PIE Industrial’s 3Q profit falls 49% to RM4.5mil amid lower demand

PETALING JAYA: PIE Industrial Bhd’s net profit for the third quarter ended Sept 30, 2025 (3Q25) nearly halved to RM4.49mil from RM8.84mil a year earlier, dragged by lower demand for its electronics manufacturing services (EMS) and raw wire and cable products.

In a filing with Bursa Malaysia, the electronics manufacturing services (EMS) and manufacturer of wires and cables for various industrial applications said 3Q25 revenue fell 16.2% to RM204.91mil compared with RM244.51mil in the previous corresponding quarter.

“The decrease was mainly attributable to lower demand from existing customers for EMS and raw wire and cable but partly offset with higher revenue from wire harness products,” it said.

“However, the discrepancy noted above was offset against lower provision in slow moving inventories, higher gain from foreign exchange transactions and income from other investments.”

For the nine months ended Sept 30, 2025 (9M25), PIE’s revenue dipped 2.2% to RM707.69mil from RM723.91mil in the previous corresponding period, while net profit declined 27.8% to RM25.88mil from RM35.85mil.

Looking ahead, PIE said the recent 19% US tariff implementation since August “has caused concern for customers on this additional burden.”

“Since the final quantum is almost the same as many Southeast Asia countries, the need to transfer manufacturing from potential new customers especially from Vietnam has ceased,” it noted.

Nonetheless, PIE said that as trade relations between China and the US remain tense, the intention to move manufacturing out of China has “intensified”.

The company added that it is now seeing many potential business discussions from China-plus-one activities.

“PIE will intensify efforts to secure more potential customers and projects to mitigate the fall in orders from impact caused by the US tariff,” it added.