PETALING JAYA: Malaysia’s vertically integrated construction company Sunway Construction Group Bhd (SunCon) started FY26 on a strong footing, extending the positive earnings momentum following its robust performance in the preceding financial year.
This the company said in a statement yesterday when announcing its financial results for the first quarter of financial year ending Dec 31, 2026 (Q1’26).
The group recorded net profit of RM118.4 million on revenue of RM1 billion, marking a strong year-on-year growth of 56%, underpinned by higher contributions from all operating segments.
The construction segment registered revenue of RM950.6 million in Q1’26, compared to RM1.4 billion in the first quarter of financial year 2025 (Q1’25). The stronger revenue performance in the corresponding quarter last year was primarily attributable to accelerated construction progress from the Rapid Transit Systems (RTS) Link project and several data centre projects.
Despite the softer revenue recorded in the current quarter, the segment delivered commendable profitability improvement, with profit before tax (PBT) rising 33% year-on-year to RM148.7 million and PBT margin improving to 15.6%.
Revenue for the precast segment surged 136% to RM72.1 million in Q1’26, compared to RM30.6 million in Q1’25. The strong growth was fuelled by higher contributions from ICPH projects, alongside the progressive ramp-up from newly secured projects. Consequently, PBT increased fivefold to RM6 million during the quarter.
The group declared a total dividend of 22.8 sen per ordinary share in the current quarter for financial year ending Dec 31, 2026, comprising a single-tier first interim dividend of 7.6 sen per ordinary share and a special dividend of 15.2 sen per ordinary share.
Managing director Liew Kok Wing said the group’s healthy outstanding order book, coupled with robust order book replenishment, continues to provide strong visibility over their earnings growth trajectory.
In the first quarter of 2026, he added, the group secured RM3.59 billion worth of new orders, achieving more than 50% of its 2026 order book replenishment target for the year.
“Malaysia has rapidly emerged as one of Southeast Asia’s most dynamic data centre markets and continues to strengthen as a preferred destination for global hyperscalers. The nation’s emphasis on accelerating energy transition and deepening the digital infrastructure ecosystem is expected to support the long-term sustainability of digital investment in Malaysia. Against this backdrop, the group continues to strengthen its position within the nation’s key growth sectors, particularly the Advanced Technology Facilities (ATF) segment, while maintaining a diversified construction order book profile across various sectors including Sunway Group’s projects,” said Liew.
He elaborated, “Within the ATF segment, the group secured three new data centre projects and onboarded a new international hyperscale operator during the quarter, further strengthening its multinational technology client base. Sunway Construction has delivered more than 180MW of data centre capacity to date and is currently managing 10 ongoing projects for global technology clients.”
