Willowglen eyes contracts worth up to RM400 million

KUALA LUMPUR: Integrated security system developer Willowglen MSC Bhd is hoping to secure contracts from Tenaga Nasional Bhd (TNB) for power substation monitoring, in line with its vision to venture into new industries this year.
The other industries it is looking to make its entry into hospital monitoring systems and renewable energy monitoring.
Specialising in Supervisory Control and Data Acquisition (SCADA) and surveillance monitoring systems, the group already has a strong foothold in the transportation industry in Malaysia, with its ongoing light rail transit (LRT) and mass rapid transit (MRT) projects for the installation of electronic control systems.
Speaking to reporters after its AGM yesterday, group managing director Wong Ah Chiew said the company is bidding for contracts worth up to RM400 million this year. According to him, the success rate of its tenders are usually 20% to 30%.
"We have submitted some tenders to TNB but have not been awarded any contracts yet as the decision process will take some time," he said, explaining that Willowglen recently qualified as a registered contractor for the utility company and is optimistic of its prospects.
He added that TNB is the biggest user of SCADA in the country and is a "significant" new field for the company to pursue.
"At the moment, we are also eyeing the MRT 2 and LRT 3 projects. We are currently involved in ongoing projects for the Kelana Jaya and Ampang light rail transit (LRT) lines, the control system installation is about 60% completed," he noted, adding that this included upgrading works and the extension of the LRT line.
The group's outstanding order book stands at RM150 million to RM160 million, which is expected to keep the company busy for a year.
Wong said the group also plans to venture into new markets such as the Middle East, Vietnam and Myanmar as well as look more intensively at Indonesia in the coming year.At present, 70% of the group's business comes from Singapore.
He is optimistic of at least a 10% growth in net profit and revenue this year. The company recorded a revenue increase of 8.5% for the financial year ended Dec 31, 2015, compared to the year before.
The group's shares closed 1.4% or 1 sen higher at 72 sen yesterday, with some 132,300 shares traded.