YTL Power International Bhd edged higher at midday, tracking continued investor interest in its expanding data centre ambitions, with the counter last done at RM4.12, up 0.98% with active trading volume of 498.6 million shares.
The stock’s momentum comes as research coverage highlighted the group’s aggressive buildout of its YTL Data Centre Park, which is expected to scale up total capacity to around 600 megawatts by end-2027, driven by rising demand for cloud computing, artificial intelligence infrastructure and digital services.
According to Kenanga Research following a recent site visit, the group currently has 298 megawatts of contracted capacity, comprising 188 megawatts already operational and another 110 megawatts targeted for completion by financial year 2027. The research house noted that an additional 300 megawatts is expected to be completed by end-2027, forming the bulk of the 600 megawatt long-term capacity plan.
Kenanga said, “The expansion underscores the rapid growth of Malaysia’s data centre sector, driven by increasing demand for cloud computing, AI infrastructure and digital services.”
The research house also highlighted that while AI demand is rising globally, YTL Power’s current strategy remains largely focused on co-location leasing, with only 7.5 megawatts of its 298 megawatt contracted capacity currently equipped with Nvidia-partnered AI infrastructure.
Total capital expenditure for the project has reached about RM8.2 billion, with construction timelines having accelerated significantly from 24 months previously to around 12 months due to strong demand.
Beyond data centres, YTL Power is also supported by infrastructure-linked growth, including secured and pending electricity supply agreements with Tenaga Nasional Bhd and a renewable energy pipeline through its solar initiatives.
Kenanga maintained its earnings forecasts for FY2026 and FY2027, noting that meaningful earnings contributions from the data centre segment are expected to materialise from FY2028 onwards once additional capacity comes online.
