RESINTECH Bhd, a Main Market-listed manufacturer of plastic pipes, water tanks and fittings, saw its net profit for 3Q FY3/2025 ended Dec 31, 2024 surged 135% year-on-year (yoy) to RM2.77 mil (3Q FY3/2024: RM1.17 mil) to reflect improved operational efficiencies and stronger market demand.
Driven by strong demand and strategic expansions in East Malaysia, Resintech’s revenue during the period under review edged up 27.77% yoy to RM33.71 mil from RM26.38 mil in the same quarter last year.
For the cumulative nine-month period ended Dec 31, 2024 (9M FY3/2025), the group’s revenue grew 21.02% yoy to RM95.73 mil (9M FY3/2024: RM79.12 mil) while its net profit spiralled 61% yoy to RM6.74 mil from RM4.18 mil a year ago.
“Our expansion into Sarawak and Sabah is a pivotal component of Resintech’s growth strategy,” commented Resintech’s managing director Datuk Dr Teh Kim Poo.
“With significant investments in water infrastructure underway in both states, the group is well-positioned to supply high-quality pipe solutions that will support the modernisation efforts in East Malaysia.
“These initiatives serve as immediate catalysts for our business, hence strengthening our presence in Malaysia’s water infrastructure sector.”
With the substantial infrastructure investments in East Malaysia, Teh foresees that Resintech is well-positioned to contribute to these developments while driving the group’s business forward.
“Barring unforeseen circumstances, we’re optimistic of delivering continued growth for the remainder of FY2025,” he added.
In Sarawak, Resintech is actively participating in industrial plastics and water infrastructure projects which are aligned with the state government’s RM6 bil investment plan to upgrade and expand rural water supply infrastructure by 2030.
Notably, RM1.08 bil has been allocated specifically for replacing aging water pipelines to address leakage issues, thus presenting a substantial opportunity for Resintech to supply high-quality pipe systems as part of Sarawak’s infrastructure modernisation efforts.
In Sabah, the state government is undertaking nine projects aimed at upgrading water systems and constructing new assets to meet the growing water demand.
These projects are expected to yield about 300 million litres of water daily upon completion, thus effectively addressing current shortages. Resintech is able to contribute to these developments by providing essential materials and expertise for the enhancement of Sabah’s water infrastructure.
At the end of today’s (Feb 26) trading, Resintech was down 1 sen or 1.47% to 67 sen with 499,700 shares traded, thus valuing the company at RM131 mil. – Feb 26, 2025
