News

KUALA LUMPUR: Malaysia’s largest home improvement retailer MR DIY Group Bhd posted a net profit of RM158.63 million for the fourth quarter (Q4) ended December 31, 2023 (FY23), an increase of 16.6 per cent from RM136.07 million posted in the same quarter last year. The net earnings increase was partially lifted by the absence of a one-off prosperity corporate tax of RM10.2 million in Q4 FY22. Revenue for Q4 FY23 rose 7.6 per cent to RM1.14 billion from RM1.06 billion posted in the same quarter last year, driven by a 16.8 per cent growth in new stores. Transaction volume increased 16.7 per cent as the company continued strategically expanding its store network across its core brands from 1,080 stores in FY22 to 1,255 as of December 31, 2023. Gross profit (GP) margin for Q4 FY23 rose 2.1 percentage points (pp) year-on-year (YoY) to 45.8 per cent. The improvement was mainly due to the normalisation of freight costs and the impact of the price adjustment exercises carried out in FY22. Consequently, GP increased 12.7 per cent YoY to RM525.4 million. For FY23, MR DIY posted a cumulative revenue and net profit of RM4.4 billion and RM560.7 million, up 9.4 per cent and 18.5 per cent, respectively. Chief executive officer Adrian Ong said the company continues to deliver growth across all key indicators. He said since the company’s initial public offering (IPO) in 2020, MR DIY’s store network has grown by 111.6 per cent from 593 to 1,255 as of the end of FY23. Revenue has grown by 70.3 per cent from RM2.6 billion in FY20 to RM4.4 billion in FY23. More importantly, net earnings have grown by 66.3 per cent from RM337.2 million in FY20 to RM560.7 million in FY23. “This reflects the strength and resilience of our business model, underpinned by the value-for-money offering that resonates with Malaysians from all walks of life. “This commendable set of financial results is also attributable to the determination of our close to 18,000-strong workforce, who have been committed to ensuring we deliver an excellent retail experience whilst staying on course with our expansion strategy,” Ong said in a statement. Ong said MR DIY is confident of its prospects going forward, driven by the demand for everyday essentials at consistent value, especially in this period of persistent inflation and the rising cost of living. “Our growing store network makes us increasingly accessible to more Malaysians and underpins our role as their go-to retailer for everyday household items. “Our plan in the near and mid-term is to open 180 new stores in 2024 and surpass 2,000 stores by 2028. “This will further cement the company’s position as the largest home improvement retailer in the country,” he said. MR DIY declared a dividend of RM94.4 million for Q4 FY23, taking the full year’s dividend payout to RM302.1 million, a 47.9 per cent improvement from the previous year. The full-year dividend equals a payout ratio of 54 per cent of its net profit.

KUALA LUMPUR: Newly-listed electrical engineering service provider HE Group Bhd (HGB) registered revenue of RM44.2 million for the fourth quarter (Q4) ended December 31, 2023 (FY23), lower by 44.0 per cent lower from RM78.9 million posted in the third quarter (Q3) FY23. The decrease was mainly attributed to the completion of certain projects in Q3 FY23. In tandem with reduced total revenue, profit before tax (PBT) also decreased by RM1.4 million or 28.9 per cent to RM3.4 million for Q4 FY23. This is the second interim financial report announced in compliance with the ACE market listing requirements of Bursa Malaysia. There are no comparative figures for the preceding corresponding quarter as no interim financial report was prepared for the comparative quarter concerned. For the quarter, the power distribution system and electrical equipment hook-up and retrofitting segments, which carry higher profit margins, contributed 70.3 per cent of revenue in Q4 FY23 compared to 59.2 per cent in Q3 FY23. Hence, the PBT margin increased to 7.7 per cent from 6.1 per cent due to the favourable project mix. For the full year, the company posted a revenue of RM204.4 million in FY23, mainly derived from the power distribution system and other building systems and works segments, contributing to RM133.4 million and RM59.9 million. These segments accounted for 65.3 per cent and 29.3 per cent of the total revenue, respectively. Additionally, these segments fuelled profitability, with PBT reaching RM14.8 million for FY23. The board have proposed a final single-tier dividend of 0.4 sen per ordinary share, amounting to approximately RM1.8 million for FY23. This translates to a dividend payout of 16.1 per cent. The proposed dividend is subject to shareholders’ approval at the upcoming annual general meeting. HGB managing director Haw Chee Seng said the company remains confident in its prospects as it