KUALA LUMPUR (Nov 4): Johor-based underground utilities engineering solutions provider UUE Holdings Bhd (KL:UUE) has secured its largest-ever contract in Singapore, valued at S$20.9 million (RM67.3 million), for the supply and installation of power cables.
In a filing on Tuesday, UUE said its wholly owned subsidiary Konnection Engineering Pte Ltd had accepted the subcontracting works from Wee Guan Construction Pte Ltd for the supply and installation of 230kV power cables, auxiliary cables and accessories for the NDC409 Route A1 & A2 project.
The works, commissioned by SP PowerAssets Ltd and with LS Cable & System Singapore Branch as the main contractor, are scheduled to run from Oct 31, 2025, to Dec 31, 2027.
The job involves the installation of high-density polyethylene (HDPE) pipes using the horizontal directional drilling (HDD) method, as well as the provision of materials, tools, labour and equipment.
UUE said the contract win lifted its group order book to an all-time high of RM521.9 million, providing “strong earnings visibility” over the next two to three years. Year-to-date contract wins have reached RM362 million, it added.
“We are pleased to receive this award from one of our long-standing customers, which reaffirms our strong execution capabilities and proven track record in meeting regional standards within Singapore,” UUE managing director Datuk Dr Ting Kok Hwa said in a separate statement.
“We are encouraged by this milestone, as our job scope has now expanded to a full-scale role covering the provision of materials, labour and equipment compared to the smaller HDD service packages secured previously,” he added, noting that the planned expansion of UUE’s in-house HDPE pipe manufacturing arm is progressing to support its growing market share.
Ting said UUE remains optimistic about its prospects in Singapore, citing a vibrant construction sector that supports infrastructure upgrades across the island.
Singapore is a major market for UUE, following Malaysia. In the first half ended Aug 31, 2025 (1HFY2026), revenue from Singapore’s operations contributed 6.9% to UUE’s total revenue of RM90.08 million.
However, the group’s margins from the city-state have been getting narrower, affecting its overall profitability in 1HFY2026.
In the second quarter ended Aug 31, 2025 (2QFY2026), the group’s net profit slipped 4.3% year-on-year to RM6.45 million, despite a record-high revenue of RM57.67 million.
The group attributed the profit contraction to higher administrative expenses and narrower gross margins, particularly in its Singapore operations.
For the first half of FY2026, net profit dropped 33.8% to RM8.14 million from RM12.3 million a year earlier, despite a 9.8% rise in revenue to RM90.08 million.
UUE shares were down one sen or 1.69% to close at 58 sen on Tuesday, giving it a market capitalisation of RM529.21 million.