MALAYSIA Transformer Manufac- turing Sdn Bhd (MTM), a subsidiary of Tenaga Nasional Bhd (TNB), expects sales of RM105mil for its financial year ending Aug 31, up from RM80mil last year.
TNB chairman Datuk Dr Awang Adek Hussin said based on this projection, MTM's profit could improve by 5% to 6% this year.
He attributed the improvement to the commencement of the backlog of projects since the Asian financial crisis. The company has projects to last it until 2005.
MTM, established in 1977, is a joint venture between TNB and the ABB Group, a major powerhouse in Sweden, with a 27% stake.
Dr Awang Adek said this at a press conference following an ISO 9001:2000 certificate presentation ceremony to MTM by Sirim QAS International Sdn Bhd.
He said since MTM supplied TNB with 80% of its production, there was excess capacity in terms of the local manufacture of transformers as there were 5 other producers that depended on TNB.
Dr Awang Adek said this situation could not continue, and MTM had to change its mindset and to venture into the regional and global markets.
Besides TNB, five other local companies are also interested to purchase transformers from MTM.
We should use our expertise to venture out rather than focus on the domestic market only. Bernama