focuses on executing the projects and actively participates in tenders to replenish the order book. HGB kicked off the new financial year ending December 31, 2024 (FY24) on a good note by securing a contract worth RM34.8 million. Its wholly-owned subsidiary, Hexatech Engineering Sdn Bhd on January 30, 2024, accepted a new work order from a Germany-based manufacturer of semiconductor components. The project involves designing, supplying, installing, testing and commissioning a low-voltage distribution system and is expected to be completed by April 30, 2024. HGB sees significant growth potential in the power distribution systems industry, driven by the strategic alignment of the government’s recently launched New Industrial Master Plan 2030 (NIMP) with the company’s core competencies. The NIMP prioritises development in key sectors such as electrical and electronics and medical devices, where a substantial portion of HGB’s major clients operate. This targeted growth within these sectors is expected to generate substantial demand for HGB’s power distribution systems solutions, translating to the potential for sustained earnings growth in the coming years.

KUALA LUMPUR: Muar Ban Lee Group Bhd (MBL) is poised to navigate the challenges the looming El Niño poses with strategic business diversification plans. The company is adopting technological advancements in palm kernel oil processing and ventures into the biogas sector, showcasing its resilience and potential as a critical player in the evolving market. The expected rise in palm oil prices allows MBL to increase revenue from its core operations. The company’s involvement in biogas aligns with the global trend towards renewable energy and offers an alternative application for palm oil, potentially reducing production risks associated with El Niño. “MBL’s investment in modern technology is a game-changer, enhancing our efficiency and yield in palm kernel oil processing. “This strategic move positions us to maximise our resources and maintain a competitive edge, especially in times of reduced production,” MBL’s top management representative said in a statement. Further, the spokesperson said the anticipated global upswing in palm oil demand, driven by biogas, positions MBL favourably. As biogas gains prominence in the energy sector, MBL’s involvement could lead to new revenue streams and market opportunities. MBL’s venture into biogas marks a strategic move, aligning with the global shift towards renewable energy. By converting palm oil production waste into energy, MBL addresses environmental concerns and taps into a burgeoning market. This diversification also provides a buffer against the volatility of palm oil prices and production levels. Furthermore, MBL’s strategic divestiture of a 51.0 per cent stake in Indonesia-based PT Serdang Jaya Perdana for RM11.0 million has streamlined its financial portfolio, boosting cash flow and overall financial stability. By shedding a low-yield asset, this divestment refocuses the company’s efforts on more lucrative ventures. Post-divestment, MBL’s revenue normalised to RM74.58 million in the third quarter (Q3) FY23, with its core manufacturing business contributing RM51.97 million. Meanwhile, profit after tax jumped 62.5 per cent quarter-on-quarter (QoQ) to RM4.98 million, driven by heightened demand in its manufacturing division. Regarding the business outlook, a substantial order book and a favourable business climate could boost earnings in the near term. MBL’s success is underpinned by its diverse product and service offerings in the palm oil industry, notably its commitment to sustainability. Initiatives like the empty fruit bunch (EFB) biogas plants and palm oil mill effluent (POME) water treatment systems exemplify MBL’s dedication to environmental stewardship, turning waste products into energy and managing wastewater efficiently. The shift towards renewable energy is crucial to MBL’s robust earnings growth prospects. This transition aligns with global environmental goals and presents lucrative opportunities for the company. “A deliberate and strategic shift in our asset portfolio has not only strengthened our financial footing but also allowed us to channel our resources towards more profitable and sustainable ventures,” a senior executive at MBL said. Aside from the growth potential, MBL’s diversified revenue streams enhance its earnings resilience and stability. MBL’s automotive division, for instance, contributed approximately RM28.18 million in revenue during Q3. Additionally, MBL’s plantation segment, though in its early stages with an immature durian plantation yet to yield revenue, represents a promising avenue for long-term growth. From an investment perspective, MBL presents an attractive valuation. The company’s net asset per share, at 95 sen, is significantly higher than its current