Serba Dinamik looks beyond O&G to diversify, expand ops
KUCHING: Serba Dinamik Holdings Bhd (Serba Dinamik) is looking beyond the oil and gas (O&G) industry to diversify and expand its business operations further across the globe.
In particular, the group aims to enhance its information and communication technology (ICT) segment to reduce its dependency on its O&G business.
In its recently released 2019 Annual Report, chairman/ independent non-executive director Datuk Mohamed Nor Abu Bakar in a statement noted that the Coronavirus Disease 2019 (Covid-19) is a factor that could weigh on economic growth if it is prolonged.
He added that the fear now is that a prolonged outbreak could mean second-round effects on the global economy, to which the global O&G services industry is not immune as the outlook for oil prices has dimmed since the beginning of the year, largely on slower economic activities, a drop in Chinese demand for oil and much less air travel.
“Despite the sombre backdrop, Serba Dinamik remains optimistic that it will show improvements in its financial performance, for both the top and bottom lines, backed by contracts secured across the globe.
“The group will focus on enhancing the ICT segment of the business and gradually reduce dependency on the Middle East while expanding into smaller markets in Central Asia and Africa. This will include growing the ICT segment while diversifying the Group’s business operations geographically,” he stated.
Meanwhile, Serba Dinamik’s managing director and chief executive officer Datuk Dr Karim Abdullah said measures introduced to curb the Covid-19 outbreak has opened up more opportunities for Serba Dinamik to leverage on the increased usage of IT.
“We see the lockdown period as time for strategic planning, developing our competencies and devising the right move for implementation when the time is
Despite the sombre backdrop, Serba Dinamik remains optimistic that it will show improvements in its financial performance, for both the top and bottom lines, backed by contracts secured across the globe.
Datuk Mohamed Nor Abu Bakar
right.
“The adaptation of new normal and social distancing during Covid-19 has actually opened more opportunities for us in the IT forefront technology,” he said.
“While this crisis presents challenges in the way we do business, it also offers various new opportunities in different areas. Thus, the chance for Serba Dinamik’s diversification into new business and new market to strengthen its core competencies,” he added.
Karim also pointed out that Serba Dinamik has continued to build and sustain its presence locally, in Southeast Asia, Central and South Asia and the Middle East.
“Towards this end, we have been continuously extending our engineering expertise into the power, water and utilities sectors,” he added.
Aside from that, Karim said Serba Dinamik is moving aggressively to grow its base in the forefront technologies surrounding IR4.0.
“This will be our next core business expansion as we take lead when the country moves to adapt and embrace digitalisation across the broad industries,” he said.
On that note, he said that Serba Dinamik’s wholly-owned subsidiary, Serba Dinamik IT Solutions Sdn Bhd (SDIT), has presented proposals to the government and other business partners to collaborate on new opportunities in this area.