Main market listed, Lien Hoe Corporation Berhad has received an unmodified audit opinion for its financial year ended 31 December 2025, although auditors highlighted a material uncertainty related to the group’s ability to continue as a going concern.
The company said its independent auditors, UHY Malaysia PLT, drew attention to financial pressures facing the group, including a net loss of RM9.6 million for the year and a net current liability position of RM19.7 million, where current liabilities exceed current assets.
The auditors noted that these conditions, alongside other factors outlined in the financial statements, may cast significant doubt on the group’s ability to continue operating as a going concern. However, the audit opinion itself was not modified.
The auditors also confirmed that there were no key audit matters to be highlighted for the financial year.
Despite the concerns, Lien Hoe’s board maintains that preparing the financial statements on a going concern basis remains appropriate, citing several ongoing and planned measures to stabilise operations.
These include efforts to boost revenue in its hotel segment through targeted promotions, particularly focusing on domestic tourism and the meetings, incentives, conventions and exhibitions (MICE) market.
The group is also pursuing the disposal of non-strategic or low-yielding land assets, while continuing to engage with financial institutions to secure banking facilities.
In addition, the company said it continues to receive financial support from its major shareholder, which is expected to provide further stability.
The board said it is actively working to implement these initiatives to improve the group’s
