KUCHING: Harbour-Link Group Bhd (Harbour-Link) is allocating funds for capital expenditure (capex) to support the renewal of the group’s ageing fleet of vessels and transport vehicles.
The Bintulu-based shipping and logistic company said the move is aimed at enhancing operational efficiency, reduce maintenance and repair costs, and ensure compliance with environmental, social and governance (ESG) standards.
As of June 30, 2024, Harbour-Link owned 12 container vessels with a total capacity of 7,727 twenty-foot equivalent units (TEUs).
The group provides container shipping liner service within Malaysia and Intra-Asia market.
The group also operates tugboats and barges to transport timber products, mainly sawn timber and round logs, servicing the ASEAN region, namely Vietnam, the Philippines and Thailand.
In the January-March 2025 period (3Q2025), Harbour-Link reported slightly lower shipping freight rates due to stiff competition with other major container liners.
However, the group’s cargo lifting volumes has improved after the Chinese New Year and Hari Raya festive periods.
In 3Q2025, Harbour-Link recorded lower group revenue of RM243.5 million (3Q2024: RM257.8 million) but higher group net profit of RM27 million (RM24.1 million), driving up earnings per share to 6.78 sen (6.06 sen).
In the current quarter under review, the shipping and marine segment generated higher revenue of RM157.6 million (RM141.7 million), driving the segment after-tax profit to RM23.83 million (RM18.81 million).
The integrated logistics segment saw its revenue rose to RM55.59 million (RM47.26 million) but its after-tax profit shrank by 36 per cent to RM5.39 million (RM8.45 million) due to additional overhead cost because of delay in project as well as impairment of trade receivables of RM1.17 million.
The machineries trading segment did poorly with its revenue slumping by 50 per cent to RM28.35 million (RM56.69 million), thereby impacting after-tax profit which dropped to RM2.13 million (RM4.33 million).
The engineering segment revenue plunged to RM1.77 million (RM11.1 million), resulting in wider after-tax loss of RM1.18 million (-RM511,000) mainly because the projects had reached the tail end in the current quarter.
The property segment revenue nosedived to RM185,000 (RM1.1 million) and reported after-tax loss of RM514,000 (+RM34,000) as there was no sales of properties in the current quarter.
In the immediate preceding quarter (2Q2025), Harbour-Link had performed better, with higher group revenue of RM281.2 million (3Q2025: RM243.5 million) and after-tax profit of RM34.1 million (RM30.9 million).
On a nine-month period to March 31, 2025 (9m2025), Harbour-Link delivered strong earnings with group net profits jumping to RM80.6 million (9m2024: RM57.6 million) as revenue climbed to RM772.9 million (RM700.5 million).
Earnings per share rose to 20.23 sen (14.46 sen).
The shipping and marine segment was the top revenue earner, generating RM490.8 million (RM443.4 million), followed by integrated logistics segment which posted revenue of RM176.1 million (RM156.9 million) whereas the machineries trading segment reported lower sales of RM80.5 million (RM149.6 million), engineering segment recorded revenue of RM23.8 million (RM25.7 million) and property development segment registered revenue of RM1.64 million (RM6.74 million).
In 4Q2025, Harbour-Link said the shipping and marine segment would work efficiently to generate favourable revenue.
“The shipping agency and integrated logistics divisions continue to operate steadily, with consistent cargo volumes being handled through ports, supported by inland transportation and freighting services.
“We expect this performance to remain stable and satisfactory,” it added.
Harbour-Link said the group had secured new contracts for mechanical engineering work in tank construction scheduled to commence in August this year.
“These projects are expected to drive increased activity in FY2026.
“Additionally, rising demand for earthwork machinery in road construction and the agricultural sectors is projected to positively impact sales and contribute to stronger revenue in the upcoming quarter,” it said.
The company said it remains cautiously attentive to global geopolitical development and the US President Donald Trump administration’s tariff policies as these may cause uncertainties to the Malaysian economy.
