KESM Industries Bhd (XKLS:9334) Return-on-Tangible-Equity: 1.41% (As of Apr. 2026) — 27% Above Median

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XKLS:9334 KESM Industries Bhd XKLS:9334
81 GF Score
Price RM4.08
GF Value RM3.89
Valuation Fairly Valued
! 2 Warning Signs
View Full Analysis

What is KESM Industries Bhd Return-on-Tangible-Equity?

KESM Industries Bhd XKLS:9334 +2.00% 81 Return-on-Tangible-Equity is 1.41% as of Apr. 2026, which is 27% above its 10-year median of 1.11. GuruFocus rates XKLS:9334 with a GF Score™ of 81/100 and a GF Value™ of RM3.89 (Fairly Valued). The stock has 2 warning signs investors should review. Among 985 Semiconductors companies, KESM Industries Bhd ranks worse than 60% on this metric.

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. KESM Industries Bhd's annualized net income for the quarter that ended in Apr. 2026 was RM4.8 Mil. KESM Industries Bhd's average shareholder tangible equity for the quarter that ended in Apr. 2026 was RM341.9 Mil. Therefore, KESM Industries Bhd's annualized Return-on-Tangible-Equity for the quarter that ended in Apr. 2026 was 1.41%.

The historical rank and industry rank for KESM Industries Bhd's Return-on-Tangible-Equity or its related term are showing as below:

XKLS:9334' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -2.37   Med: 1.11   Max: 14.29
Current: 2.02

During the past 13 years, KESM Industries Bhd's highest Return-on-Tangible-Equity was 14.29%. The lowest was -2.37%. And the median was 1.11%.

XKLS:9334's Return-on-Tangible-Equity is ranked worse than
60% of 985 companies
in the Semiconductors industry
Industry Median: 5.24 vs XKLS:9334: 2.02

KESM Industries Bhd  (XKLS:9334) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.


KESM Industries Bhd Return-on-Tangible-Equity Related Terms


KESM Industries Bhd Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for KESM Industries Bhd's Return-on-Tangible-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.

KESM Industries Bhd Return-on-Tangible-Equity Chart

KESM Industries Bhd Annual Data
Trend Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23 Jul24 Jul25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.04 0.46 -0.87 0.05 -2.37

KESM Industries Bhd Quarterly Data
Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26 Apr26
Return-on-Tangible-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 -1.04 0.26 2.18 4.23 1.41

XKLS:9334 vs NVDA, AVGO, MU: Return-on-Tangible-Equity Comparison

For the Semiconductors subindustry, KESM Industries Bhd's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-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.


KESM Industries Bhd Return-on-Tangible-Equity vs Semiconductors Industry

For the Semiconductors industry and Technology sector, KESM Industries Bhd's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where KESM Industries Bhd's Return-on-Tangible-Equity falls into.


XKLS:9334
81GF Score
KESM Industries Bhd XKLS:9334
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

KESM Industries Bhd Return-on-Tangible-Equity Calculation

KESM Industries Bhd's annualized Return-on-Tangible-Equity for the fiscal year that ended in Jul. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Jul. 2025 )  (A: Jul. 2024 )(A: Jul. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Jul. 2025 )  (A: Jul. 2024 )(A: Jul. 2025 )
=-8.185/( (352.677+339.169 )/ 2 )
=-8.185/345.923
=-2.37 %

KESM Industries Bhd's annualized Return-on-Tangible-Equity for the quarter that ended in Apr. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Apr. 2026 )  (Q: Jan. 2026 )(Q: Apr. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Apr. 2026 )  (Q: Jan. 2026 )(Q: Apr. 2026 )
=4.836/( (340.871+342.901)/ 2 )
=4.836/341.886
=1.41 %

* 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.

