Last updated on December 25, 2025
KUALA LUMPUR: HSS Engineers Berhad (HEB Group; Bloomberg: HSS MK; Reuters: HSSE.KL) delivered a robust second quarter performance, posting double-digit revenue growth and triple-digit profit growth while positioning its water infrastructure segment as a long-term expansion pillar.
For the quarter ended 30 June 2025 (“Q2FY2025”), the Group’s revenue surged 31.7% year-on-year to RM57.7 million, supported by stronger project management and steady growth in engineering design. Net profit climbed 135.0% YoY to RM6.6 million, underpinned by higher-value assignments and effective cost management.
Project Management and Engineering Design Drive Gains
Project management remained the largest contributor, delivering RM24.0 million in revenue, up 26.5% YoY, bolstered by roles in the Baghdad Metro and KTP Data Centre in Johor Bahru.
Meanwhile, the engineering design segment posted an impressive 82.0% YoY increase to RM17.9 million, powered by projects such as India’s Tuna Tekra container terminal, the Bayan Lepas LRT, and the Sungai Kelang Flood Mitigation Scheme.
For the first half of FY2025, revenue rose 19.8% to RM109.3 million, while net profit advanced 11.1% to RM8.0 million, compared to the same period last year.
Executive Vice Chairman’s Remarks
Commenting on the results, Tan Sri Ir. Kuna Sittampalam, Executive Vice Chairman of HSS Engineers, said:
“Our Q2 performance reflects the breadth of our expertise across sectors and geographies. We see strong momentum ahead, supported by the Government’s infrastructure push under the 13th Malaysia Plan, the recently approved MRT3 project, flood mitigation projects and major initiatives in Sarawak such as the new international airport, deep-sea port, and hydrogen-powered ART system.”
He emphasised that water infrastructure is emerging as a core growth pillar, backed by tariff adjustments and state-level investment:
“The sector’s outlook is strengthened by opportunities in large-scale water treatment, dam projects, flood mitigation, pipeline replacement, and pollution control. Our expertise positions us as a leading partner for utilities and industrial clients alike.”
Expanding Digital and Regional Footprint
The Group is also advancing in digital infrastructure and AI solutions, including AI-powered drone applications and Digital Twin initiatives for telecom towers in Malaysia, the Philippines, and Bangladesh, as well as the palm oil sector. Recently, HSS secured another data centre consultancy contract in Sedenak, Johor, reinforcing its role in Malaysia’s fast-expanding data centre ecosystem.
With a strong order book of RM2.1 billion providing up to 8 years of earnings visibility, supported by a RM510 million tender book across rail, ports, water, data centres, and international projects, Tan Sri Kuna expressed confidence in the Group’s trajectory:
“Looking ahead, our focus will be on leveraging digital innovation, expanding our regional footprint, and strengthening recurring income streams to create long-term value for shareholders.”
