Mlabs Systems Bhd said it expects to substantially resolve the issue that resulted in a qualified audit opinion on its financial statements for the financial period ended Sept 30, 2025, before the release of its next annual report.
The company said its external auditor, Nexia SSY PLT, had issued a qualified opinion due to limitations in obtaining sufficient audit evidence relating to the acquisition of quoted equity securities following the redemption of deposits placed with foreign securities companies.
According to Mlabs, the auditors were unable to obtain certain primary supporting documents required to complete their audit verification procedures, despite the company maintaining records such as Combined Daily Statements of Account, Contract Notes and Monthly Statements covering the transactions.
The company said the qualification was not due to the absence of transaction records, but because additional corroborative evidence was required by the auditors.
To address the matter, Mlabs is in the process of opening a direct Central Depository System (CDS) account in Malaysia. The company plans to transfer its portfolio of quoted securities, which are currently held under nominee arrangements, into the local CDS account.
The Company on 3 July 2026 submitted its outstanding Annual Report that includes the annual audited financial statements together with the auditors’ and directors’ reports in respect of the financial period ended 30 September 2025 to Bursa Malaysia Securities Berhad.
In view of the above, kindly be advised that trading in the Company’s securities will be uplifted with effect from 9.00 a.m., Monday, 6 July 2026.