share price of around 45 sen. Before the COVID-19 pandemic, MBL had a strong track record of dividend payouts, suggesting potential future dividends as business normalises. However, challenges loom on the horizon, particularly concerning the impact of El Niño. This climatic phenomenon risks palm oil production, potentially affecting supply and prices. MBL must navigate these uncertainties, which could affect production volumes and revenue. The company’s response to these challenges will be crucial in maintaining its growth trajectory and fulfilling its commitments to shareholders and clients. “We are acutely aware of the challenges ahead. Our strategy is to stay nimble, adapt quickly, and leverage our technological and market strengths to weather these uncertainties,” the senior executive said. While MBL is positioned for success with its diversified business model, technological advancements, and commitment to sustainability, it must remain vigilant and adaptive to overcome the challenges posed by El Niño and other market fluctuations. This proactive approach will be vital in sustaining its growth and upholding its reputation in the industry.

KUALA LUMPUR: In a significant nod to its burgeoning status as a global hub for sustainable urban development, Kuala Lumpur has been chosen to host the prestigious UIA2024 International Forum (UIA2024) from 15 to 19 November 2024 at the Kuala Lumpur Convention Centre. This landmark event, expected to draw more than 3,000 delegates, underscores the city’s commitment to fostering diverse, inclusive, and sustainable urban environments. Organised jointly by the Pertubuhan Akitek Malaysia (PAM) and Dewan Bandaraya Kuala Lumpur (DBKL), the UIA2024 is set to be a transformative gathering. It will bring together architects, urban planners, policymakers, and enthusiasts from around the globe to engage in  critical discussions under the theme of DiverseCity for Humanity and Sustainable Growth. This theme reflects modern cities’ complex challenges, emphasising the need for strategies that prioritise human well-being alongside environmental stewardship. The forum is anticipated to generate a significant economic impact, with an estimated RM43.4 million in benefits and up to RM18.5 million in visitor expenditures, bolstering the Malaysian economy. DBKL project implementation and building maintenance department director Hanum Ain  Zainal said Kuala Lumpur is steadfast in its journey to emerge as a global frontrunner in crafting resilient, inclusive, and habitable urban landscapes. “The UIA2024 International Forum Kuala Lumpur offers a golden opportunity for us to exchange insights, absorb global best practices, and cultivate partnerships that will propel us towards achieving our collective aspirations,” she said in a statement. PAM president Ar Abu Zarim Abu Bakar said hosting the UIA2024 in Malaysia is significant for sharing cultural diversity experiences and a powerful way to promote dialogue, understanding, and appreciation for the diverse cultural contexts in which architecture operates. “It has the potential to inspire positive change, foster collaboration, and contribute to advancing architecture as a socially responsible and culturally responsive profession,” he said. The theme DiverCity, reflects Malaysia’s unique cultural diversity and commitment to environmental stewardship. It highlights the importance of inclusive and sustainable urban development practices that prioritise the well-being of communities and the environment. The forum also aligns closely with the United Nations Sustainable Development Goals (SDGs), particularly goals related to reducing inequalities, gender equality, peace and justice and strong institutions. Architects and urban planners play a crucial role in advancing these global agendas through innovative design and planning solutions that address global issues such as social inequality and cultural preservation. The successful bid by the Malaysian delegation, presented in a hybrid format at the UIA 148th Council Meeting and extraordinary general assembly in Madrid, Spain, included prominent figures from the architectural and urban planning sectors. The team responsible for this achievement includes UIA2024 convener Datuk Ar Ezumi Harzani Ismail, PAM past president Ar Sarly Adre Sarkum, past deputy president Ar Alice Leong, Nusantara Academy of Development director Ar Ahmad Najib Ariffin, Malaysia Convention & Exhibition Bureau (MyCEB) chief operating officer Noor Ahmad Hamid, along with 16 other delegation members, including PAM and UIA former president Tan Sri Ar Esa Mohamed. Supported by the Ministry of Tourism, Arts and Culture (MOTAC), MyCEB, ARCHIDEX, and other partners, UIA2024 is set to be a transformative event that highlights Kuala Lumpur’s advancements and shapes the future of sustainable urban development globally.

