JADEM 7043 JADE MARVEL GROUP BERHAD shares see heavy sell-off on weak 1Q results

 JADEM 7043 JADE MARVEL GROUP BERHAD shares see heavy sell-off on weak 1Q results

KUALA LUMPUR (Sept 2): Since announcing a disappointing set of results on Monday (Aug 29), shares in Jade Marvel Group Bhd have seen heavy selling pressure, resulting in a 67.1% decline in just three trading days.

On Tuesday (Aug 30), the counter hit limit down after falling 30 sen or 37.27% to 50.5 sen.

It even slumped to an intraday low of 24.5 sen on Friday (Sept 2), before closing down 4.5 sen or 14.52% at 26.5 sen, valuing the group at RM86.07 million.

The group reported a net loss of RM1.63 million for the first quarter ended June 30, 2022 (1QFY23), versus a net profit of RM672,000 in 1QFY22, due to losses incurred across the manufacturing, mining and property development segments.

For FY22, it posted higher earnings of RM7.16 million, against RM4.04 million in FY21.

According to sources, the sharp fall in Jade Marvel’s shares could also be triggered by a margin call involving one of its major shareholders.

JMR Consolidated Holdings Sdn Bhd is the largest shareholder of Jade Marvel with an 8.41% stake, followed by X Infinity Holdings Sdn Bhd (6.54%), Global Legacy Partners Sdn Bhd (4.61%) and Zenith Super Sdn Bhd (4.56%).

Two months ago, Jade Marvel proposed to diversify its business to include prospecting and sale of iron ores, dolomite, sand and other minerals, to expand its revenue stream.

http://www.theedgemarkets.com/article/jade-marvel-shares-see-heavy-selloff-weak-1q-results