KUALA LUMPUR: Metal fabricator and assembler Wentel Engineering Holdings Bhd is optimistic that its revenue growth will be good in 2026, especially with its business operations remaining strong, particularly in Singapore.
Group CEO Chuah Chong Syn said the company targets its products at the Singaporean market more than the local market in Malaysia.
“Singapore’s electronic and electrical (E&E) sector is on a strong multiyear growth trajectory, supported by global semiconductor recovery, rising electronics exports and a robust ecosystem of manufacturing and R&D infrastructure,” he explained.
In April 2025, Singapore’s electronics manufacturing output surged 15.2% year-on-year, outperforming regional peers and this reflects strong global demand for semiconductors, test equipment, and high-precision components, Chuah said at a press conference when announcing the company’s first quarter FY 2025 results today.
He said Wentel remains committed to leveraging its competitive strengths and expanding the company’s market presence as means to drive value creation for stakeholders.
This commitment will be supported by an expansion of a new manufacturing plant in Johor Bahru, which is targeted to commence operations in the first half of 2026.
“The new plant is expected to substantially enhance our production capacity and operational efficiencies, positioning us to capitalise on the resurgence of global trade economies. As demand rises, we are confident to achieve satisfactory financial performance for the coming year,” Chuah said.
Wentel Engineering registered a profit after tax of RM6.1 million in the first quarter ended March 30, 2025, on the back of RM31.2 million in revenue. The growth is primarily attributed to high demand of E&E products including capital equipment, advanced packaging and wire bonding.
There was no dividend declared for the quarter under review.
Security screening equipment remained Wentel Engineering’s fundamental business as it contributed 64.7% of its total revenue for the quarter. However, on a quarter-on-quarter basis, the company’s E&E segment, which produces semiconductors, is surging faster than its security screening equipment business, which falls under the semifinished and assembly segment.
Financial controller Yap Yew Wei said this is because the semiconductor segment has large room to grow and they are starting off from a small base.
“We expect our security screening equipment business to make organic growth but no surge of revenue for now,” he said at the press conference.
“For the semiconductor segment there is room for us to pick up for both front end and back end customers,” he added.
Yap said global semiconductor sales are projected to grow to US$697 billion (RM2.96 trillion) in 2025 from US$627 billion in 2024 (+11%), and Singapore contributes 11% of global chip output and 20% of chip equipment production.
