KUCHING: WTK Holdings Bhd
is aggressively scaling up its frozen food business operation in Sarawak, with plans for regional expansion in the next phase of growth.
The food operation, together with the expanding plantation business, has emerged as the key pillar and new growth driver for WTK as the group exits loss-making core business in timber.
This includes ceasing plywood manufacturing and drastically downsizing logging activities.
Group managing director and chief executive officer Datuk Seri Patrick Wong Haw Yeong said as the group’s frozen food business has demonstrated positive momentum, efforts are underway to scale up its operation via broadening product offerings and expanding its distribution network and retail outlets.
He said in the group’s 2025 annual report that its food segment, which operates through subsidiary Sing Chew Coldstorage Sdn Bhd, has developed a strong presence in the local market since 1999, supported by an extensive distribution network, broad product portfolio of own and foreign brands, and established ties with suppliers and clients.
The group also continues to strengthen its distribution business while enhancing WTK’s market presence and brand visibility, including initiatives undertaken over the past two years.
Wong said the group will continue to roll out Fro7sen retail outlets, targetting a three-fold increase to about 20 across Sarawak over the next three to five years to deepen market penetration and enhance brand visibility.
“As we grow, WTK also seeks opportunities to extend the group’s geographic footprint beyond Sarawak into Sabah, Indonesia and other regional markets as part of our long-term expansion trajectory.
“Through these initiatives, we aim to further strengthen WTK’s position in the food distribution market while supporting the next phase of growth for the food segment,” he added.
Wong also sees a “promising” outlook for the food distribution sector, supported by rising consumer demand for frozen and convenient food products.
WTK’s food segment has posted solid growth in recent years, with its revenue leaping by 30.7% to RM135.5mil in the financial year 2025 (FY25) from RM108.6mil in FY24 and contributing 23.5% to group revenue in FY25.
On plantation business, WTK has emerged as a larger and more established plantation player in Sarawak with the completion of the acquisition of two oil palm estates and a palm oil mill for RM555mil in cash last month.
Following the acquisitions, the group’s total planted oil palm area had surged by 82.4% to 31,845 ha from 17,456 ha.
“Importantly, the acquired estates have favourable crop age profiles that are expected to support both near-term production and future yield improvement,” said Wong.
As part of the group’s development strategy, he noted that cash-rich WTK remains open to exploring synergistic merger and acquisition (M&A) opportunities across the plantation and food segments to further expand operational scale and enhance market presence.
“Within the plantation segment, we welcome M&A prospects to enlarge the group’s plantation footprint and fresh fruit bunch production base, particularly estates with favourable crop and yield profiles.
“In the food segment, such initiative may enable us to broaden our product portfolio, access new markets and further improve the competitive positioning of our food business.
“While the group is receptive to strategic opportunities, we are committed to careful evaluation to ensure alignment with our long-term strategy and operational objectives.
“WTK’s focus remains on value-accretive opportunities that can deliver sustainable returns and enhance shareholder value,” he added.
As of Dec 31, 2025, WTK’s cash and bank balances stood at RM268.9mil.
