Critical Holdings shares fall 4.61 per cent after contract value increase
A revised scope of work lifted the value of its cleanroom contract at Kulim Hi-Tech Park to RM226.68 million.
Critical Holdings Bhd traded lower on Oct 14, with its shares declining 4.61 per cent despite an additional RM74.1 million in contract value for cleanroom works in Kedah. The stock stood at RM2.73 at 10.25 am, down nine sen, while trading volume reached 968,500 shares.
In a Bursa Malaysia filing, the company said changes to the work scope at Kulim Hi-Tech Park had increased the contract value from RM152.59 million to RM226.68 million.
MBSB Investment Bank Bhd (MBSB IB) forecast an additional RM6.7 million contribution to Critical’s financial year 2027 (FY2027) earnings from the higher contract value. It also said the variation order would reinforce ties with a key customer.
That customer awarded Critical an EPCC contract worth RM772.5 million in June 2026. The two contracts have a combined value of approximately RM999.2 million. MBSB IB acknowledged greater customer concentration risk but expected it to ease as Critical gains EPCC experience and wins work from other clients.
The bank put Critical’s outstanding order book at RM1.06 billion. Its estimated breakdown was 74.0 per cent plantroom projects, 21.9 per cent cleanroom projects, approximately 3.5 per cent data centre jobs and 0.7 per cent maintenance work.
MBSB IB retained a “Buy” rating, while lifting its target price from RM2.94 to RM3.54.
