PERTAMA Digital Bhd has reassured investors that it remains strong and well-positioned for sustainable growth, despite a sharp drop in its stock price.

Earlier today, Pertama Digital’s shares hit a two-year low, triggering a limit down.

The stock fell by 30%, losing 48 sen to settle at RM1.12.

Bursa Malaysia responded by suspending the company’s intraday short selling for the rest of the day after a decline of more than 15% from the reference price.

The company said that it has reversed its previous quarter’s negative results, attributing this to the strong performance of new product lines, which have significantly contributed to its financial recovery.

Its ED Sabri Ab Rahman expressed confidence in the company’s direction, attributing the positive turnaround to cost-saving measures and operational efficiencies.

“We’ve also completed a strategic cost-cutting exercise and streamlined our operations to ensure healthy cash flow. Today, we are operating more efficiently and are well-positioned to deliver sustainable growth without the need for external funding,” Sabri said in a statement today.

He added that the company’s innovative digital offerings have also played a role in boosting its performance and driving the business forward.

Pertama Digital also announced that it has received an extension of time from Bursa Malaysia to submit its regularisation plan by the first week of February 2025.

This additional time will allow the company to complete key initiatives, including the acquisition of a controlling stake in Kridentia Tech Sdn Bhd (KT).

“This acquisition is pivotal for our growth projections for 2025. KT’s proven track record and capabilities align seamlessly with our vision, and we are eager to finalise this deal as part of our broader regularisation plan. We expect to submit the full plan before the end of this year, well ahead of the extended deadline,” Sabri added.

Sabri, who recently took on the role of executive director, is working closely with Joshua Smith, CEO of Dapat Vista, who was instrumental in developing the company’s flagship eJamin digital bail payment solution, launched in 2020.

Reflecting on the leadership transition, Sabri noted that Pertama Digital’s management team is now stronger than ever.

He acknowledged the departure of Mohd Reza Mohd Hatta from the board, who left before his confirmation period to pursue another opportunity, but clarified that this was part of aligning leadership with the company’s evolving needs.

“We continue to drive forward with a dedicated core team, including Joshua Smith and our board, ensuring strategic continuity and positioning the company for future growth,” Sabri said. — TMR