KUALA LUMPUR (Aug 6): Pentamaster Corp Bhd (KL:PENTA), whose second-quarter net profit jumped 63.9%, expects to deliver a stronger performance in 2026, with revenue projected to register high double-digit growth.

This will be driven primarily by its factory automation solutions (FAS) segment, supported by the execution of its existing order book and sustained demand from the AI Compute and medical segments, said the automated test equipment maker in a bourse filing on Thursday.

Net profit for the three months ended June 30, 2026 (2QFY2026) jumped to RM19.03 million, from RM11.61 million a year earlier, driven by stronger demand from FAS, coupled with lower administrative expenses and foreign exchange gains. 
  
The latest quarterly net profit was the group's highest since 4QFY2025, when it posted RM20.18 million, marking its strongest quarterly earnings in two years.

No dividend was declared for the quarter.

Quarterly revenue increased 24.83% year-on-year (y-o-y) to RM180.85 million in 2QFY2026 from RM144.88 million previously. FAS segment revenue surged 97.3% y-o-y to RM120.95 million on higher contributions from its consumer and industrial products, electro-optical and semiconductor segments, as well as its newly introduced AI Compute segment.  

For the first half ended June 30, 2026 (1HFY2026), its net profit climbed 49.8% to RM36.96 million from RM24.68 million, while revenue grew 30.65% to RM361.22 million from RM276.48 million.

The group attributed the stronger 1HFY2026 performance partly to the recognition of RM14.71 million in unrealised foreign exchange gains during the period.

Pentamaster ended one sen or 0.18% higher at RM5.71, its highest price in five years since August 2021. The stock has risen by about 53% since the start of this year.

At RM5.71, the group is valued at RM4.07 billion.

In 2QFY2026, administrative expenses fell 37% to RM18.59 million in 2QFY2026 from RM29.62 million a year earlier. The group also recognised around RM10 million in foreign exchange gains.

The AI Compute segment accounting for 29.2% of FAS segment’s revenue mix, mainly driven by project delivery of automated server assembly solutions to a leading global technology company, and a global electronics manufacturing services provider for AI computing and data-centre infrastructure applications.

As a result, the FAS segment recorded a higher profit after tax of RM31.8 million in 2QFY2026, a 91.9% jump from RM16.6 million.

Its healthcare segment's revenue surged 20 times to RM20.43 million in 2QFY2026 from RM1.02 million a year earlier, driven by higher sales of intravenous catheters and other medical-related devices.

The segment also narrowed its pre-tax loss to RM3 million from RM5.6 million previously, although Pentamaster said the business remains in its commercialisation and scale-up phase.

Meanwhile, revenue from the automated test equipment (ATE) segment fell 41.2% to RM49 million from RM83.37 million due to lower sales contributions from the electro-optical, automotive and semiconductor segments.

ATE segment’s profit before tax fell 55% to RM4.6 million in 2QFY2026 from RM10.2 million due to lower revenue recorded.