KUALA LUMPUR (July 2): Southern Cable Group Bhd (KL:SCGBHD) has secured a supplementary contract worth RM403.6 million from Tenaga Nasional Bhd (TNB) (KL:TENAGA) for the supply of underground power cables and conductors.

The group said the contract, awarded to its wholly-owned subsidiary Southern Cable Sdn Bhd, is an extension to the original one-year contract awarded in February 2025. It is valid for a one-year period until Aug 11, 2027.

“Securing this supplementary contract from TNB reflects sustained demand for power cables and validates our technical capabilities in meeting strict reliability standards required for the national grid,’’ said managing director Tung Eng Hai in a statement on Thursday.

The group said that the latest contract raised its orders in hand to over RM1 billion, providing earnings visibility until 2027.

For the first quarter ended March 31, 2026, Southern Cable’s net profit increased 21.02% to RM33.16 million from RM27.40 million a year earlier, boosted by higher sales especially in the power cables and wires segment. Revenue grew 10.71% to RM432.66 million from RM390.81.

The group's power cables and wires segment contributed 90.37% of total revenue. Geographically, the domestic market remains the group’s primary revenue driver, accounting for 84.40% of total turnover. The overseas segment, while making up the remaining 15.60%, was driven especially by strong exports to the US.

Southern Cable shares closed down two sen or 0.85% to RM2.34 on Thursday, valuing the group at RM2.95 billion.