Kelington’s total new orders for FY20 hits all-time high

Chief executive officer Raymond Gan said the company remained resilient during the unprecedented year, supported by a strong pipeline of project orders.

PETALING JAYA: Integrated engineering solutions provider, Kelington Group Bhd, has clinched several new contracts amounting to RM118mil in the fourth quarter of 2020 (Q4).

In a statement, the company said the new contract wins lifted Kelington’s total new orders in financial year 2020 to RM490mil, hitting a new all-time high of total new orders secured and surpassing last year’s record of RM386mil.

“The majority of the new orders secured were from the Ultra High Purity (UHP) segment, accounting for about 60% of the total, from across China, Malaysia and Singapore. More than one-third of the new orders secured was awarded by the largest semiconductor foundry company in China, ” it said.

Chief executive officer Raymond Gan said the company remained resilient during the unprecedented year, supported by a strong pipeline of project orders.

“The recovery of the semiconductor industry has been encouraging, and we are seeing the resumption of project orders from Malaysia and Singapore for our UHP and Process Engineering division.

“Despite the fluid economic landscape, our project flow from China was doing relatively well, and contributed approximately 35% of total new orders secured in Q4, as our major semiconductor client continues to expand its operations, ” he said.

He said the company was positive that the upward momentum will continue in 2021, as semiconductor and electrical and electronic industry players were gradually ramping up their operations to get back on track for expansion.

Meanwhile, Gan said the group’s industrial gases operations have normalised with production volume being resumed to the previous level. However, following the recent announcement on the second movement control order or MCO, it is cautiously optimistic on the pace of sales orders.

“We do not foresee a similar decline in demand for our liquid carbon dioxide such like the first MCO as most of our major end-users such as industry players from construction, manufacturing, etc, are permitted to operate this time around, ” he added.