REDtone Digital Bhd (XKLS:0032) Debt-to-Equity: 0.11 (As of Mar. 2026) — 120% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

XKLS:0032 REDtone Digital Bhd XKLS:0032
54 GF Score
Price RM0.32
GF Value RM0.86
Valuation Significantly Undervalued
! 9 Warning Signs
View Full Analysis

What is REDtone Digital Bhd Debt-to-Equity?

REDtone Digital Bhd XKLS:0032 54 Debt-to-Equity is 0.11 as of Mar. 2026, which is 120% above its 10-year median of 0.05. GuruFocus rates XKLS:0032 with a GF Score™ of 54/100 and a GF Value™ of RM0.86 (Significantly Undervalued). The stock has 9 warning signs investors should review. Among 326 Telecommunication Services companies, REDtone Digital Bhd ranks better than 86.2% on this metric.

REDtone Digital Bhd's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was RM12.7 Mil. REDtone Digital Bhd's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was RM13.9 Mil. REDtone Digital Bhd's Total Stockholders Equity for the quarter that ended in Mar. 2026 was RM242.9 Mil. REDtone Digital Bhd's debt to equity for the quarter that ended in Mar. 2026 was 0.11.

A high debt to equity ratio generally means that a company has been aggressive in financing its growth with debt. This can result in volatile earnings as a result of the additional interest expense.

The historical rank and industry rank for REDtone Digital Bhd's Debt-to-Equity or its related term are showing as below:

XKLS:0032' s Debt-to-Equity Range Over the Past 10 Years
Min: 0.01   Med: 0.05   Max: 0.34
Current: 0.11

During the past 13 years, the highest Debt-to-Equity Ratio of REDtone Digital Bhd was 0.34. The lowest was 0.01. And the median was 0.05.

XKLS:0032's Debt-to-Equity is ranked better than
86.2% of 326 companies
in the Telecommunication Services industry
Industry Median: 0.625 vs XKLS:0032: 0.11

REDtone Digital Bhd  (XKLS:0032) Debt-to-Equity Explanation

In the calculation of Debt to Equity, we use the total of Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation divided by Total Stockholders Equity. In some calculations, Total Liabilities is used to for calculation.


Be Aware

Because a company can increase its ROE % by having more financial leverage, it is important to watch the leverage ratio when investing in high ROE % companies.


REDtone Digital Bhd Debt-to-Equity Related Terms


REDtone Digital Bhd Debt-to-Equity Historical Data

* Premium members only.

The historical data trend for REDtone Digital Bhd's Debt-to-Equity can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

REDtone Digital Bhd Debt-to-Equity Chart

REDtone Digital Bhd Annual Data
Trend May14 May15 Apr17 Apr18 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Debt-to-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.05 0.02 0.02 0.06 0.10

REDtone Digital Bhd Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Debt-to-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.09 0.10 0.11 0.10 0.11

XKLS:0032 vs VZ, TMUS, T: Debt-to-Equity Comparison

For the Telecom Services subindustry, REDtone Digital Bhd's Debt-to-Equity, along with its competitors' market caps and Debt-to-Equity data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


REDtone Digital Bhd Debt-to-Equity vs Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, REDtone Digital Bhd's Debt-to-Equity distribution charts can be found below:

* The bar in red indicates where REDtone Digital Bhd's Debt-to-Equity falls into.


XKLS:0032
54GF Score
REDtone Digital Bhd XKLS:0032
Debt-to-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

REDtone Digital Bhd Debt-to-Equity Calculation

Debt to Equity measures the financial leverage a company has.

REDtone Digital Bhd's Debt to Equity Ratio for the fiscal year that ended in Jun. 2025 is calculated as

REDtone Digital Bhd's Debt to Equity Ratio for the quarter that ended in Mar. 2026 is calculated as

