KUALA LUMPUR, June 19 – Eversendai Corporation Bhd is looking to grow and expand its business further and is bidding for projects worth RM12 billion worldwide, says Executive Chairman and Group Managing Director Tan Sri A.K. Nathan Elumalay.
“Bidding is an ongoing process. There is huge opportunities out there in the global market and also a sizeable amount of projects are coming up locally. Business for the company is very promising,” he said. Based on past experience, the group achieved a 20 per cent success rate, he told reporters after the company’s annual general meeting here Thursday.
Eversendai is a globally recognised company undertaking turnkey contracts for highly complex projects which included structural steel, power and petrochemical plants, oil and gas upstream and downstream, as well as, composite reinforced concrete building structures.
The company has a strong presence in the Middle East which had contributed 67 per cent of its total revenue last year, Malaysia (22 per cent) and India (11 per cent). Moving forward, he said the company was planning to penetrate East Africa and countries such as Azerbaijan and Kazakhtan.
“We will also focus on exploring new opportunities in the oil and gas sector. “To grow further, we need to penetrate new territories or increase our business volume in sectors we are already in and other inter-related businesses but we will not go out of our core business.
“This also includes merger and acquisition options locally and globally,” said Nathan. He added that the Eversendai group was targeting to achieve a turnover of RM2 billion by 2017 and was currently reviewing and implementing strategic plans while consolidating efforts to achieve the target in the near-future.
“This year is more of recovering from last year as our overall performance fell short of expectation due to impairment loss on an investment in an associate company,” he said.
For the financial year ended Dec 31, 2013 the group recorded a revenue of RM965.0 billion compared with RM1.02 billion previously while profit after tax was reduced at RM33 million from RM121 million registered a year ago. Nathan, however, was optimistic business would take off from the third quarter of the year. The company has projects worth RM1.7 billion in its order book and was confident of expanding aggressively from 2015 onwards.