3QFY26: Order weakness keeps earnings in the red Quick Note

Research evidence excerpt

3QFY26: Order weakness keeps earnings in the red Quick Note

Global Markets Research

V.S. Industry VSID.KL VSI MK 19 June 2026

EQUITY: TECHNOLOGY

Rating3QFY26: Order weakness keeps earnings in the red Remains Buy

Target price MYR 0.26 RemainsQuick Note

Closing price

18 June 2026 MYR 0.20Remains in the red in 3QFY26 as weak order inflows from key customers drag top line

VS registered a 9MFY26 core loss of MYR33.9mn vs our/Bloomberg consensus estimates

for the full year of +MYR43mn/MYR35mn, which we deem below expectations. 3QFY26

revenue at MYR804mn was up 5% q-q, but down 12% y-y primarily due to reduced orders Research Analysts

from key customers amid softer global consumer sentiment, which ultimately weighed on Malaysia Technology

production utilisation rates despite ongoing cost-optimisation initiatives. Across key Heng Siong Kong - NSM

markets, Malaysia posted revenue of MYR534.2mn (-24% q-q, -37% y-y), while Indonesia hengsiong.kong@nomura.com

operations recorded revenue of MYR62.1mn (-3% q-q, +6% y-y). The weaker top-line +603 2027 6894

performance flowed through to the bottom line, with the company remaining in the red as Research Associates

core losses widened to MYR37mn in 3QFY26 (vs MYR31mn in 2QFY26).

Malaysia Technology

Macro headwinds persist; management maintains softer FY26E guidance Shubham Kejriwal - NSFSPL

In its official Bursa release, management has stated that the current operating

environment remains challenging, with ongoing uncertainty surrounding global trade

policies and persistently weak consumer sentiment continuing to weigh on demand. It

notes that, although headline tariff rates on Malaysia’s exports to the US have been

revised lower, subsequent US court rulings have reintroduced uncertainty around the