KUALA LUMPUR, Kenanga Investment Bank Bhd (Kenanga IB) has raised its job win forecasts for Gamuda Bhd to RM22 billion in FY2026 and RM27 billion in FY2027, up from RM20 billion and RM25 billion previously. The increase was largely attributed to additional projects in Australia.
In a research note, the bank maintained its FY2025 job win estimate at RM17 billion. It projected Gamuda’s construction revenue to hold steady at RM15 billion in FY2026 before climbing to RM22 billion in FY2027, compared to its earlier forecast of RM18 billion.
Kenanga IB said there are no changes to earnings forecasts for FY2025 and FY2026. However, it revised its FY2027 earnings forecast upward to RM1.95 billion from RM1.69 billion.
The investment bank highlighted that data centres remain the main driver of Malaysia’s tender activity, with five to seven project results expected soon. The outcome of Pearl Computing’s data centre in Springhill is anticipated in 2026, with Gamuda expected to secure at least half of the upcoming contracts.
Other potential wins include the Ulu Padas water supply project, the Penang Light Rail Transit Package 3, and the Kerian water treatment and distribution infrastructure, which is likely to be awarded in the first half of 2026. Gamuda is also seen as a strong contender for another project in Taiwan.
Kenanga IB believes these developments will help Gamuda achieve its target outstanding order book of RM40 billion to RM45 billion by end-2025. In addition, Gamuda expects more renewable energy and transmission projects in Australia, in line with the country’s push to reach 82% renewable generation by 2030.
“Gamuda’s diversification and earnings visibility give us confidence in its growth trajectory,” the bank said, maintaining its ‘outperform’ call on the stock with a higher target price of RM6.10.
