Is Sime Darby (4197) Halal?
Shariah Screening — 5 Standards
Based on financial data from June 2025
| Standard | Debt Ratio | Cash Ratio | Receivables | Income | Status |
|---|---|---|---|---|---|
| AAOIFI | 57.1% / 30% | 20.4% / 30% | 45.0% / 30% | 0.15% / 5% | ✗ NOT HALAL |
| DJIM | 57.1% / 33% | 20.4% / 33% | 45.0% / 33% | 0.15% / 5% | ✗ NOT HALAL |
| MSCI | 20.2% / 33% | 7.2% / 33% | 15.9% / 33% | 0.15% / 5% | ✓ HALAL |
| S&P | 57.1% / 33% | 20.4% / 33% | 45.0% / 33% | 0.15% / 5% | ✗ NOT HALAL |
| FTSE | 20.2% / 33% | 7.2% / 33% | 15.9% / 50% | 0.15% / 5% | ✓ HALAL |
Financial Highlights
Profitability
| Gross Margin | 15.0% | |
| Operating Margin | 3.2% | |
| Net Margin | 2.5% | |
| Return on Equity (ROE) | 9.1% | |
| Return on Assets (ROA) | 2.0% |
Cash Flow & Balance Sheet
| Operating Cash Flow | $5.3B |
| Free Cash Flow | $4.2B |
| Total Debt | $9.6B |
| Debt-to-Equity | 37.6 |
| Current Ratio | 1.5 |
| Total Assets | $47.4B |
Price & Trading
| Last Close | MYR 2.37 |
| 50-Day MA | MYR 2.30 |
| 200-Day MA | MYR 2.02 |
| Avg Volume | 15.0M |
| Beta | 0.2 |
|
52-Week Range
MYR 1.56
| |
About Sime Darby (4197)
Sime Darby Berhad, together with its subsidiaries, provides automotive and industrial equipment in Malaysia, China, Australasia, and the Asia Pacific. It operates through Industrial, Motors, UMW, and Others segments. The company sells new and used heavy equipment sales and power systems; equipment rental; other rental services; product support; industrial solutions; and distributes Caterpillar products for resources, infrastructure, maritime, power generation, oil and gas, material handling, and agriculture companies. It also offers vehicle importation and assembly; vehicle rental; distribution and retail; and after-sales services for end consumers, corporate fleet clients, automotive dealers, rental customers, and brand principals. In addition, the company engages in vehicle manufacturing and distribution; material handling and marine equipment services; production of automotive parts and lubricants; and manufacture and supply of aero fan cases for automotive consumers, industry players, industrial, and aerospace markets. Further, it is involved in insurance broking and other general investments; marketing, installation, rental, and servicing of security products; vocational training programmes; designing and manufacturing of heat exchangers, radiators, process equipment modules, filters, and separators; sale and distribution of lift trucks and spare parts; technology hardware and software for heavy and highway construction applications; distribution of Perkins engine products; chroming and hydraulic repairs; labour hire/contracting; and property holding and investment. The company was founded in 1910 and is headquartered in Petaling Jaya, Malaysia.
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Frequently Asked Questions
Is Sime Darby (4197) halal to invest in?
Based on our screening using AAOIFI Standard 21 (the strictest methodology), Sime Darby is Not Halal. The company fails one or more screening criteria. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.
What is Sime Darby's debt ratio?
Sime Darby's debt ratio is 57.1% under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%. Under MSCI and FTSE (which use total assets as the denominator), the debt ratio is 20.2%.
What are Sime Darby's key financial metrics?
Sime Darby has a market capitalization of $15.8B, trailing P/E ratio of 9.3, and revenue of $70.1B. The company maintains a gross margin of 15.0% and a net margin of 2.5%. Return on equity stands at 9.1%.
How often is the screening data updated?
Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.
Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.