GEORGE TOWN: Texchem Resources Bhd is targeting its aerospace and medical device business segments to be significant drivers of the group’s growth in three years.
Group executive chairman Tan Sri Fumihiko Konishi (pic) said after an AGM that in 2015, the group had invested RM3mil in a new production line using heavy gauged extrusion plastic equipment to manufacture parts and components for medical equipment and equipment used in the galley of aircraft.
“We have received orders to produce the parts for a multinational corporation supplying to the aerospace sector.
“There are also orders in hand to produce medical device components and assemble medical equipment,” he said.
Currently, the aerospace and medical device businesses, which are under the polymer engineering division, contribute about 26% to the division’s revenue.
The polymer engineering (20%), food (20%) and restaurant business (20%) divisions generate about 60% of Texchem’s revenue annually, while the industrial division contributes the remaining 40%.
“We are also exploring to supply to the automotive industry,” he added.
Konishi said the restaurant division business would continue to be the frontrunner for the group.
“We are focused on growing the brand to boost market share as well as expansion via new concept restaurants in Malaysia and in the Asean region.
“Our business expansion strategy will also encompass new businesses in the value chain of the food services industry.
“The strategy of the restaurant division is to franchise out its Sushi King restaurants in the Asean region,” he added.
Konishi said the group’s food division would be supported by upstream business for sustainable growth.
“Meanwhile, the industrial and polymer engineering divisions continue to be influenced by global demand and their performance would be dependent on the expected gradual recovery of the global demand,” he added.