Integration to Continue in 2015
KUALA LUMPUR, 25 May – Total Asset Management player, UEM Edgenta Berhad (“UEM Edgenta”) (formerly known as Faber Group Berhad) secured several major local and overseas contracts worth more than RM4.72 billion in 2014 and 2015.
These major contracts are, the RM1.03 billion Asset Management Services for Women and Children’s Hospital for over a period of 27 years; six New Zealand Transport Authority highway maintenance and operations contracts worth more than NZD35 million in fees over the next seven years; runway upgrade for KLIA; road upgrade of Kampung Sg. Serai – Rawang Highway Exit on North-South Expressway; RM3.07 billion 10-year new Concession Agreement for Hospital Support Services; a five-year NZD20 million contract by the Royal Commission for Jubail and Yanbu in Kingdom of Saudi Arabia; and infrastructure works related to Pengerang Integrated Complex in Johor.
Azmir Merican, UEM Edgenta’s Managing Director/Chief Executive Officer shared this during a press conference following the Company’s 52nd Annual General Meeting held today.
He went on to explain the new structure of the Company following the RM1.15 billion merger of the three entities namely Faber Group Berhad, Opus Group Berhad and Projek Penyelenggaraan Lebuhraya Berhad or PROPEL.
“We now have six core business units with high growth potential covering the entire asset life cycle model. They are asset consultancy services, infra services, healthcare, industrial and facilities services (previously Integrated Facilities Management which included oil and gas facilities services), as well as energy services.
“As a more focused entity and by leveraging on our expertise as a Total Asset Management company, we are now well positioned to expand the scope of our healthcare services to include more offerings that are demanded by the sector.
“For industrial services, we are working towards building our capabilities to expand into asset maintenance, plant operations improvements, turnaround services and the oil and gas sector,’ said Azmir.
In order to propel the company to the next level, Azmir stressed that it will continue to focus on deriving synergies from the enlarged company and that integration progress is on track where there are increased cross-selling efforts between the divisions as well as its parent company, UEM Group Berhad.
“Post-merger, we are streamlining and improving internal operations and processes while engaging with employees to embrace our newly redefined vision, mission, values and culture. Efforts are now focused on improving our operational efficiency, procurement and cost model as well as our technology utilisation,” he added.
For the financial year 2014 (“FY2014”), UEM Edgenta reported its first full year consolidated revenue of RM3.1 billion, a 14.4 percent or RM389.6 million increase in comparison to revenue of RM2.7 billion in FY2013.
The Company’s Malaysian operations contributed 53 percent to the FY2014 revenue, while its largest overseas contributor was New Zealand at 25 percent, followed by Canada (12 percent), Australia (6 percent) and the United Kingdom (4 percent).
UEM Edgenta turned in a profit before tax (PBT) of RM324.5 million in FY2014, higher than the preceding year’s PBT of RM317.2 million.