This article first appeared in The Edge Malaysia Weekly on February 2, 2026 - February 8, 2026

Sunview Group Bhd’s (KL:SUNVIEW) massive swing from profit to loss in its unaudited and audited financial figures comes as a negative surprise..

For the 18 months ended Sept 30, 2025 (FPE2025), the ACE Market-listed solar solutions provider reported an audited net loss of RM70.29 million, a whopping 994% deviation from the RM7.86 million net profit previously disclosed in its unaudited accounts.

It attributed the discrepancy to contract costs that were capitalised in prior periods for projects that were “pending award” but ultimately failed to materialise. Once it became clear these contracts would not proceed, the costs were deemed unrecoverable and expensed in full.

While the accounting explanation may be technically defensible, it raises uncomfortable questions. Why were such material costs capitalised before contracts were secured? And why did it take until the audit stage for management to conclude that the projects were unlikely to proceed? At best, this points to weak project assessment and overly aggressive accounting judgement; at worst, it suggests poor internal controls over financial reporting.

The timing is particularly troubling.

Just last month, Sunview announced plans to raise up to RM19.02 million via a private placement to fund working capital requirements, despite having already raised nearly RM90 million since its 2022 listing through its initial public offering and two equity exercises. AskEdge data also shows that Sunview’s net gearing of 0.7 times is the highest among its peers.

Since announcing its unaudited results on Nov 28, 2025, the stock has slid 10.4% from 38.5 sen to close at 34.5 sen last Friday. Selling pressure intensified during Friday’s session, with shares plunging as much as 15.7% to an intra-day low of 29.5 sen

With trust damaged and dilution fatigue setting in, investors may not be done selling. The bigger question now is whether Sunview can restore confidence or whether this episode marks a turning point in how the market values its governance and execution risk.

Save by subscribing to us for your print and/or digital copy.

P/S: The Edge is also available on Apple's App Store and Android's Google Play.