UUE shares jump 9pct on heavy trade

Shares of UUE Holdings Bhd jumped over nine percent in early trading today, driven by significant buying activity. The stock climbed 5.5 sen, or 9.09 percent, to 66 sen, reaching its highest intraday price of 66 sen. Earlier, it opened at 61.5 sen and fluctuated between 61.5 sen and 66 sen. By 11.15am, over seven million shares were exchanged, nearly double the 3.5 million shares traded in the previous session.

The dramatic recovery came after UUE Holdings' shares had eased from a peak of 65 sen in August. Technical analysis indicated a solid medium-term uptrend. Interest in the stock was fueled by the company's robust earnings performance and a substantial order book, which suggests future revenue visibility. On a financial year basis, UUE Holdings' first-quarter net profit surged more than fourfold to RM9.04 million, compared to RM1.69 million the prior year.

Its revenue also jumped 88.8 percent to a record RM61.2 million. The company has been actively expanding its contract base, with its order book reaching approximately RM515.2 million by the end of May. Management stated that this order book provides earnings visibility for up to 36 months.