KUALA LUMPUR: Digital transformation solutions provider SRKK AI Bhd expects its expansion into Indonesia to begin making a meaningful contribution to the group’s revenue within three years, following its listing on the ACE Market of Bursa Malaysia.
Chief executive officer Yew Lip Sin said the company aims to shorten the time required to generate returns from its Indonesian operations versus its experience in Singapore.
"In Singapore, it took us close to five years to make some significant impact. We are a lot more mature now, and we have some funds from the initial public offering (IPO), so our pockets are a bit deeper. We can probably make a better effort than before.
"Hopefully, we can see some good contributions from the Indonesian investment in three years instead of five,” he told a press conference after the company’s listing today.
Yew added that the company will adopt a similar operating model to its Singapore business by leveraging its Malaysian headquarters as the centre of excellence while building a local team in Indonesia for customer-facing roles.
"For any work that needs to be done in person and involves direct engagement with clients, we will have to hire locally,” he said.
Yew said the company has identified an office in Jakarta, appointed a key executive to lead its Indonesian operations and expects its Indonesian entity to be set up within weeks.
He said the company has also secured a proof-of-concept project from a major Indonesian conglomerate, signalling promising prospects for its regional expansion.
At the opening gong, SRKK AI made a strong debut, opening at 60 sen against its IPO price of 32 sen, with 11 million shares changing hands.
Commenting on the debut, chief strategy officer Alex Lam said SRKK AI had not anticipated such a strong opening. It reflected investors’ confidence in its business fundamentals, its recurring revenue base, profit margins and overall financial performance, he said.
Lam said SRKK AI’s managed partner status with Microsoft will accelerate its regional expansion through access to new business opportunities.
Lam said the company is among the few Microsoft-managed partners in Malaysia, which enables it to work closely with the technology giant.
Microsoft is instrumental in giving us leads and opportunities. They help open doors and, coupled with our expertise and specialisations, it will be a lot faster for us to make a significant impact there, he said. - Bernama
