B OF THE LISTING REQUIREMENTS OF BURSA MALAYSIA SECURITIES BERHAD
17 Review of Group Performance (Continued)
(a) Comparison with Previous Year Corresponding Quarter's Results
The Group's revenue for the current quarter under review was RM142.5 million and profit(loss) before tax was RM5.112 million.
The revenue decreased by RM129.259 million or 48% as compared to preceding year corresponding quarter. The decreased was mainly attributable to lower demand from existing customers for electronics manufacturing (EMS) but partly offset with higher revenue from raw wire & cable and wire harness products. For comparison of segmental revenue for the respective quarters discussed, please refer to the tables below:
Breakdown of segmental revenue for the quarter ended 31 March 2026:
| Revenue by segments : | EMS (Malaysia) | Raw Wire & Cable (Malaysia) | Wireharness (Thailand) | Total | % |
|---|---|---|---|---|---|
| RM'000 | RM'000 | RM'000 | RM'000 | ||
| Manufacturing | 88,886 | 43,897 | 9,717 | 142,500 | 100% |
| Trading | - | - | - | - | 0% |
| Others | - | - | - | - | 0% |
| Total | 88,886 | 43,897 | 9,717 | 142,500 | 100% |
Breakdown of segmental revenue for the quarter ended 31 March 2025:
| Revenue by segments : | EMS (Malaysia) | Raw Wire & Cable (Malaysia) | Wireharness (Thailand) | Total | % |
|---|---|---|---|---|---|
| RM'000 | RM'000 | RM'000 | RM'000 | ||
| Manufacturing | 224,824 | 40,118 | 6,817 | 271,759 | 100% |
| Trading | - | - | - | - | 0% |
| Others | - | - | - | - | 0% |
| Total | 224,824 | 40,118 | 6,817 | 271,759 | 100% |
P.I.E. INDUSTRIAL BERHAD
(REGISTRATION NO.: 199701008590 (424086-X))
NOTES TO THE UNAUDITED INTERIM FINANCIAL REPORT
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
17 Review of Group Performance (Continued)
(a) Comparison with Previous Year Corresponding Quarter's Results (Continued)
Compared with the preceding year corresponding quarter, the profit/(loss) before tax decreased by RM23.006 million or 129%. The decrease was mainly attributable to lower revenue from electronics manufacturing activities (EMS) and loss from foreign currency exchange transactions in the current quarter as compared to the corresponding quarter. For comparison of segmental profit/(loss) before tax for the respective quarters discussed, please refer to the tables below:
Breakdown of segmental profit/(loss) before tax for the quarter ended 31 March 2026:
| Profit/(loss) before tax by segments : | EMS (Malaysia) | Raw Wire & Cable (Malaysia) | Wireharness (Thailand) | Total | % |
|---|---|---|---|---|---|
| RM'000 | RM'000 | RM'000 | RM'000 | ||
| Manufacturing | (10,387) | 5,296 | (995) | (6,086) | 119% |
| Trading | - | - | - | (7) | 0% |
| Others | - | - | - | 981 | -19% |
| Total | (10,387) | 5,296 | (995) | (5,112) | 100% |
Breakdown of segmental profit/(loss) before tax for the quarter ended 31 March 2025:
| Profit/(loss) before tax by segments : | EMS (Malaysia) | Raw Wire & Cable (Malaysia) | Wireharness (Thailand) | Total | % |
|---|---|---|---|---|---|
| RM'000 | RM'000 | RM'000 | RM'000 | ||
| Manufacturing | 11,075 | 5,939 | (289) | 16,725 | 93% |
| Trading | - | - | - | (3) | 0% |
| Others | - | - | - | 1,172 | 7% |
| Total | 11,075 | 5,939 | (289) | 17,894 | 100% |
Page 16 of 23
P.I.E. INDUSTRIAL BERHAD
(REGISTRATION NO.: 199701008590 (424086-X))
NOTES TO THE UNAUDITED INTERIM FINANCIAL REPORT
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
18 Comparison with Immediate Preceding Quarter's Results
Financial review for current quarter compared with immediate preceding quarter
| Individual Quarter Ended | Changes | |||
|---|---|---|---|---|
| 31.03.2026 | 31.12.2025 | Amount | Variance | |
| Revenue | RM '000 | RM '000 | RM '000 | % |
| Manufacturing segments | ||||
| - EMS activities | 88,886 | 116,631 | (27,745) | -24% |
| - Raw wire & cable | 43,897 | 44,747 | (850) | -2% |
| - Wire harness | 9,717 | 10,182 | (465) | -5% |
| 142,500 | 171,560 | (29,060) | -17% | |
| Operating profit | (5,112) | 88 | (5,200) | -5909% |
| Profit before tax | (5,112) | 88 | (5,200) | -5909% |
| (Loss)/profit after tax | (6,207) | (4,066) | (2,141) | -53% |
| (Loss)/profit after tax attributable to: | ||||
| - Owners of the Company | (5,759) | (3,275) | (2,484) | -76% |
| - Non-controlling interests | (448) | (791) | 343 | 43% |
The Group's revenue in the quarter under review decreased by 17% as compared with the preceding quarter. The decrease was mainly due to lower demand recorded for EMS, raw wire & cable and wire harness products segments. The reduced demand was primarily attributed to the impact of U.S. tariff implementation on a major customer, as well as the decline in cryptocurrency prices affecting a key customer. These factors were the principal contributors to the significant decrease in PIE's revenue and earnings.
