DRB-Hicom remains focused on digitalisation

PETALING JAYA: DRB-Hicom Bhd will remain committed to its digitalisation journey, optimising operations and strengthening efficiency across all segments.

In a filing with Bursa Malaysia, the conglomerate said it would focus on digitalisation despite the challenging business environment.

“The group anticipates a moderate outlook for the financial year ending Dec 31, 2025,” it said.

For the third quarter ended Sept 30, 2025, DRB-Hicom’s net loss widened to RM15.2mil compared with a net loss of RM5.29mil in the previous corresponding period, while revenue in the third quarter grew to RM4.49bil from RM4.13bil a year earlier.

In a statement, the company said the improved revenue was driven by higher sales across all business sectors – namely the automotive, properties, aerospace and defence, banking, postal and services.

For the nine-month ended Sept 30, 2025, DRB-Hicom’s net profit dropped to RM60.62mil from RM69.17mil in the previous corresponding period, while revenue rose to RM12.74bil from RM12.23bil previously. Its properties division revenue grew 51% to RM197.68mil, supported by progress from property concession development projects.

For the services segment, revenue rose 13% to RM158.57mil, largely attributable to a higher number of commercial vehicles undergoing inspections within the vehicle inspection business segment.

Revenue for the automotive segment grew 4.6% to RM8.84bil, mainly due to higher sales volume from Proton, supported by a favourable sales mix and increased contributions from automotive distribution companies.

As for the banking segment, revenue increased 4% to RM1.65bil, underpinned by higher financing income, supported by sustained business growth and an expanding customer base.

On the postal segment, DRB-Hicom said revenue rose 1.5% to RM1.34bil, supported by higher parcel volumes and growth in cargo and in-flight catering activities following an uptick in meal uplifts.

“This was partially offset by lower ocean freight management activities and prolonged downtime of a marine vessel undergoing dry-docking,” it said.

On the aerospace and defence segment, revenue declined 6.7% to RM544.88mil, reflecting weaker airlines demand following reduced deliveries of single-aisle aircraft and certain aircraft components.

Commenting on its automotive segment, DRB-Hicom said Proton’s momentum continues with the recent launch of the e.MAS 5 surpassing 10,000 bookings, while the e.MAS 7 maintains its dominance as Malaysia’s best-selling electric vehicle (EV).

“This reflects strong consumer confidence in Proton’s EV brand and reaffirms the group’s commitment to advancing its electrification strategy going forward.”

Additionally, it said the acquisition of Spirit AeroSystems Malaysia Sdn Bhd would further strengthen Composites Technology Research Malaysia’s core expertise within global supply chains.

“In addition, the proposed acquisition, targeted for completion by year-end, is expected to accelerate growth, drive higher value creation and reinforce Malaysia’s capabilities in the global aerospace industry.”