KUALA LUMPUR (Feb 20): Regional clean energy player Solarvest Holdings Bhd (KL:SLVEST) saw its net profit rise 35% to a record RM14.37 million in its third financial quarter ended Dec 31, 2024 (3QFY2025) from RM10.65 million a year ago, primarily driven by further progress in the execution of several utility-scale solar projects under the Corporate Green Power Programme in the current quarter under review. These projects commenced in 2QFY2025.

This resulted in a higher earnings per share of 2.01 sen for 3QFY2025 compared with 1.59 sen for 3QFY2024.

Revenue for the quarter also climbed 20.5% to RM135.4 million, from RM112.4 million in 3QFY2024.

Solarvest did not declare any dividend for 3QFY2025.

The strong quarterly performance lifted the group's net profit for the cumulative nine months ended Dec 31, 2024 (9MFY2025) to a record RM31.41 million, up 28% from RM24.53 million a year ago. Revenue, however, fell 21.2% to RM311.95 million in 9MFY2025 from RM395.69 million in 9MFY2024.

In a statement on Thursday, Solarvest said its engineering, procurement, construction and commissioning (EPCC) of the solar energy solutions segment remains as the group’s key revenue driver, rising by 5.6% to RM109.9 million in 3QFY2025 from RM104.1 million a year ago. This segment accounted for 81.2% of the group’s total revenue.

In addition, Solarvest’s other segment, which encompasses solar project development, energy commodities trading, and other green energy solutions, saw significant growth, with revenue expanding sixfold to RM16.9 million in 3QFY2025 from RM2.5 million in 3QFY2024, contributing 12.5% of total revenue.

“A stronger financial performance is expected in the upcoming quarter (4QFY2025) in achieving our target profit gains. We are confident in materialising our order book of RM877 million in financial years ending March 31, 2025 and 2026, and to convert the expanded tender book recorded at 7.7GWp (gigawatt-peak) to date. As a bidding advisory, we are in a strong position to grow our order book with the fifth large-scale solar (LSS5) EPCC opportunities and the upcoming LSS5+ bidding round," its executive director and group chief executive officer Davis Chong Chun Shiong said.

“With the declining cost of battery energy storage systems (BESS) and a supportive policy landscape, we are well-positioned to capture opportunities in this high-growth market such as the recent BESS programme, which is expected to contribute 400 megawatts (MW) and 1,600 megawatt-hour (MWh) of storage capacity. The 14% electricity tariff hike in July and rising business electricity rates further enhance the commercial viability for the project like Corporate Renewable Energy Supply Scheme (CRESS), especially in the second half of 2025,” he added.

Chong also said the group will capitalise on the growing momentum of Malaysia's renewable energy sector, including major initiatives such as LSS6 in the second quarter of 2025 (2Q2025) and the new BESS bidding round in 3Q2025.

At 3.45pm on Thursday, Solarvest shares were up three sen or 1.74% at RM1.75, valuing the company at RM1.26 billion. The stock has risen 2.35% so far this year.