RT Pastry Holdings Berhad
RT0461MITIListedKAF Investment Bank Berhad · ACE Market · Listing 29 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.
RT Pastry is a high-margin retailer that has stopped growing. Gross margin of 35.4% is the best in this batch and the balance sheet has improved markedly, with gearing down to 0.36x and a 3.01x current ratio. But revenue rose 0.1% in FYE2025 and PAT attributable is still below FYE2023, and the reported FYE2025 figure is flattered by a RM0.75m gain on the Balakong Plant disposal - the prospectus itself prices off the adjusted RM5.26m. Earnings quality therefore looks weaker than the headline. Use of proceeds is the most constructive part of the case: 51.7% funds new outlets, which is the only credible route back to growth for a 17-outlet chain, though the 25.06% listing-expense load is heavy on a RM16.5m raise. At 10.2x reported earnings and 1.3x pro forma book the entry price is undemanding. Principal risk is that outlet expansion adds fixed cost faster than it adds contribution. The 59.96x subscription reflects small-cap scarcity more than fundamentals; the medium-term case depends entirely on outlet economics holding up.
Strengths
- Gross margin held above 35% in both FYE2024 and FYE2025, the highest in the batch. - Gearing fell from 0.99x to 0.36x as borrowings halved to RM11.8m. - Current ratio strengthened to 3.01x with RM16.6m of cash and short-term deposits. - 51.7% of proceeds fund new outlets and production equipment.
Weaknesses
- Revenue grew 0.1% in FYE2025 and compounded only 4.0% a year over the window. - FYE2025 PAT attributable includes a RM0.75m disposal gain; underlying earnings were RM5.26m. - PAT attributable in FYE2025 remains below the FYE2023 level. - Listing expenses absorb 25.06% of gross proceeds.
Opportunities
- A 17-outlet base in one region leaves substantial room for Klang Valley densification. - Owning manufacturing behind the retail brand protects margin against ingredient inflation. - Deleveraging frees cash flow previously servicing RM23.8m of peak borrowings.
Threats
- Bakery retail is highly competitive with low switching costs and constant new entrants. - Outlet expansion carries lease and staffing commitments ahead of proven demand. - Wheat, butter and cocoa input costs are volatile and hard to pass through quickly.
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 | RM18 | 1.67% | RM4 | RM0 | RM9 | RM0 |
| 300 | 2 | RM54 | 1.75% | RM11 | RM0 | RM27 | RM0 |
| 1,100 | 3 | RM198 | 1.83% | RM40 | RM1 | RM99 | RM2 |
| 2,100 | 4 | RM378 | 1.92% | RM76 | RM1 | RM189 | RM4 |
| 3,100 | 5 | RM558 | 2.00% | RM112 | RM2 | RM279 | RM6 |
| 4,100 | 6 | RM738 | 2.08% | RM148 | RM3 | RM369 | RM8 |
| 6,100 | 7 | RM1,098 | 2.17% | RM220 | RM5 | RM549 | RM12 |
| 11,100 | 8 | RM1,998 | 2.25% | RM400 | RM9 | RM999 | RM22 |
| 20,100 | 9 | RM3,618 | 2.33% | RM724 | RM17 | RM1,809 | RM42 |
| 50,100 | 10 | RM9,018 | 2.42% | RM1,804 | RM44 | RM4,509 | RM109 |
| 100,100 | 11 | RM18,018 | 2.50% | RM3,604 | RM90 | RM9,009 | RM225 |
| 200,100 | 12 | RM36,018 | 2.59% | RM7,204 | RM186 | RM18,009 | RM466 |
| 500,100 | 13 | RM90,018 | 2.67% | RM18,004 | RM480 | RM45,009 | RM1,201 |
| 1,000,100 | 14 | RM180,018 | 2.75% | RM36,004 | RM991 | RM90,009 | RM2,477 |
| 2,000,100 | 15 | RM360,018 | 2.84% | RM72,004 | RM2,041 | RM180,009 | RM5,104 |
| 5,000,100 | 16 | RM900,018 | 2.92% | RM180,004 | RM5,254 | RM450,009 | RM13,134 |
| 10,000,100 | 17 | RM1,800,018 | 3.00% | RM360,004 | RM10,807 | RM900,009 | RM27,018 |
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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