PETALING JAYA: Infomina Bhd
is expected to deliver strong double-digit earnings growth in its financial year 2027 (FY27), on the back of firm order visibility and regional expansion.
AmInvestment Bank (AmInvest) Research has projected Infomina’s earnings to surge 32% year-on-year (y-o-y) to RM43mil in FY27, driven primarily by contract renewals and growing traction in overseas markets, particularly Japan.
“What keeps us positive on the company is not a blue-sky story, but the simple fact that demand is already in hand,” it said.
Infomina’s RM573mil order book provides earnings visibility for the next two to three years, a key factor underpinning its growth outlook.
This order book, which rose 3% quarter-on-quarter, includes RM69mil from the Home Affairs Ministry and RM23mil from the Inland Revenue Board.
A potentially sizeable contract from Thailand is also expected to materialise in the near term, the research house said.
Meanwhile, the company’s core business in mainframe systems continues to generate stable and recurring income.
These systems, which support mission-critical functions such as payments processing and national identity databases, are costly and complex to replace, resulting in long-term customer relationships.
“Once embedded, they are expensive and risky to replace, ensuring steady renewals,” AmInvest Research said.
Renewal income has grown at a compound annual rate of 36% since FY20.
In this segment, Japan is emerging as a key growth driver, with revenue contribution rising to 5% of total sales in the first nine months of FY26 (9M26), from 3% a year earlier.
Infomina has already secured 10 clients in the market and is targeting further expansion, with Japan expected to contribute about 14% of revenues by FY27.
Financial performance remains broadly on track, with 9M26 core profit rising 7% y-o-y to RM26mil, accounting for 79% of full-year estimates.
Margins were temporarily affected by Japan-related costs, which are now expensed rather than capitalised, but are expected to improve as scale increases.
Beyond its core operations, Infomina is also expanding into artificial intelligence and data analytics, targeting recurring income streams in areas such as credit risk, fraud detection and cybersecurity, it said.
Its partnership with Geolytik adds geospatial capabilities to enhance enterprise solutions, it added.
AmInvest Research maintained its “buy” call on the counter with a target price of RM1.80 per share, based on 24 times 2027 earnings.
It noted that Infomina is currently trading at around 16 times forward earnings, suggesting room for re-rating as growth materialises and new business segments gain traction.