KUALA LUMPUR: Powerwell Holdings Bhd (PHB) posted a profit before tax (PBT) of  RM12.03 million for the third quarter (Q3) ended December 31, 2023 (FY24), a seven-fold jump from RM1.61 million posted in the same quarter last year. This leap in profitability was mainly due to the higher gross profit margin realised from key projects, particularly in the data centres, solar power plant project and semiconductor plant project, underlining the strong performance and growth trajectory in these sectors. The gross margin for PHB improved to 26.6 per cent in Q3 FY24 compared to 12.8 per cent in the same quarter a year ago. Accompanying this substantial increase in profitability, PHB also recorded a notable 49.9 per cent increase in revenue for Q3 FY24, reaching RM67.48 million, compared to RM45.03 million in Q3 FY23. The revenue growth was primarily driven by higher sales from Bangladesh due to project sales from the successful deliveries of the solar power plant and garment and yarn projects. Aside from that, the company also achieved a milestone entry into the Australian market in Q3. Meanwhile, Malaysia saw a reduction in project sales in Q3 FY24 as the semiconductor plant is nearing its completion. This decline was offset by the uptick in sales in high-value projects such as commercial properties and data centre projects. PHB executive director Catherine Wong Yoke Yen said Q3 performance reflects the strength and resilience of the company’s strategic initiatives and the team’s hard work. “We are particularly proud of our expansion into new markets and the successful delivery of high-value projects, which have significantly contributed to our growth,” she said in a statement. On PHB’s overseas expansion, Wong said the successful delivery of low-voltage switchboards to a factory in Australia reflects the company’s ability to deliver projects internationally. PHB also saw strong growth in Bangladesh, supported by successful deliveries of projects, including those in the solar power plant and garment and yarn projects. The year-to-date performance echoed this positive trend, with revenue of RM132.90 million, up from RM101.42 million. Meanwhile, PBT jumped more than three times to RM17.73 million during the first nine months of FY24, from RM4.98 million in the same quarter last year. “Looking forward, we are focused on sustaining our growth momentum while continuing to explore new opportunities for expansion and enhancing shareholder value. “PHB will leverage its market strengths, diversify its offerings and capitalise on opportunities in infrastructure and renewable energy sectors. “We believe our strong fundamentals, as seen by our improving balance sheet and resilient earnings growth, track record, commitment to timely project delivery and adaptability, position us well for future success despite the current uncertain global economic climate,” Wong said. The company’s declaration of its second single-tier dividend of 1.4 sen per ordinary share for the financial year ending March 31, 2024, supports the positive outlook, reflecting confidence in its financial health and future prospects. This brings the total dividend for the first nine months of FY24 to 2 sen per ordinary share.

