Engineering and project management consultant HSS Engineers Berhad is targeting approximately RM500 million in new contract wins for the year as it prepares to look for opportunities in infrastructure projects in the transport, water, and digital and technology sectors.
The group currently has an unbilled order book of RM517 million consisting of key projects such as project management consultancy for Pan Borneo Highway Sabah, engineering design works for East Coast Rail Link (ECRL), and construction supervision for the Pelubang Water Supply Scheme in Kedah.
The RM500 million target surpasses the Group’s RM211 million worth of new contracts secured in 2021.
Tan Sri Ir. Kuna Sittampalam, Executive Vice Chairman at the company is confident in achieving these targets as the group looks beyond its staple but also in the telecommunications sector through its appointment by Digital Nasional Berhad to provide consultancy services for Malaysia’s 5G infrastructure and network.
In the water management area, HSS is anticipating jobs when the Government steps up efforts to adopt Integrated Water Resources Management to improve the country’s water infrastructure. For infrastructure, the financing plan for the Mass Rapid Transit Line 3 (MRT3) is also expected in early 2022, with the tender in April 2022.
The group is making smooth progress in major jobs under the implementation of the National Recovery Plan, including achieving 100% staff mobilisation in Pan Borneo Highway Sabah.
For the financial year ended 31 December 2021, revenue reduced slightly by 3.1% to RM164.7 million from RM170.0 million a year ago. Of FY2021 revenue, the Engineering Services segment made up 76.7% or RM126.3 million, whereas the Project Management contributed 16.9% or RM27.9 million, and the remaining 6.4% or RM10.6 million was derived from Building Information Modelling and reimbursable income.
The Group’s profit before tax dropped to RM 6.1 million in FY2021 compared to RM16.7 million for the financial year ended 31 December 2020 (FY2020), due to delayed earnings arising from delay in project implementation as a result of the COVID-19 pandemic. FY2021 net profit attributable to shareholders stood at RM 3.0 million in FY2021, versus RM 10.8 million in FY2020.
