UMS Integration Ltd, a Singapore-based semiconductor company, has announced a promising growth trajectory following its secondary listing on the Main Market of Bursa Securities on 1 August 2025. The company’s shares debuted at RM5.00, closing at RM5.50, reflecting an 8.5% premium over its Singapore Exchange (SGX) price. This move is expected to broaden UMS’s investor base and enhance its market valuation, according to a CGS International report.
The company’s financial performance in the first half of 2025 has been robust, with a 14% year-on-year increase in revenue to S$125 million, despite geopolitical tensions and US trade tariffs. Net profit also rose by 5% to S$20.1 million. UMS’s management attributes this success to strengthened production capabilities and new product introductions from a key customer in Malaysia. The company is optimistic about future growth, particularly with the expansion of its facilities in Penang, which positions it well to benefit from the global semiconductor supply chain shift towards Malaysia and Singapore.
UMS has resumed coverage with an “Add” call, setting a target price of S$1.87, based on a projected net profit growth of 11.1% to 19.4% from FY25 to FY27. The company also offers a dividend yield of 3.70% over the same period, which is expected to support its share price. Potential catalysts for re-rating include securing additional customers and orders for its Penang plant, as well as a resurgence in aeroplane component orders.
UMS’s strategic moves, including its secondary listing and expansion in Malaysia, are set to enhance its competitive edge and investor appeal. However, risks such as potential sales losses in China and slower-than-expected business progress with new customers remain.
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