Ecobuilt faces trading suspension from Jan 9 after failing to submit annual report

• The group may also face the risk of delisting if it fails to issue outstanding financial statements within six months of the deadline.

KUALA LUMPUR (Jan 2): Ecobuilt Holdings Bhd (KL:ECOHLDS) has until Jan 8 to submit its annual report for the financial financial year ended Aug 31, 2024, failing which the trading of its securities will be suspended the following day (Jan 9).

The loss-making construction cum property firm has failed to submit the annual report — including its annual audited financial statements, as well as the auditors’ and directors’ reports — to Bursa Malaysia Securities Bhd, for public release within the stipulated timeframe on Dec 31, 2024.

Pursuant to Bursa Securities’ Main Market listings requirements, trading in Ecobuilt’s securities will be suspended if the company fails to issue the 2024 annual report within five market days, that is by Jan 8, according to an exchange filing on Thursday.

“In the event that Ecobuilt is unable to submit the outstanding annual report 2024 on or before Jan 8, 2025, trading in the company’s securities will be suspended with effect from 9am, [on] Thursday, Jan 9, 2025, until further notice,” it said.

The group may also face the risk of delisting if it fails to issue outstanding financial statements within six months of the deadline.

Ecobuilt previously said that the delay in issuing the annual report is mainly due to the additional time required for the external auditors to complete their audit of the financial statements for the year ended Aug 31, 2024.

“The company expects to issue and submit its annual report 2024, together with its financial statements, on or before Jan 7, 2025,” it said in the previous filing.

Last year, trading in Ecobuilt was suspended for a month, from Aug 9 to Sept 25, due to a set aside winding-up petition filed against the company by S-Form System Formwork (M) Sdn Bhd.

The company has been loss-making since FY2022. For the three months ended Aug 31, 2024, Ecobuilt posted a net loss of RM42.07 million, on the back of RM86.49 million in revenue.

The group attributed the loss to the provision of liquidated damages of RM15.84 million, bad debt write-offs of RM3.10 million, and a provision for an expected credit loss allowance of RM14.68 million.

There is no comparative for the latest quarter under review, as the company has changed its financial year end to Aug 31, from May 31.

On a quarter-on-quarter basis, the group posted a net loss, compared to a net profit of RM2 million in three months ended May 31, 2024, while revenue more than doubled from RM32.31 million.

At noon break on Thursday, shares of Ecobuilt were down by one sen or 28.57% to 2.5 sen, valuing the company at RM9.20 million.

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