REFLECTING ON THE YEAR The year under review brought about new uncertainties, with external headwinds such as energy security, global inflation, and supply chain disruptions posing challenges for global economies. However, the reopening of borders and the lifting of movement control orders allowed us to expand our international business presence and deepen our foothold in the market. In Malaysia, the reopening of the economy led to an increase in work orders secured by our Infrastructure Services division, resulting in a surge of infrastructure and construction projects. Digital and technology also continued to drive the business landscape, building on the pandemic’s momentum, which shifted how people worked and lived. At UEM Edgenta, we adapted to these challenges and made the most of the opportunities. As an early adopter of technology in the asset and facilities management industry, we capitalised on its potential to deliver value and improve lives. Our advanced, technology-driven solutions enabled us to secure RM1.36 billion in new contracts, with half being technology-enabled, sustainable solutions that extract value from our customers’ assets powered by data-driven insights. We also formed strategic partnerships with global technology leaders, enhancing our solutions and propositions in our markets. Our pivot to become a global organisation is bearing fruit, as indicated by the fact that 62% of our new wins in 2022 were from our international business. This shift unlocks new growth avenues and mitigates the threat of localised economic shocks, allowing us to allocate our resources towards high-quality earnings opportunities and operate with greater agility than ever before. We also recorded a 30% growth in new wins from the previous year, driven by growth in infrastructure and international business. This growth is a testament to the quality of our service delivery and the strength of our EoTF25: OUR STRATEGIC PROGRESS UEM Edgenta’s EoTF25 Strategy has been instrumental in driving our strong performance in 2022, and we made significant progress in executing the strategy throughout the year. Our transformational plan is centred on leveraging technology to propel our growth, with three key pillars at the core of our strategy. We are on track to achieving the goals set out in these pillars, which drive our transformational journey. in-house tech capabilities, which have been instrumental in our success. These factors have allowed us to maintain our strong market position in our current operating markets, while also capturing market share in high-growth markets. OUR PIVOT TO BECOME A GLOBAL ORGANISATION IS BEARING FRUIT, AS INDICATED BY THE FACT THAT 62% OF OUR NEW WINS IN 2022 WERE FROM OUR INTERNATIONAL BUSINESS OUR 2025 GOAL IS TO REACH 12% REVENUE GROWTH PER ANNUM OVER FIVE YEARS, AND WE HAVE ALREADY ACHIEVED A 12% COMPOUND ANNUAL GROWTH RATE (“CAGR”) SINCE 2020 Our 2025 goal is to reach 12% revenue growth per annum over five years, and we have already achieved a 12% compound annual growth rate (“CAGR”) since 2020. A key area of progress has been the development of new products, including our innovative Integrated Healthcare Support. We have already rolled out 15 Integrated Hybrid Intensive Care Units (“ICU”) and implemented a Replacement-ThroughMaintenance (“RTM”) programme for 62 units of Biomedical Engineering Maintenance Services (“BEMS”) assets between 2020 and 2022. These solutions are helping us to stay at the forefront of the industry, and we’re always looking for new ways to innovate. EXPAND FOOTPRINT AND DEEPEN SOLUTIONS Pillar 1 In terms of international expansion, we entered the Kingdom of Saudi Arabia (“KSA”) in 2022, which became our sixth overseas market for business operations. Our acquisition of a 60% stake in MEEM through the partnership with MASIC, a reputable Saudi-based investment company, strengthened this establishment and opened up opportunities to tender for mega infrastructure and healthcare projects under the government’s ambitious Saudi Vision 2030 strategy. Our healthcare support services and facility management contracts in Singapore, Taiwan, and the United Arab Emirates (“UAE”) continue to experience success, evidenced by an impressive 90% renewal rate during 2022, which is a testament to the quality of our work and the strong relationships we have built with local clients. We are also expanding into new sectors that offer higher margins and more promising growth opportunities, such as manufacturing, education and hospitality industries across Singapore and Taiwan. We are leveraging our technology and sustainability solutions in asset and facilities management to expand our addressable market. MD/CEO’S STATEMENT MD/CEO’S STATEMENT p.38 p.39 UEM EDGENTA BERHAD INTEGRATED ANNUAL REPORT 2022 1 2 3 4 5 6 7 8 9 KEY MESSAGE
RkJQdWJsaXNoZXIy NDgzMzc=