Hartanah Kenyalang Secures Record RM283.9 Million Wisma JKR Sarawak Construction Contract

PETALING JAYA (July 10) — Hartanah Kenyalang Bhd has secured its largest construction contract to date after accepting a RM283.9 million government project to build Wisma JKR Sarawak in Kuching.

The contract, awarded by the Public Works Department (JKR) Sarawak, marks a significant milestone for the group and is expected to strengthen its construction order book while providing earnings visibility over the next several years.

Largest Project Awarded to the Group

The contract was awarded through a Letter of Award dated July 9, 2026, which was accepted by Hartanah Kenyalang's wholly owned subsidiary, Hartanah Construction Sdn Bhd.

According to the company, the project represents the largest contract ever secured by Hartanah Construction since its establishment.

Located in Kuching, Sarawak, the new Wisma JKR Sarawak will serve as the state headquarters for the Public Works Department.

Construction to Begin in July 2026

The project carries a 30-month construction period, with physical works scheduled to commence on July 23, 2026.

Upon commencement, the contract is expected to contribute progressively to the group's revenue and earnings throughout the construction period until completion.

The long-term nature of the project also enhances Hartanah Kenyalang's earnings visibility and strengthens its position within Malaysia's public infrastructure construction sector.

Positive Financial Contribution Expected

Hartanah Kenyalang said the contract will not affect:

• The company's issued share capital.
• Shareholding structure of the company and its subsidiaries.

However, barring any unforeseen circumstances, the project is expected to contribute positively to the group's:

• Revenue
• Earnings
• Net assets

for the financial year ending Oct 31, 2026, and continue supporting financial performance throughout the duration of the project.

Execution Risks Remain Manageable

The company noted that the contract carries the typical operational and execution risks associated with large-scale construction projects, including project management, scheduling and cost control.

Management indicated that appropriate risk management measures will be implemented to ensure timely delivery and efficient project execution.

The company also confirmed that none of its directors, major shareholders or persons connected with them have any direct or indirect interest in the contract.

What This Means

The award represents a significant breakthrough for Hartanah Kenyalang, demonstrating its growing capability to undertake larger public-sector construction projects.

Securing a RM283.9 million government contract substantially enhances the group's order book and provides stable recurring construction revenue over the next 30 months. Large government infrastructure projects also tend to strengthen a contractor's credentials, potentially improving its competitiveness when bidding for future public and private sector developments.

From a broader construction industry perspective, the contract reflects the continued rollout of government infrastructure and administrative building projects in Sarawak. As public development spending accelerates under state and federal initiatives, contractors with proven execution capabilities are likely to benefit from a stronger pipeline of institutional, civic and infrastructure projects across East Malaysia.