{
  "id": 11104475,
  "title": "MCE Holdings poised for stronger FY27 growth on new models, US exports",
  "url": "https://urgent.news/2026/10/01/mce-holdings-poised-for-stronger-fy27-growth-on-new-models-us-exports",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-10-01T03:51:04.000Z",
  "source": {
    "name": "New Straits Times",
    "slug": "new-straits-times",
    "url": "https://www.nst.com.my/business/corporate/2026/10/1545245/mce-holdings-poised-stronger-fy27-growth-new-models-us-exports"
  },
  "original_language": "en",
  "account": "KUALA LUMPUR: Automotive parts manufacturer MCE Holdings Bhd anticipates a stronger financial year 2027 (FY27), fueled by the launch of new vehicle models, its US export operations, and a portfolio of higher-value automotive electronics. Hong Leong Investment Bank Bhd (HLIB) anticipates MCE's new factory in Johor Bahru will enable the company to take on some outsourced plastic injection processes, reducing costs and boosting margins. HLIB predicts a gradual increase in production of QV-E components, backed by promotional pricing that makes the model more competitive than Proton's electric vehicle (EV). The company is set to begin deliveries to US customer JVIS by the end of the second quarter of FY27. In August, MCE signed a deal to provide audio display units, reverse cameras, and advanced driver assistance system-related products for a Perodua internal combustion engine (ICE) model, with production starting in the fourth quarter of FY27. This contract is seen as a significant step for MCE into more complex, higher-value electronics within the ICE segment. Compared to EVs, whose sales are still in their early stages, the ICE model is expected to provide a larger and more stable production volume. Given the higher content value of these products compared to MCE's traditional components, HLIB expects a meaningful revenue increase beginning in Q4 FY27. However, HLIB lowered its FY27 and FY28 forecasts by 4.3 percent and 1.3 percent, respectively, due to higher-than-expected raw material costs. While some cost pressures are anticipated to subside in coming quarters, the firm anticipates that elevated resin and mineral prices will continue to pressure MCE's margins in the short term, especially amid ongoing geopolitical tensions. Despite this, HLIB maintains a \"Buy\" rating on MCE but reduced its target price to RM2.31 from RM2.42.",
  "summary": "KUALA LUMPUR: Automotive parts maker MCE Holdings Bhd is poised for stronger growth in financial year 2027 (FY27), driven by newly launched vehicle models, its US export business and a growing portfolio of higher-value automotive electronics.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}