KUALA LUMPUR: Steel Hawk Bhd delivered a year-on-year (YoY) revenue growth of 55.9% to RM122.26 million for the financial year ended Dec 31, 2025 (FY25), compared with RM78.42 million recorded in FY24.
The improved performance was attributable to increased project execution and revenue recognition, as well as higher activity levels in non-PETRONAS projects.
In line with the improved topline performance, net profit rose by 8.5% YoY to RM13.73 million from RM12.65 million a year ago.
This performance was achieved notwithstanding the recognition of approximately RM8.94 million bad debts written off in relation to a customer undergoing winding-up proceedings during FY25.
Meanwhile, FY24’s net profit was affected by non-recurring listing expenses amounting to RM2.13 million.
On the group’s segmental performance, the engineering, procurement, construction
and commissioning (EPCC) services and facilities improvement/maintenance
division remained the main contributor, reporting revenue of RM113.20 million (92.6% of total revenue), rising 72.8% YoY from RM65.49 million in FY24.
The installation and maintenance (I&M) of the oilfield equipment segment was the second largest contributor with RM7.03 million (5.7% of total revenue), moderating from RM10.06 million in FY24.
The rest was contributed by the supply of oilfield equipment division at RM2.03 million (1.7% of total revenue) compared to RM2.87 million registered in FY24.
Commenting on the Group’s financial performance, Steel Hawk deputy chairman and executive director Datuk Sharman K. Michael said the group remain positive
on Malaysia’s oil and gas (O&G) sector, particularly the midstream and downstream
segments where asset integrity, maintenance and modification works are essential to ensure uninterrupted operations.
“While PETRONAS’ cost optimisation initiatives and a more selective issuance of work orders have moderated activity levels in certain areas, the underlying requirement to maintain and enhance existing facilities continues to provide a steady stream of opportunities for Steel Hawk.
“In response to the evolving operating landscape, we have expanded our EPCC scope beyond O&G. Our core engineering, fabrication and project management
capabilities are highly transferable to utilities, power, infrastructure,
telecommunications and other industrial sectors. Following shareholders’ approval to diversify our business obtained in November 2025, we are now able to actively pursue a broader spectrum of projects.
“This strategic move has already contributed to our FY25 performance, with stronger revenue contribution from non-PETRONAS projects complementing our traditional O&G operations.
“We are currently managing 21 contracts, including 13 on-going call-out contracts that provide multi-year visibility on our revenue and earnings. Supported by a healthy order pipeline and disciplined project execution, Steel Hawk is well positioned to sustain its profitable trajectory and strengthen its role as a reliable engineering partner across the
wider energy and infrastructure landscape,” he concluded.
Revenue for Q4 FY25 amounted to RM37.57 million, growing approximately 2-fold from
RM18.40 million recorded in Q4 FY24, driven by new work orders secured from non-PETRONAS customers.
However, net profit for the quarter was marginally softer at RM3.32 million, compared to RM3.57 million in Q4 FY24 as the group incurred higher administrative expenses which included higher staff costs, professional fees, and additional operational overheads associated with business expansion.
On a quarter-on-quarter (QoQ) basis, revenue increased to RM37.57 million from the Q3 FY25 RM20.43 million, largely supported by new work orders issued by non-PETRONAS customers.
Net profit improved more than 100.0% to RM3.32 million from RM1.18 million recorded in Q3 FY25.