The Group profit before tax for the current quarter has decreased by RM5.2 million as compared to preceding quarter. The decrease was primarily driven by lower revenue and loss from foreign currency exchange transactions.
Page 17 of 23
P.I.E. INDUSTRIAL BERHAD
(REGISTRATION NO.: 199701008590 (424086-X))
NOTES TO THE UNAUDITED INTERIM FINANCIAL REPORT
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
19 Review of Group Assets and Liabilities
| As at 31.03.2026 | As at 31.12.2025 | Changes | ||
|---|---|---|---|---|
| Amount | Variance | |||
| RM'000 | RM'000 | RM '000 | % | |
| Total assets | 783,004 | 795,283 | (12,279) | -2% |
| Total liabilities | 131,007 | 134,588 | (3,581) | -3% |
| Total equity | 651,997 | 660,695 | (8,698) | -1% |
Total assets
As at 31 March 2026, the Group's total assets decreased by 2% or RM12.279 million to RM783.004 million from RM795.283 million as at 31 December 2025. The decline was mainly attributed to the repayment of short-term borrowings upon maturity and decreased trade receivables, resulting from lower revenue during the year.
Total liabilities
As at 31 March 2026, the Group's total liabilities decreased by 3% or RM3.581 million to RM131.007 million from RM134.588 million as at 31 December 2025. The decrease was primarily driven by the repayment of short-term borrowings upon maturity.
Total equity
The Group's total equity as at 31 March 2026 decreased by 1% or RM8.698 million to RM651.997 million as compared to RM660.695 million as at 31 December 2025. The decrease in total equity is due to decreased in distributable retained earnings as a net result of net loss of RM6.2 million for the current financial period under review. During the financial period under review, loss in foreign currency translation differences amounted RM2.491 million was recognised.
Page 18 of 23
P.I.E. INDUSTRIAL BERHAD
(REGISTRATION NO.: 199701008590 (424086-X))
NOTES TO THE UNAUDITED INTERIM FINANCIAL REPORT
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
20 Current Year Prospect
The major source of revenue and profit of the Group is from its manufacturing segment (100%).
For manufacturing activities, the 19% U.S. tariff implementation since August 2025 has caused much concern for customers on this additional burden. With the declining Crypto currency price and tariff implementation, one major customer in Crypto mining machine was severely impacted. This is one main reason for the big decline in PIE’s revenue and earning.
Since the final tariff quantum is almost the same as many SEA countries, the need to transfer manufacturing from potential new customers especially from Vietnam has ceased. As trade relation between China and US remains tense, the intention to move manufacturing out from China has intensified. PIE has been having many encouraging potential new business discussions from China + 1 activities. PIE is in good business discussion progress with one big potential new server customer which will utilize the new Plant for production. If this new business materializes, mass production may begin in Q2 2026.
The installation of solar panels has effectively reduced electricity costs. Solar panels is expected to be installed in new plant incoming months.
The Group continues to invest in automation and process optimization to enhance yield, efficiency, consistency and product quality while reducing labour dependency. Strict cost control on direct labour and factory overheads is maintained to ensure healthy profit margins.
Revenue derived from the raw wire & cable division (31%) of PIW is the least affected by the tariff implementation. With replacement of more high speed and better efficiency machines, PIW is expected to further improve in productivity and competitiveness.
