MCE secures automotive contracts in Malaysia, India


MCE Holdings Bhd group managing director Dr Goh Kar Chun

KUALA LUMPUR: MCE Holdings Bhd has secured new automotive contracts in Malaysia and India, including a project to supply electronic and mechatronic components to Proton.

In a filing with Bursa Malaysia, MCE said its wholly-owned subsidiary Multi-Code Electronics Industries (M) Bhd and 60%-owned MCE Hengtuo Sdn Bhd secured contracts to supply components for a designated Proton vehicle programme.

The supply of components is expected to begin in the financial year ending July 31, 2028 (FY28) and run for 84 months, subject to Proton’s programme and production schedules.

“Based on Proton’s current indicative production volumes, the Project is expected to generate revenue of approximately RM15.69mil for the MCE Group over the supply period, with estimated investment costs of approximately RM197,000,” MCE said.

Separately, MCE’s 55%-owned Indian subsidiary, MCE Abhishek K Auto Components Private Ltd, secured a contract from Deva Autotronics Private Ltd to design and develop mechatronic components for commercial vehicles in India.

The Indian project involves the design and development of mechatronic components for commercial vehicles, with fees of about RM1mil and completion targeted for the beginning of FY28.

MCE said the projects are expected to contribute positively to the group’s earnings and net assets per share over the 84-month period commencing in FY28.

Meanwhile, MCE reported a 21.5% increase in revenue to RM185.47mil for FY26 from RM152.60mil a year earlier, driven by continued sales of existing vehicle models, the progressive ramp-up in production of new models and design and development fees for upcoming models.

Net profit attributable to shareholders, however, fell 31.9% to RM16.29mil from RM23.91mil in FY25, which included a one-off gain from the disposal of land. Excluding the gain, FY25 net profit stood at RM17.59mil.

For 4Q26, revenue rose 12% to RM44.87mil, while net profit fell to RM835,000 from RM3.42mil on higher material and operating costs and adverse foreign exchange movements.

MCE declared a second interim single-tier dividend of five sen per share, payable on Oct 30, bringing its total dividend for FY26 to 10 sen per share.

Group managing director Datuk Dr Goh Kar Chun said FY26 marked the commencement of operations at the MCE Auto Hub and the continued expansion of the group’s automotive electronics capabilities.

“The new facility strengthens our ability to design, develop and manufacture advanced automotive electronics, including for next-generation and electric vehicles,” he said.

Looking ahead, MCE is set to begin supplying automotive components to the US from late 2Q27 or early 3Q27, with sales contribution expected to increase progressively thereafter.

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