KUALA LUMPUR (Nov 23): Bursa Malaysia has issued an unusual market activity query to Genetec Technology Bhd, which was the most active stock on the exchange today, following the recent spike in its share price and volume.

The counter gained as much as 5.5 sen or 24% to touch a high of 28 sen today, after some 151.91 million shares were exchanged. The stock was the most active stock on the exchange.

At the end of trading hours, it settled at 27 sen, still up 20% or 4.5 sen, giving it a market capitalisation of RM71.9 million.

The stock has been climbing since Nov 16, when it was trading at just 19 sen per share. It has gained 42.1% since.

In a statement today, the bourse instructed the company to disclose any unannounced corporate development, rumour, report or any other possible explanation for the unusual trading of its shares.

"In order for investors to be able to make informed investment decisions, you are requested to respond, after making due enquiry with your directors, major shareholders and such other relevant persons, to the following queries immediately for public release in accordance with Rule 9.11 of ACE Market Listing Requirements," said the exchange.

Meanwhile, it is noted that several directors of Genetec had recently reduced their stakes in the company, with managing director Chin Kem Weng and executive director Tan Moon Teik disposing of 3 million shares (0.853% stake) and 1.5 million shares (0.426% stake) respectively at 22.5 sen apiece on the open market on Nov 19, based on a filing dated Nov 20.

Meanwhile, Ong Phoe Be, who is alternate director to independent non-executive director Chen Khai Voon, had disposed of 500,000 shares or a 0.142% stake at 23.5 sen per share on the open market.

For the second quarter ended Sept 30, 2015 (2QFY16), Genetec saw a 447% surge in its net profit to RM3.16 million, from RM577,000 in 2QFY15, while revenue jumped 41% to RM38.78 million, from RM27.46 million a year ago.

For the half-year period to Sept 30 (1HFY16), net profit soared to RM7.66 million from RM998,000 in the previous year — primarily due to higher sales and a recognition of foreign exchange gain. Revenue for the period was up 59% at RM92.62 million compared to RM58.11 million.

(Note: The Edge Research's fundamental score reflects a company's profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)