Broker Name: CGS International Securities
Date of Report: November 3, 2025
Excerpt from CGS International Securities report.
- Report Summary
- Nanofilm Technologies Int’l Ltd reported a 20% year-on-year revenue increase in 3Q25 to S\$72m, with 9M25 revenue up 26% to S\$179m, driven mainly by its Advanced Materials Business Unit (AMBU) and growth in 3C (accessories and wearables).
- The company’s outlook remains cautious due to uncertain demand and typically weaker Q4, prompting CGS International to reiterate a “Reduce” rating, valuing the stock at 1.0x FY26F BVPS and noting risks such as customer concentration and rising costs.
- Peer comparison shows Nanofilm trading at higher valuations with lower returns compared to regional competitors, while its ESG commitment is highlighted by reduced greenhouse gas emissions and awards for sustainable technology.
- Financial forecasts suggest gradual net profit improvement from FY25 to FY27, but current price performance and consensus ratings remain weak, with major shareholders holding significant stakes.
- Key risks include slow earnings recovery, high customer concentration, and cost pressures from geographic and business expansion; potential upsides involve new customer wins and operational improvements.
above is an excerpt from a report by CGS International Securities. Clients of CGS International Securities can be the first to access the full report from the CGS International Securities website : https://www.cgs-cimb.com/en/home
