Friday, May 20, 2011

WCT bids for RM10b projects to expand business, boost earnings

By Sharen Kaur
Published in NST on May 19 2011

Construction and property outfit WCT Bhd has bid for projects worth more than RM10 billion to expand its business and improve earnings.

Chairman Datuk Ahmad Sufian said it has tendered for building and infrastructure projects in Malaysia, the Middle East and Vietnam.

WCT, which has a strong presence in the United Arab Emirates and Qatar, has made inroads into Saudi Arabia and Oman where it expects lucrative government and private sector projects.

In Vietnam, WCT aims to build its retail and hospitality business, which now consists of a mall and hotel in Klang, Selangor, for stable recurring income.

At home, it is expecting some projects under the Economic Transformation Programme and 10th Malaysia Plan, Ahmad Sufian said.

"This is the plan going forward to build our earnings and recurring income," he said after the company's shareholders meeting here yesterday.

Ahmad Sufian said WCT hopes to do better this year, led by new construction and development projects.

WCT has an outstanding construction order book of RM3.7 billion that will last it another two to three years.

On the property development, WCT has projects worth RM7.8 billion in Selangor, Johor and Sabah.

It is expecting RM300 million in new property sales this year, as compared with RM220 million last year.

Ahmad Sufian said WCT's unit WCT Land , which has 120ha in its pocket now, is buying more land in Selangor and the Iskandar region in Johor.

"We have raised RM600 million bonds early this year, which will cater us well for the next three to four years to grow our property investment and property development businesses," he said.

For fiscal 2010, WCT made a net profit of RM141.2 million on a revenue of RM1.71 billion, representing a decrease of four per cent and 63 per cent, respectively.

-ENDS-

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