Latest news with #WCT
The Star
08-07-2025
- Business
- The Star
WCT's order book forecast to grow this year
PETALING JAYA: WCT Holdings Bhd looks set for a more promising earnings trajectory through this year, as analysts turned increasingly positive following the property and construction group's RM365.2mil contract win last week to widen a section of the North-South Expressway in Johor. CGS International Research (CGSI Research) highlighted the significance of the award, describing it as its first win for this year and a potential turning point for the group's order book momentum. 'We reiterate 'add' for its compelling valuation of just 0.3 times 2025 price-to-book value, less than mean levels since 2015, and improving construction and property franchises,' the research house said. However, it lowered its target price to RM1.28 to reflect a smaller order book and enlarged share base after a placement exercise. MIDF Research also struck an upbeat tone, maintaining its 'buy' recommendation for WCT with a target price of 95 sen. 'This award further strengthens WCT's reputation as a seasoned player in highway and civil infrastructure projects and positions the group well to tap into upcoming public-sector packages including the Penang International Airport expansion and future highway corridor upgrades,' the research house said, noting the contract accounted for over one-third of WCT's job replenishment target of RM1bil this year. The 36-month project, awarded by Projek Lebuhraya Usahasama Bhd, covers site clearance, roadworks, bridge construction, and utility relocation work from Sedenak to Simpang Renggam, with work commencing towards the end of this month. With the contract win, WCT's construction order book is expected to rise by 14.6% to RM2.8bil. Kenanga Research welcomed the award as WCT's first major contract win this year, building on a RM249.7mil contract secured last year for the same highway stretch. The research house maintained its 'outperform' call for WCT, with a target price of RM1.25, citing the group's exposure to the impending rollout of various public infrastructure projects such as the Penang International Airport expansion project, Pan Borneo Highway, Subang Airport regeneration plan, and various government hospitals. Public Investment Bank Research said it expects the project to contribute about 2% to 4% annually to the group's earnings over the 36-month contract period' and noted that WCT's unbilled order book had grown 14.6% to RM2.8bil. It kept its 'outperform' rating and RM1.08 target price unchanged, adding the award fell within its order book replenishment assumptions. Beyond job wins, CGSI Research pointed to balance-sheet improvement as another rerating catalyst for WCT, following the listing of Paradigm-REIT and reduction in perpetual sukuk. 'We expect its balance sheet to improve to a net gearing of 0.5 times this year from 0.8 times at end-2024. This leaner balance sheet to be reflected when it releases its second-quarter (2Q25) results in August and serves as a rerating catalyst,' it said. MIDF Research noted that despite a seasonally soft 1Q25, the outlook remained encouraging. 'We have kept our earnings forecasts unchanged, in line with our expectations of stronger job flows ahead. This has been reinforced by the group's recent RM365.2mil contract win, which will progressively support earnings from 2026,' it stated. While WCT's earlier job replenishment pace had been sluggish, CGSI Research highlighted that it was now broadening tenders and aiming for projects including the Penang LRT, airport expansion, and Middle East civil infrastructure.
New Straits Times
07-07-2025
- Automotive
- New Straits Times
WCT's PLUS contract to add up to 4pct to annual earnings
KUALA LUMPUR: WCT Holdings Bhd's new contract to build additional lanes along the Sedenak–Simpang Renggam stretch of the North-South Expressway is expected to add 2–4 per cent to its annual earnings over the 36-month project period. Public Investment Bank Bhd (PublicInvest) said this is WCT's first win of the year and makes up 36.5 per cent of its RM1 billion job replenishment target for financial year 2025 (FY25). "With this job win, WCT's outstanding construction order book is estimated to increase by 14.6 per cent to RM2.8 billion," it said. However, it maintained its current forecasts, as the job win falls within its FY25 order book replenishment assumptions. The RM365.2 million contract, awarded by Projek Lebuhraya Usahasama Bhd, covers the construction of additional lanes along the Yong Peng (North) to Senai (North) stretch, specifically Phase 2 from Sedenak to Simpang Renggam in Johor. The scope of work includes site clearing, demolition, earthworks, drainage, pavement construction, road markings, installation of road furniture, geotechnical works, bridge building, environmental protection measures, utility relocation, road lighting systems, and the extension of vehicular box culverts. This second phase of the highway expansion was announced under Budget 2024, aimed at upgrading the Simpang Renggam-Machap section from four to six lanes to alleviate traffic congestion in the southern corridor.
The Star
07-07-2025
- Business
- The Star
Five-year shield for CRC players
THE government has extended anti-dumping duties on cold rolled coils (CRCs) of iron or non-alloy steel from China and Japan for five more years in a move to protect its domestic steel industry from unfair foreign competition. The extension, from June 23, 2025, to June 22, 2030, is seen as a welcomed move as it will continue to be a buffer for local manufacturers whose margins have been squeezed by a flood of cheaper imports in recent years. Billed as RM9.73 for the 1st month then RM13.90 thereafters. RM12.33/month RM8.63/month Billed as RM103.60 for the 1st year then RM148 thereafters. Free Trial For new subscribers only Trading ideas: Edelteq, WCT, Green Packet, MAG, Capital A, Mudajaya, Mesiniage, MN, Kretam, Kim Hin, TeamStar, ISF
The Star
07-07-2025
- Business
- The Star
Impact analysis as tariff deadline looms
ON Wednesday night, July 9, company owners, investors and politicians will likely be consuming copious amounts of coffee, meticulously analysing scenarios and countermeasures as they anxiously await updates on the US government's stance on tariffs, particularly from President Donald Trump. That is the last day of the 90-day reprieve Trump granted the world before implementing arbitrary tariffs. Billed as RM9.73 for the 1st month then RM13.90 thereafters. RM12.33/month RM8.63/month Billed as RM103.60 for the 1st year then RM148 thereafters. Free Trial For new subscribers only Trading ideas: Edelteq, WCT, Green Packet, MAG, Capital A, Mudajaya, Mesiniage, MN, Kretam, Kim Hin, TeamStar, ISF
New Straits Times
18-06-2025
- Business
- New Straits Times
WCT reaffirms commitment to sustainable financial growth across core divisions
KUALA LUMPUR: WCT Holdings Bhd has reaffirmed its commitment to sustainable financial growth across its core divisions. The company said the engineering and construction division continues to pursue new infrastructure opportunities while improving efficiency, while the property development division is supported by a healthy project pipeline, including upcoming property launches at W City Larkinton in Johor Bahru and WCity OUG, Kuala Lumpur. "Strong domestic spending and a rebound in tourist arrivals are expected to continue driving growth across the group's retail mall operations, particularly at its airport malls as well as in the hospitality and business aviation segments," it said in a statement released after the company's annual general meeting (AGM) today. WCT noted that the continued recovery in travel and tourism supported by national initiatives such as Visit Malaysia 2026 positions the group's hospitality and aviation businesses to strengthen their market presence and diversify revenue streams. The successful listing of Paradigm REIT on June 10, 2025 marks a key milestone in the group's asset monetisation and capital recycling strategy. WCT group managing director Datuk Lee Tuck Fook said, while global economic uncertainties persist, the company remains cautiously optimistic about its prospects. "Our diversified business portfolio and strategic initiatives position us well to navigate challenges and capitalise on emerging opportunities in the year ahead," he said. WCT concluded its 14th AGM today, with all nine resolutions tabled duly passed by its shareholders. -- BERNAMA
