KUCHING: AIZO Group Bhd’s net loss widened to RM6.02 million for the nine-month period ending December 31, 2024, compared to RM1.1 million in the same period in 2023, as revenue declined to RM87.9 million from RM94.5 million.
The company’s loss per share increased to 0.31 sen from 0.07 sen. AIZO has also changed its financial year-end to June 30.
For the third quarter ending December 31, 2024 (3QFY2025), AIZO posted a group net loss of RM2.16 million, a sharp decline from RM167,000 in 3QFY2024, in line with reduced revenue of RM30.82 million compared to RM34.95 million.
However, despite the lower revenue, AIZO’s gross profit improved to RM4.69 million from RM4.21 million, driven by better margins across key operating segments.
“The civil engineering division remained the largest revenue contributor, generating RM21.54 million, supported by efficient project execution and ongoing development. The bituminous products segment recorded RM7.72 million in revenue, reflecting strong demand and the expansion of raw bitumen trading.
“Meanwhile, the energy segment continued its upward trajectory, posting revenue of RM1.54 million, supported by higher plant availability and growing contributions from renewable energy operations,” AIZO stated in a media release.
Compared to the immediate preceding quarter (2QFY2025), AIZO recorded a 9.9 per cent increase in revenue, reflecting the company’s steady growth. This was attributed to a 9 per cent rise in the civil engineering segment’s revenue, driven by newly awarded projects.
The bituminous products segment also performed well, with revenue climbing 11 per cent due to higher product demand and an expanded trading portfolio.
The energy segment posted a 25 per cent revenue increase, benefiting from operational enhancements and improved plant performance.
The group recorded an adjusted earnings before interest, taxes, depreciation, and amortisation (EBITDA) of RM1 million, reinforcing its focus on efficiency and profitability.
AIZO executive director Ahmad Rahizal Ahmad Rasidi said the company’s order book now stands at RM203.3 million following recent contract wins, further strengthening its future revenue pipeline.
“AIZO continues to expand its renewable energy portfolio and recently received a Letter of Notification from the Energy Commission for the development of a 99.99MW large-scale solar (LSS) plant in Kampar, Perak. This project marks a significant milestone in AIZO’s clean energy ambitions and reinforces its role in Malaysia’s renewable energy transition.
“We remain committed to expanding our presence in infrastructure and renewable energy to ensure long-term value creation for our stakeholders.
“Looking ahead, AIZO remains focused on business expansion, operational efficiency, and sustainable growth. With a strong order book and a solid foothold in high-growth industries, the group is well-positioned to drive future success and create long-term value for shareholders,” he added.
SCIB reports higher profits amid strong revenue growth
Meanwhile, Sarawak Consolidated Industries Bhd (SCIB) reported improved financial performance, with a group net profit of RM993,000 for the second quarter ending December 31, 2024 (2QFY2025), up from RM846,000 in 2QFY2024, as revenue surged 30.83 per cent to RM49.83 million from RM38.1 million. Earnings per share rose to 0.15 sen from 0.13 sen.
During the same period, the group’s pre-tax profit jumped 55.32 per cent to RM2.38 million from RM1.53 million, primarily driven by contributions from both the manufacturing and construction/engineering, procurement, construction, and commissioning (EPCC) segments.
The manufacturing segment, which remains SCIB’s core business, recorded higher revenue of RM30.67 million compared to RM28.76 million, supported by increased demand for foundation piles, industrialised building systems (IBS) products, and other precast concrete solutions.
The construction/EPCC segment also saw improved performance, with revenue rising to RM19.16 million from RM9.33 million, resulting in a pre-tax profit of RM1.9 million (-RM0.18 million).
Compared to 1QFY2025, SCIB recorded higher group revenue of RM49.93 million in 2QFY2025, a 10.38 per cent growth from RM45.15 million in the previous quarter. This helped drive pre-tax profit up to RM2.38 million (RM0.14 million), supported by improved project execution and enhanced operational efficiencies.
SCIB managing director Ku Chong Hong attributed the company’s financial turnaround to the continued growth in its manufacturing and construction/EPCC segments.
“Our strategic execution and operational efficiencies have led to increased profitability, reaffirming the strength of our business fundamentals.
“The EPCC segment has rebounded with stronger project execution, while our manufacturing division continues to deliver steady revenue growth through rising demand for IBS and precast products in key infrastructure projects,” he said in a press release.
Ku noted that SCIB recently secured RM48 million in Islamic banking facilities from Affin Islamic Bank Bhd and an additional RM21.2 million from RHB Islamic Bank Bhd. These facilities provide the group with greater financial flexibility to support ongoing and future projects, ensuring a sustainable pipeline of business opportunities.
“Additionally, the recent land acquisitions in Bintulu, totalling 9.84 hectares across two transactions, position us well for future expansion. These acquisitions will facilitate collaborations with developers for residential housing projects, integrating SCIB’s in-house manufactured products to enhance our market value proposition. We remain committed to leveraging these strategic investments to drive long-term, sustainable growth.”
Ku added that the RM5.9 billion allocation for Sarawak under the federal government’s 2025 Budget for investments in public infrastructure, education, healthcare, and transport networks will further boost demand for IBS and precast concrete solutions.
“SCIB is strategically positioned to capitalise on key projects, such as the Sabah-Sarawak Link Road, the RM6.1 billion North Coastal Highway project, and various school and healthcare facility upgrades in Sarawak.
“By leveraging our manufacturing expertise and expanding our construction capabilities, SCIB is well-positioned to seize new opportunities in both local and regional markets, reinforcing our commitment to delivering sustainable growth and long-term value for stakeholders,” he added.
