Kronologi Asia banking on service business for future growth

KUALA LUMPUR: Kronologi Asia Bhd sees the service business as a good area of growth with an expected 40% to 50% growth in its customer base.

Speaking at a press conference today, its CEO Edmond Tay (pix) explained that the growth in the segment has been contributed by smaller companies that are looking into embracing the cloud but do not know how to start with.

“The 40-50% year-on-year growth in customer base is a realistic target, as more and more people will adopt cloud as a service.”

Tay revealed that one of the group’s main growth strategies is to sell more within its customer base and conduct seeding programmes, which could attract more customers to try out its cloud services.

With regards to the criteria for the selection of new markets, he said good potential and opportunities for its service business is the priority, with the Philippines being an example of such a play.

“The Philippines wants to do big things but is short of cash. So we go in such market and the take up rate will be quicker and easier for us.”

Tay shared Kronologi is also setting its sight on China, having invested in an entity in China.

“We are laying this out for the future, as this will give us a big area of growth.”

He said the group will be venturing into artificial intelligence (AI) and Internet of Things.

“The key intent is to sell more services into our existing customer base because this new form of technology is taking shape very quickly. People require AI for the automation of their work.”

Meanwhile, Tay said the group is targeting to hit a market capitalisation of RM500 million from about RM369 million currently.