The revenue derived from cable assembly and wire harness (7%) of PIT in Thailand is expected to increase as more new business opportunities now available in Thailand. With the completed new factory block, PIT is expanding its manufacturing capacities in preparation and anticipation of new business opportunities.
21 Variance of Actual Profit from Forecast Profit
Not applicable as no profit forecast was announced and published.
Page 19 of 23
P.I.E. INDUSTRIAL BERHAD
(REGISTRATION NO.: 199701008590 (424086-X))
NOTES TO THE UNAUDITED INTERIM FINANCIAL REPORT
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
22 (Loss)/profit for the Period
| Quarter Ended | Period Ended | |||
|---|---|---|---|---|
| 31.03.2026 | 31.03.2025 | 31.03.2026 | 31.03.2025 | |
| RM'000 | RM'000 | RM'000 | RM'000 | |
| (Loss)/profit for the period is arrived at after crediting/(charging) : | ||||
| Interest income | 666 | 582 | 666 | 582 |
| Investment income | 588 | 960 | 588 | 960 |
| Interest expenses | (502) | (628) | (502) | (628) |
| Depreciation and amortisation | (7,936) | (7,520) | (7,936) | (7,520) |
| Share of profit/(loss) in associated company | - | - | ||
| Net reversal/(additional) of impairment losses | ||||
| - trade receivables | (174) | 235 | (174) | 235 |
| Net reversal/(additional) of inventories written down | (202) | (174) | (202) | (174) |
| Net (loss)/gain on disposal of : | ||||
| - property, plant and equipment | 24 | 529 | 24 | 529 |
| - investment | - | 7 | - | 7 |
| Net foreign exchange (loss)/gain | (3,875) | (1,440) | (3,875) | (1,440) |
| Gain from fair value adjustment of financial assets through profit and loss | 52 | 8 | 52 | 8 |
Save as disclosed above, the other items as required under Appendix 9B, Part A(16) of the Bursa Securities Main Market Listing Requirements are not applicable.
23 Income Tax Expense
| Quarter Ended | Period Ended | |||
|---|---|---|---|---|
| 31.03.2026 | 31.03.2025 | 31.03.2026 | 31.03.2025 | |
| RM'000 | RM'000 | RM'000 | RM'000 | |
| Income tax in respect of Current period | 1,126 | 2,966 | 1,126 | 2,966 |
| Deferred tax income | (31) | 39 | (31) | 39 |
| 1,095 | 3,005 | 1,095 | 3,005 |
The Group's taxation for the current quarter and financial period-to-date reflects an effective tax rate which is higher than the statutory income tax rate mainly due to certain expenses which are not deductible.
24 Status of Corporate Proposals Announced
There were no corporate proposals announced but pending completion as at the date of this unaudited interim financial report.
Page 20 of 23
P.I.E. INDUSTRIAL BERHAD
(REGISTRATION NO.: 199701008590 (424086-X))
NOTES TO THE UNAUDITED INTERIM FINANCIAL REPORT
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
25 Changes in Material Litigation
Save for the litigation described below, the Group is not engaged in any material litigation, claims or arbitration either as plaintiff or defendant, and the Directors do not have any knowledge of any proceedings, pending or threatened, against the Group or of any facts likely to give rise to any proceedings which might materially and adversely affect the financial position or business of the Group.
In 2015, a subsidiary of the Group, Pan-International Electronics (Malaysia) Sdn. Bhd. (“PIESB”) received demand letters from the RMC regarding unpaid import duties and sales tax amounting to RM8,432,283 and RM841,342 respectively.
The RMC had blacklisted all the Directors of PIESB from leaving and entering Malaysia and arising from this, the external legal counsel of PIESB had filed a judicial review application in the High Court of Malaya to challenge the condition imposed by the RMC. The RMC had subsequently withdrawn the blacklisting of all Directors with the condition that PIESB remit a payment of 28% of the disputed sum and placed a bank guarantee with the RMC for the remaining sum. PIESB had complied with the instructions of the RMC without prejudice.
To date, the RMC had not filed any suit against PIESB for the above said claim. PIESB had filed an appeal with the Ministry of Finance (“MOF”), Malaysia regarding the alleged unpaid import duties and sales tax of which its application was verbally rejected by the MOF on October 31, 2017. Subsequent to the rejection, the external legal counsel of PIESB had applied for a judicial review on the decision of the MOF with the High Court of Penang. The High Court of Penang dismissed PIESB’s application for a judicial review. Following the dismissal by the High Court of Penang, PIESB had submitted an appeal application against the decision of the High Court of Penang to the Court of Appeals of which hearing of the case was fixed on June 24, 2019.
