Kawan Renergy Berhad, announced its fourth-quarter results for the financial year ended 31 October 2024 recording a revenue increase of 23.1% quarter-on-quarter to RM39.2 million. This growth the group said was driven in particularly by the process plant segment's robust order book pipeline. The segment recorded a 43.9% quarter-on-quarter increase in revenue and contributed 39.8% of the total revenue. The industrial process equipment segment remained as the largest contributor, having accounted for half of the quarterly revenue. The Group's profit after tax was at RM5.3 million.
For FYE2024, the revenue grew 15.0% to RM113.1 million compared to RM98.4 million in the previous year. Growth was attributed to increased contributions across all business segments, primarily fuelled by increased demand from the power, oleochemical, and chemical industries, which significantly bolstered the Group's order book. The robust revenue growth enabled the Group to report a 44.5% increase in PAT to an all-time high of RM19.2 million.
Kenergy Managing Director Ir. Lim Thou Lai said, "We are delighted to close the financial year on a high note, which highlights our strong execution amidst robust order book growth. Aligned with our growth strategy, our investment in additional machinery and equipment, coupled with upgraded production processes, is designed to enhance efficiency, minimise wastage, and achieve greater precision. These initiatives position us to capitalise on the strong growth of Malaysia's industrial process equipment sector, which recorded a CAGR of 14.6% from 2020 to 2023, driven by increasing foreign direct investment inflows, according to the independent market research report by Smith Zander International. With a healthy order book of RM141.7 million as at 31 October 2024, we remain optimistic about the Group's future prospects.
