Evergreen Max Cash Capital Q2 2025 Report: Revenue Doubles in a Golden Performance
Evergreen Max Cash Capital Berhad has just released its second-quarter financial report for the period ending June 30, 2025, and the numbers are nothing short of spectacular. The company, a prominent player in Malaysia’s pawnbroking and gold retail industry, has demonstrated remarkable growth, with revenue soaring by over 100%. To top it off, they’ve announced a dividend, signaling strong confidence in their financial health and a commitment to shareholder returns. Let’s dive deep into the report to understand what’s powering this impressive performance.
Financial Highlights: A Stellar Quarter
The headline figures for Q2 2025 showcase significant year-on-year growth across all key metrics. The company has successfully translated its top-line growth into substantial gains in profitability, reflecting operational efficiency and favourable market conditions.
Revenue for the quarter skyrocketed by an incredible 100.8% compared to the same period last year.
Q2 2025 (Current Quarter)
Revenue: RM 48.79 million
Profit Before Tax: RM 12.28 million
Net Profit: RM 9.27 million
Earnings Per Share (EPS): 0.83 sen
Q2 2024 (Comparative Quarter)
Revenue: RM 24.30 million
Profit Before Tax: RM 7.55 million
Net Profit: RM 5.59 million
Earnings Per Share (EPS): 0.50 sen
What’s Driving the Growth?
The company’s outstanding performance wasn’t driven by a single factor but by strong results across its core business segments. The report details a multi-faceted growth story, primarily fueled by the expansion of its pawnbroking services and a booming gold retail business.
| Business Segment | Q2 Revenue Growth vs Q2 2024 | Key Drivers |
|---|---|---|
| Gold & Luxury Products Retail | +127.8% | Higher sales volume of pre-owned and unredeemed gold items, coupled with rising global gold prices. |
| Conventional Pawnbroking | +28.9% | Increased pawn loans disbursed, supported by available cash capital and credit facilities. |
| Tawarruq (Islamic Pawnbroking) | +599.5% | Significant increase in pawn loans disbursed under its Islamic financing products. |
The surge in the gold and luxury products segment is particularly noteworthy. It benefited from both higher sales volumes and a significant increase in gold prices, which rose from approximately USD2,327/oz in Q2 2024 to USD3,272/oz in Q2 2025. This favourable market trend amplified the value of their inventory and sales, directly boosting gross profit margins.
Future Outlook and Strategic Direction
Looking ahead, the Board of Evergreen Max Cash Capital is optimistic about the Group’s prospects. Their strategy is firmly focused on expansion and enhancing market presence. Key initiatives include:
- Expanding the Pawnbroking Network: The company plans to continue growing its “Pajaking” pawnshop network by setting up new outlets in strategic locations and pursuing potential acquisitions. This aims to capture a larger share of the sustained demand for pawn loans, especially among the unbanked and underbanked population.
- Boosting Retail Visibility: Recognizing the power of digital marketing, the company is investing in targeted online advertising and expanding its online sales teams. This will promote its “Cahaya Gold” retail brand and drive growth in the online sales of gold and luxury products.
Rewarding Shareholders
In a clear sign of financial strength and a positive outlook, the company has declared an interim single-tier dividend of 0.3 sen per ordinary share for the financial year ending 31 December 2025. The dividend will be paid on 26 September 2025, to shareholders on record as of 10 September 2025.
Summary and Investment Recommendations
Disclaimer: The following is a summary based on the financial report and should not be construed as investment advice. All investors should conduct their own due diligence.
Evergreen Max Cash Capital’s Q2 2025 report showcases a company firing on all cylinders. Robust revenue and profit growth, driven by both operational expansion and favourable market trends, paints a very positive picture. The company’s clear strategic direction for expanding its pawnshop network and enhancing its retail business, combined with a dividend declaration, underscores management’s confidence. However, investors should remain mindful of the potential risks associated with the business.
- Gold Price Volatility: While currently a tailwind, a sharp downturn in gold prices could negatively impact the profitability of the gold retail and trading segment.
- Increased Borrowings: The company’s expansion is partly funded by increased borrowings, which raises financial leverage and associated finance costs.
- Market Competition: The pawnbroking and gold retail markets are competitive, requiring continuous innovation and efficient operations to maintain market share.
- Execution Risk: The success of future growth hinges on the effective execution of the company’s expansion plans for its “Pajaking” and “Cahaya Gold” brands.
From a professional standpoint, the report paints a picture of a company in a strong growth phase, effectively capitalizing on market demand and favourable commodity prices. Their expansion strategy appears clear and focused on strengthening their core businesses.
What are your thoughts on Evergreen Max Cash Capital’s performance? Do you think the company can maintain this growth momentum in the coming quarters? Share your views in the comments section below!
