KUALA LUMPUR: Northern Solar Holdings Bhd, a leading renewable energy solutions provider, is poised to capitalise on Malaysia’s expanding renewable energy landscape, driven by large-scale solar (LSS) projects, national grid modernisation, and increasing demand for clean energy solutions.
Announcing the earnings, Northern Solar achieved revenue of RM24.05 million for the third quarter (Q3) ended December 31, 2024 (FY24), driven primarily by its engineering, procurement, construction, and commissioning (EPCC) of solar photovoltaic (PV) systems.
The company’s net profit for the quarter reached RM3.43 million.
For the nine months (9M) of FY24, Northern Solar generated RM64.2 million in total revenue and a net profit of RM10.86 million.
A key highlight of the financial results is the strong gross margin, which stood at 33.8% for Q3 FY24 and an impressive 37.6% for 9M FY24.
These figures reinforce Northern Solar’s operational excellence, pricing discipline, and cost-efficiency measures, positioning the company for sustainable long-term growth.
Managing director Lew Shoong Kai said the company’s ability to maintain a strong gross margin in a competitive industry speaks volumes about its financial discipline, strategic planning, and business model.
“This performance highlights our commitment to delivering sustainable profitability and long-term value for our shareholders,” he said.
Malaysia’s solar energy sector is expanding significantly. Over the next 24 months, the LSS5, LSS5+, and LSS6 programs are expected to unlock RM15-18 billion in contracts.
These projects and the RM42.8 billion investment in national grid upgrades (RP4 2025-2027) create a strong pipeline of opportunities for solar EPCC players like Northern Solar.
Having built a solid track record in solar EPCC and rooftop PV solutions, the company is now actively preparing to participate in LSS tenders and expand its presence in large-scale solar projects.
This marks a strategic shift for Northern Solar, enabling it to diversify its portfolio beyond rooftop solar into utility-scale solar farms.
In addition to the LSS program, the company is expanding its participation in key national renewable energy initiatives, including the Corporate Green Power Programme (CGPP) and the upcoming Corporate Renewable Energy Support Scheme (CRESS), positioning itself at the forefront of Malaysia’s clean energy transformation.
Its involvement in the CGPP will allow the company, through EPCC, to work with Solar Asset Developers and corporate off-takers through virtual power purchase agreements (VPPAs).
This will enable businesses to procure renewable energy directly and meet sustainability goals.
The company is also preparing to participate in the CRESS initiative, which will further facilitate corporate investment in renewable energy projects, expand its addressable market, and diversify its revenue streams.
“We are well-positioned to capitalise on this multi-decade renewable energy supercycle,“ Lew said.
“Our expertise in solar EPCC and rooftop PV solutions, combined with our strong financial position, enables us to secure high-value contracts and contribute to Malaysia’s clean energy transition,” he added.
With the additional capital of RM42.4 million raised during its recent IPO, the company will expand its footprint in key regions across Peninsular Malaysia, particularly in Pulau Pinang, Perak, Kedah, Perlis, and the East Malaysia state of Sabah.
This expansion will enable Northern Solar to further contribute to Malaysia’s clean energy goals and support the transition to a more sustainable energy future.
