KUALA LUMPUR (Jan 27): Mlabs Systems Bhd (KL:MLAB) announced it will miss the Jan 31 deadline to issue its annual report 2025, citing the need for more time to finalise its audit.

In a filing with Bursa Malaysia on Tuesday, the ACE Market-listed company said the delay is intended to allow external auditors more time to complete the audited financial statements for the financial period ended Sept 30, 2025.

“The company is working with external auditors to finalise the audit expeditiously,” it said, adding that “the company will endeavour to announce/issue its annual report 2025 to Bursa Securities and shareholders within two weeks from the date of this announcement”.

Under ACE Market listing requirements, Bursa may suspend trading of a company’s securities if the annual report is not issued within five market days after its deadline.

If the report remains outstanding, a trading suspension is expected to take effect on Feb 10, which would only be lifted on the market day following the issuance of the annual report. But if the annual report is not issued within six months from the deadline, Bursa may initiate delisting procedures.

The delay comes amid a challenging financial landscape for Mlabs. According to AskEdge, the company reported a negative return on equity of 15.1%, and a negative trailing 12-month earnings before interest, tax, depreciation and amortisation or Ebitda margin of 86.2%.

On Tuesday, Mlabs’ share price ended unchanged at six sen, giving the group a market capitalisation of RM17 million.