Fajarbaru expands works in RMAF project
Subsidiary wins another aussie govt defence contract
“We believe we are well-positioned to deliver exceptional results, showcasing our commitment to excellence and our ability to meet the strict requirements of the Australian Department of Defence.” Tan Sri Chan Kong Choy
PETALING JAYA: Fajarbaru Builder Group Bhd’s wholly-owned subsidiary Fajarbaru Builder Sdn Bhd (FBSB), along with Avionics Pty Ltd (APL), has secured a delivery phase (early works) contract from the Australian Department of Defence, with Fajarbaru’s portion of the contract worth Rm11.04mil.
In a statement, Fajarbaru said the award further expands its involvement in the design and construct infrastructure project to redevelop military facilities at the Royal Malaysian Air Force (RMAF) Base Butterworth in Penang.
With this announcement, the total value of Fajarbaru’s work secured for the project stood at Rm23.34mil as of March 15.
On July 10, 2023, Fajarbaru and APL were awarded a Head Contract (International) Two Phase from the Australian Department of Defence to redevelop the Australian leased facilities and Malaysian facilities at RMAF Base Butterworth.
For the Planning Phase, Fajarbaru’s portion of the contract initially had a value of Rm7.36mil but on Jan 11, 2024, it announced that the total value of this portion had been revised upward to Rm12.3mil to account for additional works.
The early works, which comes under the project’s delivery phase, will commence on March 18, and is scheduled to be completed on Nov 21, 2024.
Fajarbaru group executive chairman Tan Sri Chan Kong Choy said securing this award is another reaffirmation of its position as a trusted partner in critical infrastructure projects.
“We believe we are well-positioned to deliver exceptional results, showcasing our commitment to excellence and our ability to meet the strict requirements of the Australian Department of Defence.
“Over the long run, we believe this project will be a significant contributor to our earnings. We continue seeking opportunities to further expand our involvement in this project by bidding for more packages with a focus on value-added and negotiated business,” he said.
For the second quarter ended Dec 31, 2023, Fajarbaru reported a net profit of Rm20.88mil on the back of revenue of Rm126.79mil primarily from its property development segment.
As of March 15, 2024, Fajarbaru’s construction division order book amounted to Rm927mil and it is currently tendering for construction projects with a combined value of Rm4.7bil across the private and government sectors, it said in its statement.
Major recent job wins include a contract worth Rm120.82mil for construction works at the Johore Golf & Country Club, which also marks the group’s inaugural venture into Johor.
The group continues extending its project portfolio across diverse regions, ranging from Penang to the East Coast, Klang Valley and southern states in Peninsular Malaysia.
In financial year 2024, Fajarbaru will also continue building the brand presence of its property development business and broadening its property development portfolio.
Its latest development project is Desa Green in Kuala Krai, Kelantan. The group is also engaged in a joint venture for the Centralised Labour Quarters project in Senawang, Negri Sembilan.
The group noted that in Australia, it has initiated a new project in Fitzroy, Melbourne, slated for launch this year.