PETALING JAYA: The Japanese market is emerging as a rising star for Infomina Bhd
, with its revenue contribution picking up.
In a note to clients, AmInvestment Bank Research said Japan is moving from being an “option” to “driver” for Infomina, an information technology support services provider.
Operationally, the research house pointed out that margins were lower this quarter as Japan costs are charged out, rather than being capitalised previously.
That said, Infomina’s results were broadly on track.
The core profit of RM16mil in the first half ended Nov 30, 2025 (1H26) was in line at 50% of AmInvestment Bank Research’s full-year estimates.
“Importantly, traction in Japan is improving, where revenue doubled quarter-on-quarter (q-o-q) to RM4mil.
“We expect Japan’s contribution to keep rising, forming 8% of the financial year 2026 (FY26) and 14% of FY27 revenues.
“Japan offers an annual revenue opportunity of RM80mil,” according to the research house.
AmInvestment Bank Research has a “buy” call on Infomina, with a target price of RM1.80 per share. The stock closed at RM1.42 yesterday.
Over the past six months, Infomina’s shares have surged by 65%.
The research house noted that the target price is anchored to a price-to-earnings multiple of 24 times, applied to the earnings per share of 2027.
“Valuation remains supportive, with the group trading at a 20% discount to its five-year average, which we see as attractive given improving demand visibility and rising Japan exposure.”
On visibility, AmInvestment Bank Research said Infomina’s order book in the second quarter of FY26 rose 91% q-o-q to a record RM555mil. This has materially improved the group’s earnings visibility.
Recent wins include those from Siam Commercial Bank (RM137mil), the Home Ministry (RM66mil) and Metropolitan Bank and Trust Company (RM137mil).
The tender book also includes RM54mil tied to its artificial intelligence (AI) business (about 6% of the tender pipeline).
“While still relatively small, incremental AI wins could still be meaningful to profits, given the higher margin profile of the segment.”
Infomina is optimising its balance sheet.
“The group declared a 1.35 sen dividend (in the second quarter of FY26).
“If maintained on a half-yearly basis, this implies an annualised of about 2% dividend yield,” the research house added.
