Mestron Holdings Bhd recorded a total order book of RM17.5 million during the first 5 months of 2022 from the rollout of telecommunication infrastructure under the Jendela project by MCMC.
According to the company, the order books came from various customers including Smartgen Technology Sdn Bhd, Hytro Vista Sdn Bhd, and OCK Setia Engineering Sdn Bhd.
Managing Director, Mr Por Teong Eng, said: “It has been a great start for the year 2022 as we move beyond the COVID-19 pandemic. We are excited about the Group’s prospects as we have seen a sharp improvement in our order books during the first five months of this year. The pickup of these orders is supported by the faster rollout of the telco projects following the reopening of the economy.”
The group adds in line with the accelerated progress in the implementation of the national digital infrastructure plan, Jalinan Digital Negara various federal, state, and local authorities and government agencies have helped to expedite the rollout of 5G network in Malaysia. In fact, DNB’s chief technology officer, Ken Tan, said in a statement that these initiatives helped DNB to stay on track for its 5G coverage target of 37.9% of populated areas by the end of this year.
Por said the surge in momentum for the rollout of 5G will benefit Mestron, which generated its revenue mainly from the sales of its standard poles and specialty poles within the telco segment. The projects that the group was awarded this year were under the JENDELA Phase 1 Project and are expected to be delivered by August 2022. “It has been a busy year for us as we have won three contracts from three different telco infrastructure players. These are just the ones that we have contracted in 2022, and the Group is looking forward to tapping on the growing demand for its specialty poles within the telco segment amidst the rollout of 5G network nationwide,” Por said.
Mestron targets to win another RM20 million worth of contracts over the next six months from the telco segment. The strong demand will be supported by the rollout of the 5G network in Malaysia.
The group’s revenue for the first quarter of FY2022 surged by 84.1% year-on-year to RM21.4 million, mainly due to an increase in sales demand for its standard poles and specialty poles.
