PETALING JAYA: The external auditor of PLB Engineering Bhd
has flagged a material uncertainty related to the group’s ability to continue as a going concern, considering its net loss and liabilities exceeding its assets for the financial year ended Aug 31, 2025 (FY25).
In a filing with Bursa Malaysia, PLB’s external auditors, Messrs Grant Thornton Malaysia PLT (GT) said the company incurred a net loss of RM17.5mil in FY25. The group’s and company’s current liabilities also exceeded current assets by RM25.9mil and RM71.2mil respectively.
“These aforesaid conditions and other non-financial performances have indicated the existence of material uncertainties which may cast significant doubt on the ability of the group and the company to continue as a going concern,” GT said.
However, GT said the group’s net current liabilities have reduced from RM54.8mil as at Aug 31, 2024 to RM25.9mil as at Aug 31, 2025.
GT noted the continuation of the group and the company as a going concern is dependent on the successful disposal of its assets, completion of its ongoing construction and property development projects and continuous financial support from its bankers.
Meanwhile, PLB is taking measures to improve its financial performance by actively participating in project tenders to increase the opportunity of securing new projects, including industrial factory buildings, infrastructure jobs, etc, with recurring income.
Moreover, PLB will manage the cost of existing projects and closely monitor the progress to ensure the projects are completed within the contract period.
During the year under review, the group focused on the on-going affordable housing schemes in Paya Terubong, The Dew, to ensure timely completion of the project. The scheme with 281 units has recorded sales with signed sale & purchase agreements of 95% and achieved 83% completion to date.
PLB is also looking for interested parties to acquire its yet-developed land banks and will utilise the sales proceeds to pare down bank borrowings and payables in order to turnaround its net current liabilities position.
PLB’s wholly-owned subsidiary, PLB Land Sdn Bhd has also entered into a bulk purchase agreement with third parties for the housing development, The Skyline, which consists of 218 condominium units and 74 affordable homes.
Under the agreement, PLB Land will undertake the project’s development with third parties acquiring all units within the project.
The transaction is valued at RM129mil and any additional gross development value generated will be distributed according to the entitlement ratio of 82:18 between third parties and PLB Land. To date, the piling works for this development have been completed and 53 condominium units and 7 affordable homes have been sold.
The board said it expects to address the matters as mentioned above within the next financial year.
