ACE Market-listed SMTrack Bhd has triggered Guidance Note 3 (GN3) status after recording continued losses and a decline in shareholders’ equity.
In a filing with Bursa Malaysia, the company said its cumulative losses for the 18 months ended Dec 31, 2024 and the 18 months ended June 30, 2023 amounted to RM46.76 million, exceeding its shareholders’ equity of RM45.73 million as at end-December 2024. This triggered Rule 2.1(c)(i) under GN3.
SMTrack also breached Rule 2.1(c)(ii) after posting a net loss of RM30.95 million for the 18-month period ended Dec 31, 2024, which was more than 50% higher than the RM15.81 million loss recorded in the previous corresponding period.
In addition, its shareholders’ equity stood at less than 50% of its share capital of RM114.86 million, triggering Rule 2.1(c)(iii).
The company said it plans to apply for a waiver from being classified as an affected listed issuer, noting that it has already initiated measures to improve its financial performance.
“The board is confident that the group’s financial performance can be stabilised moving forward,” it said.
SMTrack has been loss-making since its listing in 2011 and has changed its financial year-end multiple times. Most recently, it revised its financial year-end to June from December in November last year.
For the 12 months ended Dec 31, 2025, the group reported a significantly reduced net loss of RM728,000 compared with RM28.74 million previously. However, revenue declined sharply to RM2.99 million from RM32 million.
The company’s shares were untraded on Monday, with the last transaction recorded on April 10 at one sen, giving it a market capitalisation of RM13.21 million.
