The group posted a net profit of RM5.49 million for the financial quarter ended March 31, 2023 (Q3 FY2023) compared to RM72,000 in the previous quarter.

On an annual basis, VSolar’s Q3 FY2023 net profit rose seven times compared to a net loss of RM910,000 in the same period last year.

The drastic increase in VSolar’s earnings has caught the eye of investors, with the counter being the third-most actively traded share with 81.94 million shares changing hands.

Apart from shares, VSolar’s warrants also saw a huge spike in price movement today.

Its warrant price rose as high as 1600% or 24 sen to 25.5 sen today, before dropping to 9.5 sen, a 633.3% gain for the day.

After an extraordinary general meeting held on April 28, the group had decided to undergo a share consolidation process, which resulted in a 30-fold reduction in its ordinary shares.

As a result of the consolidation exercise, the exercise price of the warrants was increased by a factor of 30, reaching 90 sen, while the total quantity of warrants decreased from 821.46 million to 27.38 million.

The warrants, which are set to expire on June 7, 2023, enable their holders to purchase the company’s stock at a pre-determined price before an expiration date.

VSolar provides engineering solutions in connection with renewable energy and other related engineering work, as well as the supply of solar energy. It is also involved in the trading of information, communication, and technology products such as computer hardware and software solutions.

In January 2022, the group diversified its business to include sales and trading of railway vehicle spare parts, bagging a RM96 million contract from RA Integration Links Sdn Bhd to supply parts for the Ampang Line’s six-car light rail vehicle.

At market close, VSolar’s share price had pared down its gains, up 20.83% or five sen to 29 sen, valuing the company at RM45.28 million.