ELSA Berhad
ELSA0458ShariahListedMalacca Securities Sdn Bhd · ACE Market · Listing 16 Jun 2026
Auto Summary
Revenue
PAT
Margins & Gearing
Utilisation Of Proceeds
Valuation Breakdown
Category Scores
Growth Vs Risk Matrix
Growth increases upward and risk decreases to the right, so the most attractive IPOs sit in the top-right quadrant.
ELSA is growing fast and earning no more for it. Revenue compounded 23.4% a year to RM264.7m, the largest top line across both batches, yet PAT attributable has sat near RM10.5m since FYE2023 because gross margin fell from 14.34% to 11.29% and PAT margin more than halved to 4.07%. That is the signature of a manpower-led model winning work on price. Earnings quality is further qualified by cash falling 44.7% to RM11.8m in a record revenue year, indicating growth is being funded through receivables. Against that, the balance sheet is the cleanest here: 0.10x gearing and a 2.04x current ratio. The proceeds plan is coherent - 55.4% funds consultant capacity for future projects plus AUV and drone capability, which is the intended route out of low-margin manpower supply. At 11.5x earnings and 1.8x pro forma book, the pricing is reasonable if that transition works. Principal risk is oil and gas capex cyclicality landing before margins recover. On balance the combination of the batch's cleanest balance sheet, a modest multiple and a proceeds plan aimed squarely at the margin problem supports participation, with the medium-term case resting on evidence that the AUV and digital work lifts margin rather than just revenue.
Strengths
- Revenue compounded 23.4% a year to RM264.7m, the largest top line in either batch. - Gearing fell to 0.10x, the lowest of any company across both batches. - Current ratio improved to 2.04x. - Asset-light model requires little fixed capital to scale headcount against contract wins.
Weaknesses
- PAT attributable has been flat near RM10.5m for three years despite 52% revenue growth. - PAT margin more than halved from 6.63% to 4.07%. - Cash fell 44.7% in FYE2025 to RM11.8m as receivables absorbed growth. - No MITI tranche, unlike most of the batch.
Opportunities
- AUV capability and drone procurement move the group into higher-value inspection work. - Digital infrastructure and robotics diversify away from pure manpower supply. - Regional operators outsourcing specialist engineering favour asset-light providers.
Threats
- Oil price weakness translates quickly into deferred operator spending. - A manpower-led model competes largely on price, which is visible in the margin trend. - Receivable concentration with large operators exposes the group to payment timing.
IPO Balloting Calculator
Tier snapping, subscription cost, and expected-value estimate.
| Units | Tier | Cost | Success | Open Profit | Open EV | Hold Profit | Hold EV |
|---|---|---|---|---|---|---|---|
| 100 | 1 | RM23 | 3.71% | RM5 | RM0 | RM12 | RM0 |
| 300 | 2 | RM69 | 3.90% | RM14 | RM1 | RM35 | RM1 |
| 1,100 | 3 | RM253 | 4.09% | RM51 | RM2 | RM127 | RM5 |
| 2,100 | 4 | RM483 | 4.27% | RM97 | RM4 | RM242 | RM10 |
| 3,100 | 5 | RM713 | 4.46% | RM143 | RM6 | RM357 | RM16 |
| 4,100 | 6 | RM943 | 4.64% | RM189 | RM9 | RM472 | RM22 |
| 6,100 | 7 | RM1,403 | 4.83% | RM281 | RM14 | RM702 | RM34 |
| 11,100 | 8 | RM2,553 | 5.01% | RM511 | RM26 | RM1,277 | RM64 |
| 20,100 | 9 | RM4,623 | 5.20% | RM925 | RM48 | RM2,312 | RM120 |
| 50,100 | 10 | RM11,523 | 5.39% | RM2,305 | RM124 | RM5,762 | RM310 |
| 100,100 | 11 | RM23,023 | 5.57% | RM4,605 | RM257 | RM11,512 | RM641 |
| 200,100 | 12 | RM46,023 | 5.76% | RM9,205 | RM530 | RM23,012 | RM1,325 |
| 500,100 | 13 | RM115,023 | 5.94% | RM23,005 | RM1,367 | RM57,512 | RM3,418 |
| 1,000,100 | 14 | RM230,023 | 6.13% | RM46,005 | RM2,820 | RM115,012 | RM7,049 |
| 2,000,100 | 15 | RM460,023 | 6.32% | RM92,005 | RM5,810 | RM230,012 | RM14,525 |
| 5,000,100 | 16 | RM1,150,023 | 6.50% | RM230,005 | RM14,952 | RM575,012 | RM37,380 |
| 10,000,100 | 17 | RM2,300,023 | 6.69% | RM460,005 | RM30,758 | RM1,150,012 | RM76,895 |
The trailing 100 units are intentional: applying just over a boundary, such as 20,100 instead of 20,000, lands in the next balloting tier. Success rate is a heuristic, not published balloting odds.
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