KUCHING: Sarawak Consolidated Industries Bhd (SCIB) Group suffered huge losses of RM33.26 million for an 18-month period to December 31, 2025, due mainly to impairment of receivables in the construction/engineering, procurement, construction and commissioning (EPCC) segment.
Group revenue stood at RM276.2 million. The company incurred losses per share of 4.86 sen.
There are no comparative figures as the company had changed its financial year from June 30, 2025, to December 31, 2025.
Reviewing the group’s performance during the 18-month period, SCIB said the manufacturing segment from discontinued operation reported revenue of RM182.1 million and pre-tax profit of RM14.56 million, driven mainly by growing market demand and continuous supply of foundation piles and industrialised building system (IBS) products.
The manufacturing segment has been classified as a discontinued operation following the conditional disposal agreement entered into with YTL Cement (Sarawak) Sdn Bhd, SCIB said in a press release.
Under the conditional share sale and purchase agreement, SCIB proposes to sell its entire equity interest in SCIB Concrete Manufacturing Sdn Bhd to YTL Cement for an indicative cash consideration of RM113 million, subject to adjustments.
Assets held for sale amounted to RM192.82 million as of December 31, 2025.
The construction/EPCC segment recorded revenue of RM93.34 million but pre-tax loss of RM28.75 million due to the impairment losses on trade and other receivables.
The property trading segment did not record any income during the period under review.
The other segment posted revenue of RM0.78 million and incurred pre-tax loss of RM0.06 million due mainly to high operational costs.
In the three-month period, SCIB incurred group net loss of RM29 million on revenue of RM54 million.
The manufacturing segment was the largest revenue earner, generating RM36 million and pre-tax profit of RM1.14 million as a result of steady sales of foundation piles and IBS products.
“The construction/EPCC segment recorded revenue of RM17.87 million and a loss before tax of RM26.11 million for the current quarter. The significant loss was mainly due to impairment losses on trade and other receivables,” SCIB said in explanatory notes to its financials.
On January 15, 2026, SCIB obtained the approval of shareholders at an EGM for its proposed renounceable rights issue and share capital reduction exercise.
These initiatives, according to the company, are intended to optimise the group’s capital structure, enhance liquidity and align funding requirements with its revised construction and EPCC-focused operating model.
SCIB’s Executive Chairman, Datuk Chong Loong Men, said during the quarter under review, the company had taken decisive steps to streamline its business model and reinforce its financial foundation.
“The impairment provisions reflect a prudent reset as we reposition the group towards a more focused construction and EPCC strategy. With the proposed disposal and approved capital initiatives, we are strengthening our balance sheet to better capture infrastructure opportunities across Sarawak and Malaysia,” he added.
Going forward, SCIB said it is cautiously optimistic about its prospects for 2026.
“Supported by a resilient domestic economy, a sustained pipeline of infrastructure and development projects, particularly in Sarawak, and the group’s ongoing corporate and financial realignment initiatives, SCIB is well-positioned to participate in upcoming construction and infrastructure opportunities.
“The group remains committed to disciplined execution, prudent capital management, and long-term value creation for shareholders,” added the company.
