PETALING JAYA: Oasis Home Holding Bhd
, the first Malaysian-listed live-commerce company, is poised to take advantage of the fast-growing live-commerce ecosystem that has delivered exponential revenue growth in recent years.
Live-commerce refers to selling products via live streaming on social media channels such as TikTok Live and Facebook Live.
In a non-rated note, Maybank Investment Bank (Maybank IB) Research) said Oasis Home will enlarge its footprint in the live-commerce space by investing in additional infrastructure, products and accelerate its headcount.
This will be achieved by utilising the proceeds from Oasis Home’s initial public offering (IPO) in May.
Oasis Home was listed on the ACE market in May at an IPO price of 28 sen per share.
“Live streaming is expected to continue spearheading the group’s fundamental growth in the foreseeable future,” the research house mentioned.
Maybank IB said that the group reported revenue of RM54.8mil for its financial year ended June 30, 2024 (FY24), spearheaded by its live-commerce segment’s topline of RM41.5mil which increased from RM17.2mil in FY22.
The live-commerce share represents about 76% of total revenue. The contribution from live commerce saw growth of 141% over the period of two years.
Oasis Home’s revenue for the first nine months of FY25 (9M25) hit RM52.1mil, equivalent to 95% of its revenue in FY24.
The group’s gross profit margin has been steadily growing, rising from 42% in FY22 to 47.7% in 9M25.
“Marketing and selling products through live commerce channels also allowed the company to improve its profit margins and reduce the risks of keeping inventories,” the research house said.
According to Maybank IB, the surge in the company’s live commerce segment was mainly due to expanded product range, in addition to live broadcast channels and increased sales through third-party eCommerce marketplaces.
The group’s omni-channel marketing strategy enables it to sell products through various online and offline sales channels, allowing the company to enjoy wide market reach and appeal with different customers, the research house added.
Maybank IB said the stock is trading at an annualised FY25 price-earnings multiple of 13.4 times.
In comparison, regional peers trade at an average of 19 times.