In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Apr. 2026) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of 1.41% mean?
KESM Industries Bhd (XKLS:9334) has a Return-on-Tangible-Equity of 1.41% as of Apr. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on KESM Industries Bhd and its competitors. This is 27% above median its historical median of 1.11. According to the industry distribution chart, KESM Industries Bhd ranks #591 out of 985 companies in the Semiconductors industry, placing it in the top 60%.
Is KESM Industries Bhd's Return-on-Tangible-Equity too high?
KESM Industries Bhd's current Return-on-Tangible-Equity of 1.41% is 27% above median its 10-year median of 1.11. The Semiconductors industry median Return-on-Tangible-Equity is 5.24. KESM Industries Bhd's value of 1.41% is 73.1% below this industry median. Based on the distribution chart, KESM Industries Bhd ranks #591 out of 985 companies in the Semiconductors industry, which is below the industry midpoint. Overall, KESM Industries Bhd has a GF Score™ of 81/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does KESM Industries Bhd's Return-on-Tangible-Equity compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, KESM Industries Bhd ranks #591 out of 985 companies for Return-on-Tangible-Equity. This places KESM Industries Bhd in the lower half of its industry. The industry median Return-on-Tangible-Equity is 5.24. KESM Industries Bhd's value of 1.41% is 73.1% below this benchmark. While the company's 10-year median is 1.11 vs. the industry median of 5.24, KESM Industries 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 Return-on-Tangible-Equity for a Semiconductors company?
The median Return-on-Tangible-Equity among Semiconductors companies is 5.24, based on 985 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. KESM Industries Bhd's current Return-on-Tangible-Equity of 1.41% is 73.1% 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 Return-on-Tangible-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on KESM Industries Bhd and its competitors. For the Semiconductors industry, the median Return-on-Tangible-Equity is 5.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. KESM Industries Bhd's current Return-on-Tangible-Equity is 1.41%, which is 27% above median its own 10-year median of 1.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is KESM Industries Bhd stock overvalued right now?
Based on GuruFocus' analysis, KESM Industries Bhd (XKLS:9334) is currently considered Fairly Valued. The stock's GF Value™ is RM3.89, compared to a current price of RM4.08 — trading 4.9% above its estimated fair value. The current Return-on-Tangible-Equity is 1.41%, which is 27% above median its 10-year median of 1.11 and 73.1% below the Semiconductors industry median of 5.24. KESM Industries Bhd's overall GF Score™ is 81/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For KESM Industries Bhd (XKLS:9334), the current Return-on-Tangible-Equity is 1.41% as of Apr. 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 KESM Industries Bhd (XKLS:9334) Overvalued in 2026?

Based on GuruFocus' analysis, KESM Industries Bhd stock appears to be overvalued. The current stock price of RM4.08 is trading 4.9% above its estimated GF Value™ of RM3.89. GuruFocus considers KESM Industries Bhd to be Fairly Valued.

Key valuation signals for XKLS:9334:

  • Return-on-Tangible-Equity: 1.41% (27% above median its 10-year median of 1.11)
  • GF Value™: RM3.89 vs. price of RM4.08 (4.9% above fair value)
  • GF Score™: 81/100 with 2 warning signs
  • Industry Position: 73.1% below the Semiconductors median (#591 of 985)

No single metric tells the full story. See the XKLS:9334 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


KESM Industries Bhd Business Description

Address 17 Jalan SS7/26, 802, 8th Floor, Block C, Kelana Square, Petaling Jaya, SGR, MYS, 47301
KESM Industries Bhd operates through a single business segment, providing essential burn-in and testing services that ensure the reliability of semiconductors, including microprocessors, microcontrollers, and advanced sensors. Serving the semiconductor industry, the company's products support technologies across the automotive, industrial, consumer, and commercial sectors internationally. Its customer base spans key markets in the United States, Europe, and the Asia Pacific, with sales concentrated mainly in Malaysia, the People's Republic of China, Singapore, and other regions, and the majority of revenue comes from Malaysia.
81GF Score

Get the complete analysis for XKLS:9334

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

RM4.08
Price
RM3.89
GF Value