KUALA LUMPUR: The 30% Club Malaysia has appointed Nurul A’in Abdul Latif as its new Chair. Nurul A’in is currently the executive chair and an assurance partner at PwC Malaysia. In this role, Nurul A’in will lead the drive to advance women leaders on corporate boards and management teams in Malaysia. 30% Club Malaysia founding chair Tan Sri Zarinah Anwar welcomed Nurul A’in as the new chair and expressed confidence that she will continue to drive the club’s mission with vigour and determination, refining strategies for achieving gender balance in boardrooms while fostering a culture of inclusivity. “This partnership with PwC Malaysia as our new corporate sponsor underscores the vital role that local corporations play in advancing diversity, equity, and inclusion (DEI) initiatives. “Our journey towards achieving true parity is a long one. Our campaign favours aspirational stretch targets, viewing sustainable change as a collective endeavour that demands holistic solutions at every stage of the talent lifecycle,” Zarina said in a statement. Based on data provided by the Securities Commission Malaysia, as of January 1, 2024, women hold 30.9 per cent of board seats in the top 100 public-listed companies (PLCs) and 25.6 per cent of seats in all PLCs on Bursa Malaysia. “Since our inception in 2015, we have embarked on a dedicated journey towards DEI to enhance female representation on boards and management of Malaysian PLCs. “The achievement of the 30 per cent minimum threshold for the top 100 PLCs in June 2023 is a significant milestone, providing greater impetus to our drive for parity in the boardroom. “The 30 per cent is not a ceiling. It is the minimum, a tipping point towards achieving true parity in boardrooms and C-suites, recognising talented and competent women by ensuring an equal playing field,” said Zarina. Nurul A’in said promoting inclusion and diversity has always been an important part of PwC’s values and strategy. “I am honoured to take on this role at 30% Club Malaysia and work alongside the many volunteer advocates to garner support from business leaders in Malaysia, in the mission to continue improving inclusivity on company boards and senior management levels. “With the global allocation of capital towards quality, diverse and inclusive companies, Malaysia needs to be well-positioned to promote the investability of our leading listed companies. “The case for inclusion and diversity on boards and senior management goes beyond financial returns. Today’s companies are faced with the pressure to transform, driven by technological disruption, environmental, social and governance (ESG) considerations and rapidly changing consumer preferences. “Diversity, especially at decision-making levels, makes room for the range of perspectives, experience and knowledge needed to differentiate themselves for long-term business sustainability,” she said. Central to addressing the challenges that women directors face in gaining visibility in the board circles is the 30% Club Malaysia’s Board Mentoring Scheme (BMS). Established in collaboration with PwC Malaysia in 2017, the BMS has provided invaluable guidance to 106 senior women leaders across eight cohorts. 41 per cent of mentees have secured board roles in PLCs, SMEs, and industry associations to date. “While we have achieved 30% of women in the top 100 PLCs, we need to close this gap for PLCs in Malaysia overall. “However, it’s incredibly important women who take on positions on boards are willing and able to contribute positively to organisations’ growth. “I look forward to driving greater engagement with business leaders to be advocates for gender parity in their own networks, mobilise greater collective action across public and private institutions to build a more inclusive business environment, and expand our quality, board-ready women pipeline for our PLCs,” Nurul A’in said. The 30% Club Malaysia is committed to driving top-down collective action, galvanising stakeholders across sectors with corporate advocates and partners’ support to accelerate progress towards a more inclusive future.

KUALA LUMPUR: Visa, a world leader in payments, today announced the opening of its transformed Singapore Innovation Center, a dedicated space for partners, clients and businesses in Asia Pacific. The centre enables stakeholders to engage with Visa technologists to co-create payment solutions ahead of demand as the payments landscape evolves rapidly,  delivering scalable innovation and addressing the biggest challenges and opportunities in digital payments in the region. Visa president Asia Pacific Stephen Karpin said Visa is bringing ideas to life in a way that’s truly unique to the Singapore Innovation Center, a dynamic hub where it transforms innovative concepts into practical solutions. “We are dedicated to helping businesses discover valuable insights early so they continue to stay ahead in the rapidly digitalising payments landscape. “By combining our expertise with cutting-edge technology and solution architecture, we work alongside our partners to materialise solutions that address payment challenges, driving real business value and growth for our clients,” he said in a statement. The Visa Singapore Innovation Center represents Visa’s vision of shaping tomorrow’s payment possibilities. Showcasing technologies like artificial intelligence (AI) in retail and payments, and reimagining modern credentials for enhanced security and convenience, it also serves as a springboard for thought leadership in decentralised and embedded finance, offering tailored solutions for businesses and fostering innovative collaborations with startups. Singapore Economic Development Board chairman Png Cheong Boon said the Visa Singapore Innovation Center deepens the longstanding partnership between Visa and Singapore and enables Visa to tap into the country’s vibrant innovation ecosystem to develop new solutions and create new business opportunities for the global market. “We look forward to strengthening and expanding this close partnership with Visa and also hope to encourage more global companies to undertake such activities in Singapore,” he said. Visa’s Singapore Innovation Center is at the forefront of developing advanced payment technologies, focusing on delivering significant business benefits.

