Valuetronics - Phillip Securities Research 2026-06-02: Returning More Capital, But Earnings Sluggish

• Valuetronics (SGX:BN2)'s FY26 results were below expectations. Revenue/adj. PATMI was 93%/91% of our FY26 forecasts, respectively. Adjusted PATMI declined 16% y-o-y to HKD67mil. Effective tax in 2H26 more than tripled to around 15% due to full utilisation of tax losses in Hong Kong and the partial end of tax incentives in Vietnam.

• - Read this at SGinvestors.io -

• The company made a HKD45mil provision on its GPUs and related hardware. There is a better demand for GPU-as-a-Service using US hardware in Hong Kong. We expect the company to dispose of the remaining ~HKD130mil GPUs. Trio Ai is no longer reported as an associate due to cumulative losses.

The Positives

(+) ICE the revenue and margin driver.

• - Read this at SGinvestors.io -

• Other key products include a thermal label printer, a cold chain sensor, and PC cooling.

The Negatives

(-) Declining CE earnings.

• Read more at SGinvestors.io.

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

Previous report by Phillip:
2025-11-17 Valuetronics - Operating Earnings Growing Stronger.

Price targets by other brokers at Valuetronics Target Prices.

Listing of research reports at Valuetronics Analyst Reports.

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