Industrial Concrete confident of 20% growth
August 29, 2007 – 12:24 pmIndustrial Concrete Products Bhd (ICP) is confident of achieving over 20% growth in revenue for the financial year (FY) ending March 31, 2008. Chief executive officer and managing director Mah Teck Oon said to meet the demand of its order book, the total production capacity for its pre-tensioned spun concrete (PSC) piles was set to increase from 1.32 million tonnes to 1.5 million tonnes per annum with its new production line in Kapar, Selangor, expected to come on stream next month.
“Our estimated order book value is RM150mil for the next five months and we are confident that mega projects like the second Penang bridge and the electrified double-tracking rail project will boost demand for our PSC piles as well,” he said after the company AGM and EGM yesterday.
ICP has eight factories with 10 lines in Malaysia (inclusive of the new line in Kapar) producing PSC piles, commanding 75% share of the local market.
Mah added that ICP has invested RM43mil for the construction of a new plant in Johor to capitalise on the potential demand from the Iskandar Development Region as well as the booming Singapore construction sector.
“Singapore contributes 12% currently to ICP’s PSC piles revenue, making it our biggest overseas market, ,” he said.
The Johor plant would increase ICP’s production capacity to 1.7 million tonnes per annum when it commences operation by December 2008.
The group reported net profit of RM58.84mil on turnover of RM612.28mil for the year ended March 31, compared with net profit of RM32.89mil and turnover of RM458.57mil in FY06.