KUALA LUMPUR (Sept 23): Cypark Resources Bhd (KL:CYPARK) rose to a one-month high in early trading on Wednesday after the renewable energy firm returned to profit in its first quarter ended July 31, 2026 (1QFY2027).
The counter gained as much as 6.7%, or 4.5 sen, to 71.5 sen, its highest level since Aug 27, before paring gains to 70 sen at the time of writing. At the latest price, Cypark had a market capitalisation of about RM614.2 million.
More than 20.5 million shares changed hands, making Cypark one of the most actively traded counters on Bursa Malaysia.
Cypark returned to profitability in 1QFY2027, recording a net profit after tax and minority interests of RM5.0 million versus a net loss of RM18.6 million in 1QFY2026 and RM21.9 million in 4QFY2026.
Revenue surged 274% quarter-on-quarter to RM180.0 million, driven by construction works for ongoing projects, particularly the Kenyir hybrid floating solar project.
The results beat BIMB Securities’ expectations, with the research house attributing the stronger performance to an earlier-than-expected ramp-up in engineering, procurement, construction and commissioning (EPCC) activities.
BIMB Securities subsequently raised its earnings forecasts for Cypark, expecting the company to post net profits of RM35 million in FY2027 and RM63 million in FY2028.
However, it maintained its “hold” call on Cypark with an unchanged target price of 73 sen, saying the positive earnings turnaround and improving EPCC execution were tempered by the group’s high gearing and elevated financing burden, which could remain a structural overhang on its valuation.
Separately, Maybank Investment Bank said Cypark’s near-term earnings are largely dependent on the execution of its RM1.4 billion effective order book, which it expects to be recognised mainly across FY2027 and FY2028.
The research house kept its FY2027 to FY2029 earnings forecasts unchanged, citing the potential for a weaker fourth quarter of FY2027.
It also lowered its target price to 77 sen from 84 sen, mainly to reflect dilution from Cypark’s recent private placement exercise.