Press Metal Aluminium Holdings Bhd

Press Metal Aluminium Holdings Bhd maintains a balanced capital structure with a debt-to-equity ratio of 0.46 and a current ratio of 2.36, indicating adequate short-term liquidity despite a medium liquidity risk rating. The company holds total assets of MYR 19.19 billion against total liabilities of MYR 9.82 billion, resulting in total equity of MYR 9.37 billion. Long-term debt stands at MYR 4.31 billion, while operating cash flow of MYR 3.18 billion supports a free cash flow of MYR 1.02 billion after capital expenditures of MYR 1.62 billion. A key risk flag notes that net cash is negative after subtracting total debt, suggesting reliance on debt financing for operations or growth.

Profitability metrics show a return on equity of 22.41% and a return on assets of 10.94%, reflecting efficient use of capital. The company generated net income of MYR 2.10 billion on revenue of MYR 16.21 billion, yielding a net margin of approximately 12.9%. Operating income was MYR 2.57 billion, indicating strong operational leverage. However, the valuation multiples are elevated, with a price-to-earnings ratio of 35.72, a price-to-book ratio of 8.0, and an EV/EBITDA of 30.84, suggesting the market prices in significant future growth or premium positioning relative to peers.

Net income surged 18.9% year-over-year to MYR 2.1 billion, demonstrating strong profitability growth momentum.

Operating income jumped 35.4% year-over-year, significantly outpacing revenue growth and indicating improved operational efficiency.

Analysts maintain a buy recommendation with a mean price target implying 7.3% upside from current levels.

Long-term debt decreased to MYR 4.3 billion, reflecting a consistent deleveraging trend over the past four years.

Cash conversion ratio of 1.51 falls below the cohort median of 1.77, indicating weaker cash realization from earnings.

The company faces medium liquidity risk, which could constrain financial flexibility during periods of market stress.

Capex to revenue ratio of -10.0% sits in the bottom quartile, suggesting potentially insufficient reinvestment for future growth.

Revenue MYR 4.05B, +13,7% YoY; Operating income +93,2% YoY.

• ▍Revenue MYR 4.05B, +13,7% YoY
• ▍Operating income +93,2% YoY
• ▍Net income +31,4% YoY
• ▍Free cash flow −97,5% YoY
• ▍Net margin 14.6%

Revenue MYR 4.08B, +7,9% YoY; Operating income +89,3% YoY.

• ▍Revenue MYR 4.08B, +7,9% YoY
• ▍Operating income +89,3% YoY
• ▍Net income +40,0% YoY
• ▍Free cash flow +16,2% YoY
• ▍Net margin 13.8%

Revenue MYR 4.19B, +5,9% YoY; Operating income −5,7% YoY.

• ▍Revenue MYR 4.19B, +5,9% YoY
• ▍Operating income −5,7% YoY
• ▍Net income −4,4% YoY
• ▍Free cash flow −30,2% YoY
• ▍Net margin 11.5%

Revenue MYR 3.90B; Operating income MYR 497.9M.

• ▍Revenue MYR 3.90B
• ▍Operating income MYR 497.9M
• ▍Net margin 11.8%

Revenue MYR 3.56B; Operating income MYR 391.0M.

• ▍Revenue MYR 3.56B
• ▍Operating income MYR 391.0M
• ▍Net margin 12.6%

Revenue MYR 3.78B; Operating income MYR 387.6M.

• ▍Revenue MYR 3.78B
• ▍Operating income MYR 387.6M
• ▍Net margin 10.6%

Revenue MYR 3.95B; Operating income MYR 619.7M.

• ▍Revenue MYR 3.95B
• ▍Operating income MYR 619.7M
• ▍Net margin 12.8%

Revenue MYR 16.21B, +8,7% YoY; Operating income +35,4% YoY.

• ▍Revenue MYR 16.21B, +8,7% YoY
• ▍Operating income +35,4% YoY
• ▍Net income +18,9% YoY
• ▍Free cash flow −33,5% YoY
• ▍Net margin 12.9%

Revenue MYR 14.91B, +8,0% YoY; Operating income +14,6% YoY.

• ▍Revenue MYR 14.91B, +8,0% YoY
• ▍Operating income +14,6% YoY
• ▍Net income +45,3% YoY
• ▍Free cash flow +66,2% YoY
• ▍Net margin 11.8%

Revenue MYR 13.80B, −12,0% YoY; Operating income −17,5% YoY.

• ▍Revenue MYR 13.80B, −12,0% YoY
• ▍Operating income −17,5% YoY
• ▍Net income −13,6% YoY
• ▍Free cash flow −23,3% YoY
• ▍Net margin 8.8%

Revenue MYR 15.68B, +42,6% YoY; Operating income +31,7% YoY.

• ▍Revenue MYR 15.68B, +42,6% YoY
• ▍Operating income +31,7% YoY
• ▍Net income +40,4% YoY
• ▍Free cash flow +227,1% YoY
• ▍Net margin 9.0%

Revenue MYR 11.00B; Operating income MYR 1.53B.

• ▍Revenue MYR 11.00B
• ▍Operating income MYR 1.53B
• ▍Net margin 9.1%