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Debt-to-Equity →
What does a Debt-to-Equity of 0.11 mean?
REDtone Digital Bhd (XKLS:0032) has a Debt-to-Equity of 0.11 as of Mar. 2026. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on REDtone Digital Bhd and its competitors. This is 120% above median its historical median of 0.05. Over the past decade, REDtone Digital Bhd's Debt-to-Equity has ranged from 0.01 to 0.34. According to the industry distribution chart, REDtone Digital Bhd ranks #45 out of 326 companies in the Telecommunication Services industry, placing it in the top 13.8%.
Is REDtone Digital Bhd's Debt-to-Equity too high?
REDtone Digital Bhd's current Debt-to-Equity of 0.11 is 120% above median its 10-year median of 0.05. Over the past 10 years, this metric has ranged from a low of 0.01 to a high of 0.34. The Telecommunication Services industry median Debt-to-Equity is 0.63. REDtone Digital Bhd's value of 0.11 is 82.4% below this industry median. Based on the distribution chart, REDtone Digital Bhd ranks #45 out of 326 companies in the Telecommunication Services industry, which is in the top quartile — a strong position relative to peers. Overall, REDtone Digital Bhd has a GF Score™ of 54/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does REDtone Digital Bhd's Debt-to-Equity compare to VZ and TMUS?
According to the Telecommunication Services industry distribution chart, REDtone Digital Bhd ranks #45 out of 326 companies for Debt-to-Equity. This places REDtone Digital Bhd in the top 14% of its industry — outperforming the majority of peers. The industry median Debt-to-Equity is 0.63. REDtone Digital Bhd's value of 0.11 is 82.4% below this benchmark. Historically, REDtone Digital Bhd's own Debt-to-Equity has ranged from 0.01 to 0.34 over the past decade. While the company's 10-year median is 0.05 vs. the industry median of 0.63, REDtone Digital Bhd has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Debt-to-Equity for a Telecommunication Services company?
The median Debt-to-Equity among Telecommunication Services companies is 0.63, based on 326 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-Equity significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. REDtone Digital Bhd's current Debt-to-Equity of 0.11 is 82.4% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Debt-to-Equity mean?
A high Debt-to-Equity can signal that a stock is expensive relative to its fundamentals. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on REDtone Digital Bhd and its competitors. For the Telecommunication Services industry, the median Debt-to-Equity is 0.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. REDtone Digital Bhd's current Debt-to-Equity is 0.11, which is 120% above median its own 10-year median of 0.05. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is REDtone Digital Bhd stock overvalued right now?
Based on GuruFocus' analysis, REDtone Digital Bhd (XKLS:0032) is currently considered Significantly Undervalued. The stock's GF Value™ is RM0.86, compared to a current price of RM0.32 — trading 63.4% below its estimated fair value. The current Debt-to-Equity is 0.11, which is 120% above median its 10-year median of 0.05 and 82.4% below the Telecommunication Services industry median of 0.63. REDtone Digital Bhd's overall GF Score™ is 54/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-Equity calculated?
Debt-to-Equity is calculated from a company's financial statements. For REDtone Digital Bhd (XKLS:0032), the current Debt-to-Equity is 0.11 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is REDtone Digital Bhd (XKLS:0032) Overvalued in 2026?

Based on GuruFocus' analysis, REDtone Digital Bhd stock appears to be undervalued. The current stock price of RM0.32 is trading 63.4% below its estimated GF Value™ of RM0.86. GuruFocus considers REDtone Digital Bhd to be Significantly Undervalued.

Key valuation signals for XKLS:0032:

  • Debt-to-Equity: 0.11 (120% above median its 10-year median of 0.05)
  • GF Value™: RM0.86 vs. price of RM0.32 (63.4% below fair value)
  • GF Score™: 54/100 with 9 warning signs
  • Industry Position: 82.4% below the Telecommunication Services median (#45 of 326)

No single metric tells the full story. See the XKLS:0032 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


REDtone Digital Bhd Business Description

Address IOI Business Park, Suite 22-30, 5th Floor, Puchong, SGR, MYS, 47100
REDtone Digital Bhd is a digital infrastructure and services provider operating through three segments: Telecommunication Services, offering data, managed network services, Cloud PBX, SIP Trunking, managed cybersecurity, and Starlink satellite connectivity; Managed Telecommunications Network Services, strengthening Malaysia's digital infrastructure in underserved and rural areas, supporting initiatives like Kampung Tanpa Wayar, Time-3, and JENDELA; and Cloud, Artificial Intelligence, and Internet of Things, providing cloud-first, AI-powered, and IoT-enabled solutions including AI Agents, smart farming, and SaaS CRM platforms. The company generates majority of its revenue from the Managed Telecommunications Network Services segment and operates in Malaysia.
54GF Score

Get the complete analysis for XKLS:0032

Debt-to-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

RM0.32
Price
RM0.86
GF Value