The Court of Appeal however decided that the appeal was premature as there was no documentary proof that the MOF had issued a letter to dismiss PIESB appeal for remission of the custom duties and sales tax. As such, the solicitor had advised PIESB to write a fresh letter of appeal to the MOF to request the Minister of Finance to reconsider and allow its appeal for the remission of the custom duties and sales tax.
On 10 May 2023, the external legal counsel of PIESB had a follow up meeting with MOF. However, the case is still in the midst of discussion in MOF within Legal & Law Department as per informed by Puan Faeza Afandi, Penolong Setiausaha Bahagian Cukai, Kementerian Kewangan, Putrajaya.
On 22 May 2023, MOF has rejected the appeal and seeking PIESB to continue the appeal with Court. The external legal counsel of PIESB has advised and proposed PIESB to go for Juridical Review (JR) with the legal team.
On 19 February 2024, the High Court of Penang ruled in favour of PIESB and set aside the demand letters received by PIESB from RMC in 2015. As the decision of the High Court of Penang is consistent with PIESB's assessment of its chances of success made in prior years, no adjustments are required to be made to the financial statements of the Group.
On 18 March 2024, the MOF and RMC have filed an appeal towards the Court of Appeal of Malaysia against the decision made by the High Court of Penang on 19 February 2024.
Page 21 of 23
P.I.E. INDUSTRIAL BERHAD
(REGISTRATION NO.: 199701008590 (424086-X))
NOTES TO THE UNAUDITED INTERIM FINANCIAL REPORT
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
25 Changes in Material Litigation (Continued)
On 14 September 2024, the Court of Appeal of Malaysia was allowed the appeal from the MOF and RMC against the High Court of Penang' decision on 19 February 2024.
On 24 February 2025, the MOF and RMC withdrew their appeal without cost. Given that the decision of the High Court of Penang was consistent with PIESB’s assessment of its chances of success made in prior years and the subsequent withdrawal of the appeal by the MOF and RMC, no adjustments were made to the interim financial report of the Group in the current financial period ended.
On 24 October 2025, PIESB submitted a request to the RMC for a refund of the amount that was paid.
On 19 January 2026, PIESB received the full refund of RM 2,596,614.86 from the RMC.
26 Dividends
The following interim dividends for the year ending 31 December 2026, has been announced by the Company on 22 May 2026 and will be paid on 25 June 2026 to depositors registered in the Record of Depositors on 15 June 2026:
(a) A Special Interim Single Tier Dividend of 1.1 sen per share; and
(b) A Interim Single Tier Dividend of 0.9 sen per share.
27 Earnings Per Ordinary Share
(a) Basic earnings per ordinary share
Basic earnings per ordinary share amounts are calculated by dividing profit attributable to the ordinary equity shareholders by the weighted average number of ordinary shares in issue during the
| Quarter Ended | Period Ended | |||
|---|---|---|---|---|
| 31.03.2026 | 31.03.2025 | 31.03.2026 | 31.03.2025 | |
| (Loss)/profit attributable to ordinary equity shareholders (RM'000) | (6,207) | 14,889 | (6,207) | 14,889 |
| Weighted average number of ordinary share in issue (units'000) | 384,042 | 384,042 | 384,042 | 384,042 |
| Basic earnings per ordinary share (sen) | (1.62) | 3.88 | (1.62) | 3.88 |
Page 22 of 23
P.I.E. INDUSTRIAL BERHAD
(REGISTRATION NO.: 199701008590 (424086-X))
NOTES TO THE UNAUDITED INTERIM FINANCIAL REPORT
FOR THE 1ST QUARTER ENDED 31 MARCH 2026
27 Earnings Per Ordinary Share (Continued)
(b) Diluted earnings per ordinary share
There are no diluted earnings per share as the Company does not have any convertible financial instruments as at the end of the current quarter and financial period-to-date.
28 Derivative Financial Instruments
There were no material outstanding derivatives entered into by the Group as at the end of the quarter under review.
29 Gains/Losses Arising from Fair Value Changes of Financial Liabilities
There were no gains/losses arising from fair value changes of financial liabilities.
30 Authorisation for Issue
The interim financial statements were authorised for issue by the Board of Directors in accordance with a resolution of the Directors passed at the Board of Directors' meeting held on 22 May 2026.
Page 23 of 23