KUCHING: Sarawak Consolidated Industries Bhd (SCIB) is to leverage its capabilities to explore untapped markets for its precast concrete products and industrialised building system (IBS) components, according to its chairman Abang Abdillah Izzarim Datuk Patinggi Abang Johari.
He said SCIB is a front-runner in precast concrete and IBS manufacturing in East Malaysia.
“Our trio of state-of-the-art manufacturing facilities, positioned strategically around Kuching, Sarawak, boast a combined annual capacity of 500,000 tonnes.
This place us in a prime position to take on larger, more intricate projects.
“Our vision for the upcoming year centres around diversification and ingenuity,” he added in the company’s 2023 annual report.
Abang Abdillah said the government’s emphasis on infrastructure projects, particularly the Pan Borneo Highway, is a driving force for the domestic construction sector.
“This aligns seamlessly with SCIB’s core strengths, especially in engineering, procurement, construction and commissioning (EPCC) contracts and our expansive building materials portfolio. We view this government initiative as a pivotal stepping stone that could usher in a plethora of opportunities for us in the forthcoming financial year,” he added.
He said SCIB secured construction contracts worth a total of RM373.4 million as of Sept 30, 2023, adding that the resilience of its business model is further evident in its robust construction order book balance at RM264.9 million.
These numbers, according to him, are testament to SCIB’s sturdy business framework and augur well for a promising future.
For financial year 2023 (FY2023), Abang Abdillah posted higher revenue of RM132 million against RM128.4 million in FY2022. Year-on-year, the group managed to cut its after-tax loss to RM23.6 million from RM43.8 million recorded in FY2022.
“The notable gross profit of RM6.5 million we achieved in the quarter ended June 2023 further underscores our operational prowess.
We interpret these results as positive indicators of SCIB’s enduring financial health amidst global uncertainties,” he said. SCIB group managing director/ CEO Ku Chong Hong said the group’s gross profit surged to RM22 million in FY2023 from RM16.1 million in FY2022.
“The augmentation in revenue and profitability across pivotal segments was propelled by augmented sales of foundation piles and inauguration of two new educational projects.
“Our zealous endeavour in obtaining small-to-mid-sized construction contracts, coupled with the upturn in Sarawak’s construction sector and China’s generous RM170 billion investment pledge, augur well for SCIB.
“Further attesting to our sound financial stewardship, the company reinforced its fiscal standing with a private placement that yielded approximately RM12.76 million in gross proceeds,” said Ku.
On Sept 7, 2023, he said subsidiary SCIB Industrialised Building System Sdn Bhd completed and handed over two educational facilities in Kanowit near Sibu.
This was part of the second phase of the RM1 billion Daif School redevelopment project, specifically Package 13, valued at RM12.1 million. During FY2023, SCIB IBS also secured a RM20.7 million contract to refurbish sekolah daif in Tebedu, Serian, and a RM16.8 million subcontract from Majestika Sdn Bhd for the construction of SK Tambay in Kota Samarahan.
“Our IBS products epitomise efficiency, ensuring swift, costeffective and top-tier outcomes. Last August, we celebrated a milestone when our 3D printer crafted a prototype single-storey house at CIDB Sarawak.
“We are eager to further delve into the potential of integrating 3D construction with IBS, hand in hand with Construction Industry Development Board (CIDB),” said Ku.
In Peninsular Malaysia, Ku said the group won a EPCC contract worth RM8.3 million to construct housing in Bachok, Kelantan. Ku said as the world pivots to globalisation and digitalisation, SCIB is poised to seize emerging opportunities.
“We have recently partnered with IRIX Sdn Bhd, entering the telecom infrastructure sector — a sector pivotal to the Fourth Industrial Revolution.
This RM250 million estimated value of project partnership with IRIX is a pivotal part of our diversification strategy. “Additionally, our collaboration with PT MRT Jakarta amplifies SCIB’s commitment to global sustainable urban development.
Venturing into Indonesia, this partnership focuses on improving urban mobility in Jarkata, resonating with SCIB’s vision of fostering sustainable, smart urban habitats.
“These international collaborations are meticulously aligned with SCIB’s long-term strategic imperatives, designed to fortify our competitive edge through diversified infrastructure development.
The initiatives stand as gleaming exemplars of SCIB’s capability to blend commercial viability with social responsibility, both domestically and internationally,” he added.
