REDtone Digital Bhd (XKLS:0032) Pretax Margin %: 9.43% (As of Mar. 2026) — 19% Below Median

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XKLS:0032 REDtone Digital Bhd XKLS:0032
49 GF Score
Price RM0.32
GF Value RM0.84
Valuation Significantly Undervalued
! 8 Warning Signs
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What is REDtone Digital Bhd Pretax Margin %?

REDtone Digital Bhd XKLS:0032 +1.61% 49 Pretax Margin % is 9.43% as of Mar. 2026, which is 19% below its 10-year median of 11.66. GuruFocus rates XKLS:0032 with a GF Score™ of 49/100 and a GF Value™ of RM0.84 (Significantly Undervalued). The stock has 8 warning signs investors should review. Among 363 Telecommunication Services companies, REDtone Digital Bhd ranks worse than 66.12% on this metric.

Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. REDtone Digital Bhd's Pre-Tax Income for the three months ended in Mar. 2026 was RM4.9 Mil. REDtone Digital Bhd's Revenue for the three months ended in Mar. 2026 was RM52.3 Mil. Therefore, REDtone Digital Bhd's pretax margin for the quarter that ended in Mar. 2026 was 9.43%.

The historical rank and industry rank for REDtone Digital Bhd's Pretax Margin % or its related term are showing as below:

XKLS:0032' s Pretax Margin % Range Over the Past 10 Years
Min: -6.2   Med: 11.66   Max: 35.73
Current: 2.43


XKLS:0032's Pretax Margin % is ranked worse than
66.12% of 363 companies
in the Telecommunication Services industry
Industry Median: 7.57 vs XKLS:0032: 2.43

REDtone Digital Bhd  (XKLS:0032) Pretax Margin % Explanation

The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.

The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.

It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.

The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.


REDtone Digital Bhd Pretax Margin % Related Terms


REDtone Digital Bhd Pretax Margin % Historical Data

* Premium members only.

The historical data trend for REDtone Digital Bhd's Pretax Margin % 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 Pretax Margin % Chart

REDtone Digital Bhd Annual Data
Trend May14 May15 Apr17 Apr18 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Pretax Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 24.09 35.73 34.94 24.30 10.95

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
Pretax Margin % 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 28.99 -11.37 13.02 7.71 9.43

XKLS:0032 vs VZ, TMUS, T: Pretax Margin % Comparison

For the Telecom Services subindustry, REDtone Digital Bhd's Pretax Margin %, along with its competitors' market caps and Pretax Margin % 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 Pretax Margin % vs Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, REDtone Digital Bhd's Pretax Margin % distribution charts can be found below:

* The bar in red indicates where REDtone Digital Bhd's Pretax Margin % falls into.


XKLS:0032
49GF Score
REDtone Digital Bhd XKLS:0032
Pretax Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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REDtone Digital Bhd Pretax Margin % Calculation

Pretax margin - also known as pretax profit margin is the ratio of Pretax Income divided by net sales or Revenue, usually presented in percent.

REDtone Digital Bhd's Pretax Margin for the fiscal year that ended in Jun. 2025 is calculated as

Pretax Margin=Pre-Tax Income (A: Jun. 2025 )/Revenue (A: Jun. 2025 )
=35.581/324.926
=10.95 %

REDtone Digital Bhd's Pretax Margin for the quarter that ended in Mar. 2026 is calculated as

Pretax Margin=Pre-Tax Income (Q: Mar. 2026 )/Revenue (Q: Mar. 2026 )
=4.931/52.312
=9.43 %

* 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 Pretax Margin % →
What does a Pretax Margin % of 9.43% mean?
REDtone Digital Bhd (XKLS:0032) has a Pretax Margin % of 9.43% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on REDtone Digital Bhd and its competitors. This is 19% below median its historical median of 11.66. According to the industry distribution chart, REDtone Digital Bhd ranks #240 out of 363 companies in the Telecommunication Services industry, placing it in the top 66.1%.
Is REDtone Digital Bhd's Pretax Margin % too high?
REDtone Digital Bhd's current Pretax Margin % of 9.43% is 19% below median its 10-year median of 11.66. The Telecommunication Services industry median Pretax Margin % is 7.57. REDtone Digital Bhd's value of 9.43% is 24.6% above this industry median. Based on the distribution chart, REDtone Digital Bhd ranks #240 out of 363 companies in the Telecommunication Services industry, which is below the industry midpoint. Overall, REDtone Digital Bhd has a GF Score™ of 49/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does REDtone Digital Bhd's Pretax Margin % compare to VZ and TMUS?
According to the Telecommunication Services industry distribution chart, REDtone Digital Bhd ranks #240 out of 363 companies for Pretax Margin %. This places REDtone Digital Bhd in the lower half of its industry. The industry median Pretax Margin % is 7.57. REDtone Digital Bhd's value of 9.43% is 24.6% above this benchmark. While the company's 10-year median is 11.66 vs. the industry median of 7.57, REDtone Digital Bhd has consistently been above 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 Pretax Margin % for a Telecommunication Services company?
The median Pretax Margin % among Telecommunication Services companies is 7.57, based on 363 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. REDtone Digital Bhd's current Pretax Margin % of 9.43% is 24.6% above 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 Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on REDtone Digital Bhd and its competitors. For the Telecommunication Services industry, the median Pretax Margin % is 7.57 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. REDtone Digital Bhd's current Pretax Margin % is 9.43%, which is 19% below median its own 10-year median of 11.66. 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 RM0.84, compared to a current price of RM0.32 — trading 62.5% below its estimated fair value. The current Pretax Margin % is 9.43%, which is 19% below median its 10-year median of 11.66 and 24.6% above the Telecommunication Services industry median of 7.57. REDtone Digital Bhd's overall GF Score™ is 49/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For REDtone Digital Bhd (XKLS:0032), the current Pretax Margin % is 9.43% 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 62.5% below its estimated GF Value™ of RM0.84. GuruFocus considers REDtone Digital Bhd to be Significantly Undervalued.

Key valuation signals for XKLS:0032:

  • Pretax Margin %: 9.43% (19% below median its 10-year median of 11.66)
  • GF Value™: RM0.84 vs. price of RM0.32 (62.5% below fair value)
  • GF Score™: 49/100 with 8 warning signs
  • Industry Position: 24.6% above the Telecommunication Services median (#240 of 363)

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.
49GF Score

Get the complete analysis for XKLS:0032

Pretax Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

RM0.32
Price
RM0.84
GF Value