Construction pipeline to support Ibraco outlook


PETALING JAYA: Ibraco Bhd’s construction segment has evolved beyond a secondary earnings support function to property development, according to TA Research.

The research house said the township developer is targeting a medium-term revenue split of about 50:50 between construction and property development, highlighting construction as a core earnings pillar for the group.

In its financial year 2025 (FY25), the group’s construction revenue rose 58.6% year-on-year to RM419.9mil, already making up 54.6% of total revenue, which surpassed property development at 39.1%, it cited.

TA Research said the stronger construction contribution is largely anchored by two sizeable ongoing infrastructure jobs, including the ART Blue Line and Package A1-A of the Sarawak Second Trunk Road project.

It noted that the group’s construction projects make up the bulk of its RM734.9mil outstanding order book as at the end of 2025, providing strong near-term earnings visibility as execution progresses into more advanced stages.

“Furthermore, Ibraco currently has a portfolio of completed projects, including the RM302mil Mukah Airport, RM44.9mil Sarawak Water Supply Grid Programme, RM78mil Bintulu Methanol project, as well as works on the Bintulu sewerage treatment plant and government administrative complex.”

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Ibraco , construction

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