The Return Trends At Malayan United Industries Berhad (KLSE:MUIIND) Look Promising

Simply Wall St

Wed, February 11, 2026 at 10:38 AM GMT+9 3 min read

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If you’re not sure where to start when looking for the next multi-bagger, there are a few key trends you should keep an eye out for. Firstly, we’ll want to see a proven return on capital employed (ROCE) that is increasing, and secondly, an expanding base of capital employed. This shows us that it’s a compounding machine, able to continually reinvest its earnings back into the business and generate higher returns. So when we looked at Malayan United Industries Berhad (KLSE:MUIIND) and its trend of ROCE, we really liked what we saw.

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Return On Capital Employed (ROCE): What Is It?

For those that aren’t sure what ROCE is, it measures the amount of pre-tax profits a company can generate from the capital employed in its business. Analysts use this formula to calculate it for Malayan United Industries Berhad:

Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities)

0.10 = RM204m ÷ (RM2.6b - RM565m) (Based on the trailing twelve months to September 2025).

Thus, **Malayan United Industries Berhad has an ROCE of 10%. ** On its own, that’s a standard return, however it’s much better than the 7.5% generated by the Industrials industry.

Check out our latest analysis for Malayan United Industries Berhad

KLSE:MUIIND Return on Capital Employed February 11th 2026

Historical performance is a great place to start when researching a stock so above you can see the gauge for Malayan United Industries Berhad’s ROCE against it’s prior returns. If you’d like to look at how Malayan United Industries Berhad has performed in the past in other metrics, you can view this free graph of Malayan United Industries Berhad’s past earnings, revenue and cash flow.

What Can We Tell From Malayan United Industries Berhad’s ROCE Trend?

We’re delighted to see that Malayan United Industries Berhad is reaping rewards from its investments and is now generating some pre-tax profits. The company was generating losses five years ago, but now it’s earning 10% which is a sight for sore eyes. In addition to that, Malayan United Industries Berhad is employing 80% more capital than previously which is expected of a company that’s trying to break into profitability. This can tell us that the company has plenty of reinvestment opportunities that are able to generate higher returns.

The Key Takeaway

Overall, Malayan United Industries Berhad gets a big tick from us thanks in most part to the fact that it is now profitable and is reinvesting in its business. And since the stock has fallen 44% over the last five years, there might be an opportunity here. So researching this company further and determining whether or not these trends will continue seems justified.

Story Continues  

On a final note, we found ** 2 warning signs for Malayan United Industries Berhad** (1 can’t be ignored) you should be aware of.

While Malayan United Industries Berhad may not currently earn the highest returns, we’ve compiled a list of companies that currently earn more than 25% return on equity. Check out this free list here.

Have feedback on this article? Concerned about the content? Get in touch** with us directly.**_ Alternatively, email editorial-team (at) simplywallst.com._

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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