UMS Integration - Maybank Research 2025-03-03: Earnings Bottoms, Upgrade To BUY.

• Upgrade UMS to BUY from HOLD as its outlook is improving. UMS’s FY24 PATMI of S$40.6m was slightly below our and consensus estimates.
• - Read this at SGinvestors.io -

Expects margin improvement.

• UMS has gone through a huge learning curve while ramping up for its new customer in FY24 and has also incurred additional costs in doing so.
• Going forward, we expect execution to improve and UMS should be able to do so with higher margins. We expect net margin to improve by 1-1.5ppt from FY24.
• - Read this at SGinvestors.io -

New customer revenue to more than double.

• UMS's new customer’s revenue contribution was about S$20m for FY24. Management expects this figure to more than double as it continues to ramp up on new product initiatives and existing products from its new customer.
• We expect revenue contribution of around S$50m for FY25E.

Q-o-q improvement likely; raising target price to S$1.16.

• Read more at SGinvestors.io.

Above is an excerpt from a report by Maybank Research.
Clients of Maybank Securities may be the first to access the full PDF report @ https://www.maybanktrade.com.sg/.

Read also Maybank's most recent report:
2025-11-11 UMS Integration - Outlook Improving.

Previous report by Maybank:
2025-08-13 UMS Integration - A Better 2H25.

Price targets by 3 other brokers at UMS Target Prices.

Listing of research reports at UMS Analyst Reports.

Relevant links:
UMS Share Price History,
UMS Announcements,
UMS Dividend Payout Dates & Corporate Actions,
UMS News