PETALING JAYA: Powerwell Holdings Berhad posted its highest-ever nine-month net profit of RM16.4 million for the financial period ended Dec 31, 2025 (9MFY26), up 42.3% from RM11.5 million a year ago, driven by stronger deliveries locally and higher overseas contributions.
Revenue for the nine-month period rose 30.9% year-on-year to RM117.6 million from RM89.8 million previously, underpinned by higher deliveries in Malaysia as well as increased contributions from Bangladesh and Indonesia operations.
This marks the first time the group’s nine-month net profit has exceeded the RM15 million mark.
Managing director Catherine Wong Yoke Yen said the record performance reflects sustained momentum in FY26.
She noted that Malaysia’s gross domestic product expanded 4.9% in 2025, supported by domestic demand, while the Ministry of Finance has projected GDP growth of between 4.0% and 4.5% for 2026, backed by government-led initiatives and private sector investments to strengthen industrial and digital infrastructure.
“Against this backdrop, we continue to see exciting opportunities that the group can capitalise on,” she said.
In January 2026, Powerwell secured its single-largest data centre project worth RM68.5 million in Selangor, marking its fourth data centre win in FY26.
As at Dec 31, 2025, its order book stood at about RM95 million, excluding the RM68.5 million contract, providing earnings visibility in the near term.
On a quarterly basis, revenue for the third quarter ended Dec 31, 2025 (3QFY26) eased to RM42.5 million from RM44.3 million in the corresponding quarter last year, mainly due to lower deliveries.
Net profit for the quarter slipped to RM7.0 million compared with RM7.9 million previously, in line with lower revenue and margin normalisation.
Gross profit margin for the quarter stood at 34.8% against 44.3% a year ago. The group said 3QFY25 margins were exceptionally high due to the finalisation of accounts for a semiconductor project.
Despite the softer quarter, margins remained relatively resilient, supported by higher utilisation rates and improved margins from higher-end projects.
Separately, in December 2025, Powerwell entered into a conditional share sale and purchase agreement to acquire a 49% stake in Tenaga Kenari Sdn Bhd and Tenaga Kenari Marketing Sdn Bhd for RM16.7 million.
The proposed acquisition comes with a profit guarantee of RM12 million cumulative profit after tax over three financial years.
Wong said the move will strengthen the group’s presence in East Malaysia, providing immediate access to new customers and industries while expanding its product portfolio and engineering capabilities.
The acquisition also positions the group to tap into infrastructure projects in Sarawak, including the Pan Borneo Highway, Sabah-Sarawak Link Road Phase II, the North Coastal Highway, the Kuching Urban Transportation System and the Coastal Road Network.
On the corporate front, Powerwell was included in the list of Shariah-compliant securities by the Securities Commission Malaysia’s Shariah Advisory Council in its latest review in November 2025.
Powerwell manufactures and customises low-voltage switchboards and medium-voltage switchgear, serving sectors such as data centres, commercial developments, transport infrastructure, renewable energy and oil and gas. It has been listed on the ACE Market of Bursa Malaysia since 2020.
The Sun Malaysia
