Mi Material is a focused, top three global niche producer of precision solder spheres — the interconnect balls linking chips, substrates and PCBs. It held 24.0% of the global serviceable solder-sphere market in 2025. Revenue grew at a 28.1% CAGR from FY23–FY25, ahead of the market’s 26.2%.
The earnings inflection is both material and recent. In 1HFY26, revenue rose 109.8% yoy to US$53.7m, while net profit increased 393% to US$14.3m. Management guides to 3Q26 revenue of US$37.8m, up 15.6% qoq, and a 47.5% gross margin.
At S$1.80, the IPO values Mi Material at S$891m. The implied multiples are: 69.5x FY25 EPS; 32.5x trailing 12-month earning to June 2026; 19.6x FY26F and 18.1x FY27F earnings. Our base-case fair value of S$1.85, based on a probability-weighted mix for FY27F EPS, offers limited upside.
Recommendation: NEUTRAL (Not Rated). The franchise is attractive, but the offer price already reflects our base case, while downside would be significant if margins normalise. Stock is expected to start trading on 28 October 2026.