KUALA LUMPUR: Kuala Lumpur Kepong Bhd (KLK) has redesignated Tan Sri Lee Oi Hian as the executive chairman effective February 22, 2024, following the retirement of Raja Tun Alias. The redesignation was made at KLK’s 51st annual general meeting held on February 21, 2024. Raja Tun Alias has served as a board member since July 1, 1978, and was appointed as chairman of KLK on May 1, 2008. KLK in a statement said Raja Tun Alias has shown exemplary leadership and steered the company through some of its most challenging times. “KLK has been most fortunate and indeed privileged to have Raja Tun Alias serve on the KLK board for more than 45 years, the last 15, as our chairman. “We remain forever grateful for his astute leadership and steady oversight of KLK’s expansion and related diversification,” Lee said in the statement. Lee joined KLK in 1974 as an executive and was appointed to the board of KLK on February 1, 1985. In 1993, he was appointed as the group chairman and chief executive officer (CEO) and held the position until 2008, when he relinquished his role as chairman, but remained as an executive director and CEO of the KLK. Lee is also the chairman of Batu Kawan Bhd, the holding company of KLK. KLK board and management thanked Raja Tun Alias for his distinguished service to the KLK over the last 45 years.  

KUALA LUMPUR: Oil palm plantation player MKH Oil Palm (East Kalimantan) Bhd (MOP) signed an underwriting agreement with M&A Securities Sdn Bhd and Kenanga Investment Bank Bhd for its upcoming initial public offering (IPO) on the main market of Bursa Malaysia. Under the IPO, MOP will issue 220.0 million new ordinary shares, constituting 21.5 per cent of the company’s share capital of 1.02 billion. Additionally, 30.7 million existing shares, equivalent to 3.0 per cent of the enlarged share capital, will be offered for sale to selected investors through private placement. Among the 220.0 million new shares, 51.2 million new shares, or 5.0 per cent of the enlarged share capital, will be available for application by the Malaysian public through balloting. Out of these, 25.6 million shares or 2.5 per cent of the enlarged share capital, will be offered to the general public, with an equivalent amount reserved for Bumiputera public investors. Furthermore, 168.8 million new shares, representing 16.5 per cent of the enlarged share capital, will be allocated to chosen investors via private placement. MOP non-independent non-executive chairman Tan Sri Chen Kooi Chiew said this underwriting agreement marked a significant step towards listing the company on the main market of Bursa Malaysia. “With access to the broader equity market, MOP will have the necessary resources and flexibility to capitalise on the attractive opportunities ahead. “In line with our growth strategy, funds raised from the IPO will be used to expand our plantation landbank by acquiring land close to our existing plantation estates. “Additionally, we will also focus on enhancing our operational efficiency and increasing our processing capabilities and product offerings with new machinery and equipment,” Chen said in a statement. Under the underwriting agreement, M&A Securities and Kenanga Investment Bank will jointly underwrite 51.2 million new shares made available to the Malaysian public. MOP, an upstream oil palm plantation company, is engaged in oil palm cultivation, including the production and sales of crude palm oil (CPO) and palm kernel (PK). The company owns two oil palm plantation estates with a total area of 18,205 hectares, one palm oil mill and one jetty, all located in East Kalimantan, Indonesia. Within the plantations, most oil palms are in the prime mature stage, representing peak production years between the ages of 10 and 16. Situated along the equator, the plantations benefit from adequate rainfall and sunshine, creating an optimal climate for oil palm cultivation. The plantation’s operation is further supported by a palm oil mill and a jetty, easing logistics management. The plantation estates are strategically located in a prime area, close to the provincial capital