WCT, WITH RM5 BLN ORDER BOOK, CAUTIOUSLY OPTIMISTIC ABOUT ITS OUTLOOK

KUALA LUMPUR, June 22 -- WCT Holdings Bhd is cautiously optimistic about its prospects with its current outstanding order book valued at RM5 billion.

Group managing director Datuk Lee Tuck Fook said the company’s engineering and construction division would help strengthen the group’s financial position and remain the key contributor to the group’s earnings.

“The division marked a good start to 2021 with two contract wins for the superstructure works of a 29-storey hotel and a 13-storey office at The Exchange TRX valued at RM137 million, and the extension and upgrading of the Sultan Ismail Petra Airport, Kelantan worth RM440 million,” he said in a statement in conjunction with its virtual annual general meeting today.

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He added that the division would focus on existing projects while pursuing new opportunities to replenish the order book.

Meanwhile, with WCT recently vaccinating 3,600 of its and associate company employees, is hoping to resume construction works with stringent compliance to the standard operating procedures when the movement restrictions are lifted.

The recently concluded vaccination programme was administered via the Mobile Vaccination MYMedic@Wilayah Pilot Programme under the jurisdiction of the Ministry of Federal Territories as part of the group’s initiative to protect its workforce from the coronavirus.

For the financial year ended Dec 31, 2020 (FY2020), the group registered a slightly lower revenue of RM1.7 billion versus RM1.84 billion in FY2019.

The builder recorded a loss of RM214 million compared to a RM27 million loss registered in the financial year ended FY2019, due to the COVID-19 impact and the disruptions to the group’s operations during the movement control order period.

The value of the group’s investment properties, hotels and land held for development as well as inventories were impaired by approximately RM173 million during the year.

“The group shared an additional loss of joint venture arising from an unfavourable final arbitral award of approximately RM28 million, and excluding these one-off items, the group’s loss attributable to equity holders would have been lower at RM13 million,” Lee said.

-- BERNAMA