AWC Berhad Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Predictions

Simply Wall St · 1d ago

AWC Berhad (KLSE:AWC) just released its latest yearly results and things are looking bullish. It was overall a positive result, with revenues beating expectations by 9.6% to hit RM445m. AWC Berhad also reported a statutory profit of RM0.079, which was an impressive 41% above what the analysts had forecast. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

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KLSE:AWC Earnings and Revenue Growth August 28th 2026

Taking into account the latest results, AWC Berhad's four analysts currently expect revenues in 2027 to be RM449.8m, approximately in line with the last 12 months. Statutory earnings per share are expected to dip 6.9% to RM0.073 in the same period. Before this earnings report, the analysts had been forecasting revenues of RM436.4m and earnings per share (EPS) of RM0.068 in 2027. So there seems to have been a moderate uplift in sentiment following the latest results, given the upgrades to both revenue and earnings per share forecasts for next year.

See our latest analysis for AWC Berhad

Despite these upgrades,the analysts have not made any major changes to their price target of RM0.61, suggesting that the higher estimates are not likely to have a long term impact on what the stock is worth. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. Currently, the most bullish analyst values AWC Berhad at RM0.67 per share, while the most bearish prices it at RM0.52. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the AWC Berhad's past performance and to peers in the same industry. We would highlight that AWC Berhad's revenue growth is expected to slow, with the forecast 1.0% annualised growth rate until the end of 2027 being well below the historical 4.6% p.a. growth over the last five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 18% annually. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than AWC Berhad.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around AWC Berhad's earnings potential next year. They also upgraded their revenue estimates for next year, even though it is expected to grow slower than the wider industry. The consensus price target held steady at RM0.61, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on AWC Berhad. Long-term earnings power is much more important than next year's profits. We have forecasts for AWC Berhad going out to 2028, and you can see them free on our platform here.

That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 2 warning signs with AWC Berhad , and understanding these should be part of your investment process.