Kee Ming Holdings Berhad (Kee Ming) has secured a RM70 million interconnection facility (IF) project for a 100MW solar farm in Kedah, boosting its orderbook and strengthening its outlook in Malaysia’s renewable energy and mechanical & electrical (M&E) sector.
Maybank Investment Bank (Maybank IB) said the project win, awarded by Solarvest Holdings Berhad, is expected to lift Kee Ming’s outstanding orderbook by about 40% to RM243.3 million from RM173.2 million previously.
The project involves the delivery of solar power plant interconnection facilities for the large-scale solar photovoltaic development and is targeted for completion by March 2027, with the majority of earnings contribution expected to be recognised in the financial year ending 2027 (FY27).
Maybank IB estimated that the project could contribute approximately RM7 million in profit after tax to Kee Ming in FY27, assuming a 10% profit margin for solar IF projects.
Following the contract win, Maybank IB raised its FY27 to FY29 earnings forecasts for Kee Ming by 19% to 29%, citing stronger contract replenishment expectations and continued opportunities in the M&E sector.
The research house raised its contract replenishment assumptions to RM350 million–RM470 million over FY27–FY29, compared with the previous estimate of RM280 million–RM390 million.
“FY27 year-to-date new job wins have reached RM98.1 million, representing 35% of our initial FY27 replenishment assumption,” Maybank IB said.
With a tender book valued at RM1.7 billion as of May 2026, the research house expects Kee Ming’s contract win momentum to remain healthy, assuming a historical win rate of 15%.
Maybank IB expects the company could secure an additional RM250 million in contract replenishment during FY27.
The research house noted that Kee Ming is positioned to benefit from rising demand in Malaysia’s energy infrastructure sector, particularly from transmission and distribution projects, high-voltage infrastructure and data centre-related developments.
Following the earnings upgrade, Maybank IB raised its target price for Kee Ming to RM1.94 from RM1.36, based on a higher valuation multiple of 17 times CY27 price-to-earnings (P/E), compared with 15 times previously.
The valuation reflects Kee Ming’s potential expansion into high-voltage power infrastructure and data centre substation projects, which Maybank IB believes offer similar growth characteristics to established M&E players.
Maybank IB maintained its “BUY” recommendation on Kee Ming, citing stronger earnings visibility, a growing orderbook and favourable industry conditions driven by Malaysia’s renewable energy and power infrastructure expansion.
