Baku:Shares of Critical Holdings Bhd experienced a 4.61 percent drop in early trading on Wednesday, notwithstanding the company securing an additional RM74.1 million in contracts for cleanroom-related work at Kulim Hi-Tech Park, Kedah.

According to BERNAMA News Agency, the contract's total value has now risen to RM226.68 million, up from RM152.59 million, due to a revised work scope. Despite this boost, the stock fell nine sen to RM2.73 by 10.25 am, with 968,500 shares changing hands.

MBSB Investment Bank Bhd (MBSB IB) forecasts that the additional contract value will contribute an extra RM6.7 million to Critical's earnings for the financial year 2027 (FY2027). The bank views the variation order as strengthening Critical's relationship with a key customer, who previously awarded a RM772.5 million EPCC contract in June 2026. Together, these contracts total approximately RM999.2 million.

While acknowledging the increased customer concentration risk, MBSB IB considers it a byproduct of Critical's expansion into large-scale EPCC projects. The bank anticipates this risk will diminish as Critical expands its EPCC track record, diversifies its customer base, and secures substantial contracts from other clients.

MBSB IB estimates that Critical's outstanding order book has grown to RM1.06 billion, primarily consisting of plantroom projects (74.0 percent) and cleanroom projects (21.9 percent). Data center and maintenance jobs make up approximately 3.5 percent and 0.7 percent, respectively. The bank has maintained its 'Buy' recommendation and increased its target price from RM2.94 to RM3.54.