HE Group Berhad has reported a profit after tax of RM2.6m for the first quarter ending 31 March 2026, a slight decrease from RM2.9m in the same period last year. Despite the dip in profit, the company’s gross profit margin improved to 22.1% from 19.4%, attributed to a favourable project mix and enhanced cost management.
The Power Distribution System segment was the primary revenue driver, contributing RM23.5m, or 89.6% of the total revenue for the quarter. The Electrical Equipment Hook-Up and Retrofitting segment added RM1.6m, whilst Other Building Systems and Works generated RM1.1m.
In a separate development, HE Group’s subsidiary, Hexatech Engineering Sdn. Bhd., secured a RM20m contract from a Malaysian manufacturer of advanced NAND flash memory products. The project, which involves power distribution system works, is expected to be completed by 17 November 2026.
The Managing Director of HE Group, Haw Chee Seng, expressed optimism about Malaysia’s growth as a digital and high-tech infrastructure hub. He noted, “We remain encouraged by Malaysia’s growth as a digital and high-technology infrastructure hub, driven by rising investments in data centres, semiconductor and E&E manufacturing.”
HE Group’s order book, bolstered by a recent RM86m substation project in Selangor and the new RM20m contract, stands at approximately RM170m as of 18 May 2026. The company maintains a robust net cash position, with RM66.5m in cash and cash equivalents significantly exceeding its total borrowings of RM0.7m.
