Eversendai bags RM1.1b contracts in India, Singapore and Saudi Arabia

KUALA LUMPUR (Sept 9): Eversendai Corporation Bhd (KL:SENDAI) has won new contracts worth RM1.1 billion worth in India, Singapore and Saudi Arabia, which it said brought its order book to a new record high of RM6.7 billion.

In a filing, Eversendai said its unit in Chennai, India secured composite structural steel and civil works projects for the DLF Downtown Taramani Block 4 & 5, which involves 27-floor and 32-floor building developments.

Separately, Eversendai in Mumbai, India secured the C65 commercial tower project, a 19-floor composite structure building and the 30 Little Gibbs, a high-rise composite structure residential building.

In Singapore, its unit secured the Founder’s Memorial project, which the project's official website said will be open in 2028. Construction started in June.

The scope of all these projects include connection design, engineering and preparation of shop drawings, steel material supply, fabrication, delivery and erection of structural steel works, Eversendai said.

In addition, Eversendai’s Saudi Arabia unit secured another structural steel subcontract works package for a new Qiddiya racetrack in Riyadh, named Speed Park Track, Primary Pit and Motorsports Experience Centre.

Orderbook now at RM6.7b, Trojena first steel installed in June

The newly secured projects boost the group’s outstanding order book to RM6.7 billion, Eversendai said.

“Going forward, there are more lucrative high-profile projects expected to be secured in the Middle East and other countries where we currently have operations,” said executive chairman and group managing director Tan Sri AK Nathan.

The group said it foresees progressive optimal utilisation of all its fabrication facilities, with the current outstanding order book as the project momentum increases.

As for the NEOM Trojena Ski Village project in Saudi Arabia, the first steel structure was installed on June 20, and met the first contractual milestone.

“The site progress will increase at a faster pace from November 2024 onwards to complete the project,” said Nathan.

For the second quarter ended June 30, 2024 (2QFY2024), Eversendai posted a net profit of RM371,000 from a loss of RM854,000 a year ago, while quarterly revenue fell 2.2% year-on-year (y-o-y) to RM275.51 million from RM281.83 million, as its Middle East segment performed better, while its Southeast Asia and India segment performed worse.

For the first six months, Eversendai posted a total net profit of RM726,000, while total revenue increased 14.6% y-o-y to RM675.22 million.

As at Monday’s noon closing, shares in Eversendai closed up 1.5 sen or 2.9% to 54 sen, giving the group a market capitalisation of RM421.8 million. Year to date, the stock is up some 227%.