Kamarulzaman is the new CEO for KTMB

 FILE PIX of KTMB trains

By Sharen Kaur

  Datuk Ir. Kamarulzaman Zainal has been appointed as the new chief executive officer (CEO) for the country’s largest rail service Keretapi Tanah Melayu Bhd, effective October 21, 2019.

  This confirms a report by New Straits Times last week that Kamarulzaman had been tipped to helm KTMB.

  He replaces Mohd Rani who stepped down last month after two years at the helm.

  Kamarulzaman, aged 56, was appointed to the KTMB board on August 1 2016.

  He was senior vice president of industry intelligence at the Malaysian Industry-Government Group for High Technology (MIGHT).

  He will be tasked to help turn around the loss-making national railway company.

  “Let’s wait and see what Kamarulzaman can do for KTMB. He will be attending the Asean Railway CEO’s conference in Bangkok next week where he will be meeting leaders in railway from around the world. It’s a great start for him,” said a person close to him.

  KTMB, owned by the MOF, has been undergoing a restructuring exercise to return to profitability.

  The company has lost more than RM3 billion since it was corporatised in 1992.

  KTMB did post a net profit of between RM9 million and RM15 million from 1993 to 1995.

  The company started to bleed again from 1996 and has been trying for almost two decades to turn around its fortunes.

  Despite the many changes to its top management and injection of funds by the government, KTMB has been unable to turn around.

  An audit conducted in 2011 showed that KTMB had incurred RM100 million in losses, which almost tripled to RM280 million in 2012. In fiscal year 2015, KTMB suffered a net loss of RM226.25 million.

  Low fares are among the main contributing factors that led to KTMB racking up losses.

  The other main contributing factor was KTMB’s high operational cost in maintaining its rail coaches and infrastructure, plus high electricity and diesel consumption, and manpower costs.

  As a result of the deteriorating conditions of KTMB’s rolling stock, coaches and infrastructure in stretches along the east coast and south, nearly 40 per cent of its operating expenses is spent on manpower costs.

  KTMB’s former CEO Sarbini said in early 2017 that the company was technically bankrupt.

  He said that for every ringgit the company made, 80 sen went to staff cost.

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