Latest news with #RM29.1
The Sun
04-07-2025
- Business
- The Sun
Sarawak trade hits RM198.7 billion with RM71.1 billion surplus in 2024
KUCHING: Sarawak achieved a total trade value of RM198.7 billion in 2024, marking a 2.7 per cent increase from the previous year. The state also recorded a trade surplus of RM71.1 billion, up 4.2 per cent, despite global economic uncertainties. Higher commodity prices, particularly crude palm oil, and strong demand for liquefied natural gas (LNG) and crude petroleum were key contributors to this growth. Exports rose by 3.1 per cent to RM134.9 billion, while imports increased by 1.9 per cent to RM63.8 billion. Japan and China remained Sarawak's top export destinations, accounting for 35.1 per cent of total exports. Shipments to Japan reached RM29.1 billion, led by LNG (RM25.4 billion), wood products (RM1.4 billion), and iron and steel (RM0.8 billion). Exports to China, however, dipped slightly to RM18.2 billion, with LNG (RM13.5 billion) and palm oil (RM0.9 billion) as major contributors. Other significant markets included South Korea, Peninsular Malaysia, and India. The Department of Statistics Malaysia (DoSM) attributed the state's resilient performance to stable global demand despite geopolitical tensions. - Bernama
New Straits Times
30-05-2025
- Business
- New Straits Times
Southern Cable likely frontrunner for next wave of data centre cable jobs
KUALA LUMPUR: Southern Cable Group Bhd is poised to clinch a major share of the next wave of power cable contracts linked to at least 10 electricity supply agreements (ESAs) for data centre projects, said an analyst. This follows Tenaga Nasional Bhd's (TNB) recent announcement of five signed ESAs for data centres totalling 666 megawatts (MW) in the first quarter of this year, with another 10 contracts expected to be signed by year-end. Apex Securities analyst Tan Sue Wen said the surge in demand for medium- and high-voltage (MV and HV) power cables is expected to benefit Southern Cable, which operates in a segment with limited competition. "With its entrenched position in the MV and HV cable segments, and limited competition in this space, Southern Cable is well-positioned to capture a large portion of these upcoming infrastructure opportunities," she said in a note. Besides its role in domestic infrastructure, Tan said Southern Cable is also seen as a beneficiary of United States-bound exports, being one of the few local cable suppliers with distribution access to the American market. Apex Securities has raised its earnings forecast for Southern Cable by 21 per cent across financial years 2025 to 2027, citing robust margin expansion and resilient demand for power cables. The group's power segment, which accounts for the bulk of its revenue, saw gross profit more than double year-on-year in the first quarter ended March 31, 2025, as demand for MV and HV cables surged. These products made up over 30 per cent of the segment's revenue during the quarter, according to the research firm. Excluding a one-off forex loss, core net profit rose 113.7 per cent to RM29.1 million in the quarter, accounting for 28 per cent of the full-year forecast, a performance it described as exceeding expectations. "We expect stronger performance in the remaining quarters of the financial year. The outperformance was largely due to stronger-than-anticipated margins of power cables and wires in the power segment," it said. Southern Cable has RM1.3 billion worth of orders in hand, about 90 per cent of which are for power cables, which Apex Securities believes provides solid earnings visibility for the rest of the year. In line with the revised earnings outlook, the firm raised its target price for the group to RM1.72 from RM1.42 and reiterated a 'Buy' call, noting the stock's undemanding valuation at 12 times 2025 forecast earnings. "Risks to the outlook include a spike in raw material prices such as copper and steel, and the potential failure to secure new contracts," it added.
