TRC Synergy bags RM231m Brunei airport works job

TRC Synergy bags RM231m Brunei airport works job
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This article first appeared in The Edge Financial Daily, on March 22, 2016.


KUALA LUMPUR: TRC Synergy Bhd, which has been on a contract winning spree since late-2014, has bagged yet another contract, this time for B$78.8 million (RM235.43 million) to undertake airfield pavement rehabilitation works at the Brunei International Airport.

In a filing with Bursa Malaysia yesterday, TRC said its wholly-owned unit Trans Resources Corp Sdn Bhd on March 15 received a letter of acceptance from Brunei’s Public Works Department in relation to the tender for airfield pavement rehabilitation works at the Brunei International Airport — phase 1.

The tender was jointly participated by TRC and Swee Sdn Bhd.

TRC said the project will commence on April 25 and is expected to be completed on Nov 24, 2017.

“Barring unforeseen circumstances, the board is of the opinion that the project will contribute positively to the earnings and earnings per share of TRC Group in the future,” it added.

The project is the latest among a series of contracts TRC has secured since October last year.

Prior to the latest award, the group last week secured another airfield-related contract from Advanced Air Traffic Systems (M) Sdn Bhd for the development of the new Kuala Lumpur air traffic control centre building and associated works at Kuala Lumpur International Airport and other locations, worth RM88 million.

During the fourth quarter (4Q) of 2014, TRC announced two other contract wins, one of which was its appointment as the developer for the 1Malaysia Civil Servant Housing Development by Perbadanan Putrajaya worth RM292.74 million announced in December.

The group also secured a road maintenance contract for the Sabah Sarawak Gas Pipeline in October last year, awarded by Petroliam Nasional Bhd for a contract value of RM61.59 million.

This brings its contract winnings to approximately RM673.48 million over the past six months.

For the 4Q ended Dec 31, 2015, TRC reported a net profit of RM9.22 million or 1.92 sen per share, as opposed to a net loss of RM7.08 million or 1.47 sen per share in the corresponding quarter of the previous year.

Meanwhile, revenue for the quarter fell 11% to RM218.26 million, from RM246.42 million a year earlier.

For the full year ended Dec 31, 2015 (FY15), the group reported a significant increase in net profit to RM30.68 million from RM3.52 million, a jump of 772% from FY14. Revenue for the year was down 5% at RM770.36 million, from RM814.96 million.