of East Kalimantan, Samarinda, the financial centre of Kalimantan, Balikpapan and Indonesia’s new capital, Nusantara. “Overall, we are upbeat on our prospects, as the increase in global population is a crucial driver for rising demand for edible oils and fats globally. “We are well-positioned to benefit from the expanding global edible oils market and the rise in CPO consumption in Indonesia. “Moreover, MOP is set to gain from the economic transformation of East Kalimantan, spurred by the development of Nusantara, Indonesia’s new capital city,” Chen said. MOP will be listed in April with M&A Securities as the adviser, managing underwriter, joint underwriter and joint placement agent of the IPO exercise. Kenanga Investment Bank is the joint underwriter and joint placement agent. Upon completion of the IPO, MOP will be a 63.07 per cent subsidiary of MKH Bhd, from 100 per cent currently.

KUALA LUMPUR: Paramount Corporation Bhd’s (PCB) subsidiary, Co-labs Coworking, is expected to further grow its network of space offerings in the Klang Valley this year. The coworking space provider is also considering the viability of extending its presence to the north and south of the peninsula. The company officially launched its seventh space at The Five, Damansara Heights today. PCB deputy group chief executive officer Benjamin Teo, who is also a director of Paramount Coworking, said Co-labs Coworking is one of the top three coworking space operators in Malaysia and is poised to grow further beyond. “We are now in the final negotiations for our eighth location that we aim to launch by the middle of the year. “For our members, it means they can cross-locate under our Co-labs Coworking passport system, which means a bigger community and more opportunities for collaboration,” he said after the launching. Co-labs Coworking is a brand under Paramount Coworking, a subsidiary of PCB. “We are at an inflexion point in our industry. In 2024, only two per cent of the total office supply is made out of flexible offices. “Our bullish thesis is that this will grow 10-15 per cent in the next five years,” said Teo. He said with remote work and flexible schedules becoming increasingly popular, coworking is the perfect solution to meet the changing demands of the post-COVID office landscape. “Our spaces are designed to accommodate a mix of in-person and virtual collaboration, with more open spaces and shared facilities. “Through our community programming, we focus more on wellness and sustainability, with our spaces designed to promote employee health and environmental sustainability. “This is, in fact, the beginning of greater things,” he said. Co-labs Coworking’s optimism can be seen by its 47 per cent growth in the last three months as one of Malaysia’s top three coworking space operators. “We have expanded Co-labs Coworking by 52,000 sq ft since November 2023, from 115,000 sq ft to 167,000 sq ft,” said Teo. “We took up an adjoining space at Tropicana Gardens Mall at Kota Damansara and opened up two new spaces, Ken TTDI at Taman Tun Dr Ismail in Kuala Lumpur and The Five at Damansara Heights,” he said. Co-labs Coworking The Five, which offers 15,407 sq ft of coworking space across two levels at Block C of The Five @ KPD, has been open for business since 15 January 2024. It is located at one of the five low-rise buildings that house restaurants, cafés, retail outlets and office spaces. It is also a short walk from the Semantan MRT station. “Our coworking spaces are reenergizing these buildings, built in the early 1970s, with young people and their creativity energy and productivity,” Teo said. “Co-labs Coworking is not just an office space but a space for creativity, collaboration and community, for growth and productivity. Our community team members organise and curate activities that foster collaboration and community,” he said. Photo caption: At the launching of Co-labs Coworking. (From left to right) Paramount Coworking assistant general manager Wayne Yap, Paramount Corporation Bhd deputy group chief executive officer Benjamin Teo and group chief executive officer Jeffrey Chew.