The newly rebranded YFG Berhad, previously known as PJI Holdings Berhad, targets an order book of RM500 million based on the RM700 million tender bids submitted over the last 2 quarters.
The change in the company name and logo, and the implementation of the employee share option scheme follows a management buyout in 2011.
“Our listed shares were bogged down by fundamentals when we undertook projects in Sudan, Singapore and UAE that impacted the company’s nets assets that led to a freefall of shares,” explains Lim Chong Ling, YFG Berhad’s managing director. “We want to put that legacy behind us and make a fresh start.”
YFG is derived from the Mandarin word ‘Yu Feng’ which means “overflowing with abundance.”
Lim asserts that the company’s credentials, proven expertise, work experience, and specialisation provide YFG Berhad with a competitive edge in this market.
Among the projects that YFG Berhad is involved in currently include various E&M services in KLIA 2, electrical services for a mixed development property in Puteri Harbour, Iskandar Malaysia, Johor for UEM Sunrise Berhad, construction of a 13-megawatt biomass power generation plant for Agni Power Sdn Bhd, and construction of a commercial property along the shorefront in Kota Kinabalu for Sunsea Development Sdn Bhd also known as Oceanus Waterfront Mall.
“With a refreshed branding and business outlook, we plan to expand from our core E&M base to cover the renewable energy, power generation, oil and gas, building construction, and property development sectors,” he adds. “Our new direction will enable us to take full control of the projects we’re involved.”
YFG Berhad, with a market capitalisation of RM60 million, comprises a core engineering-based and multidisciplinary management team.
According to Lim, the utility and renewable energy sectors are an upstream business that provides a profitable yield of up to 15 per cent. The company is also exploring water treatment plant deals.
“These are among our long-terms goals that may eventually contribute up to 50% of the company’s earnings.”
YFG Berhad recorded a net profit of RM901,000 from RM78.1 revenue for the first nine months of its current financial year which ended on 30 June.
Apart from Iskandar Malaysia, YFG Berhad is also looking at building mid-range houses below RM500,000 in support of the government’s initiative to provide affordable housing for Malaysians.
“We are confident that the property market will remain buoyant for the next decade,” predicts Lim. “Coupled with the government’s thrust on infrastructure projects, we feel that there’s a void in the mid-range property market that needs to be addressed.”
As of the current financial year, YFG Berhad has cleared more than half of its accumulated losses and is optimistic in settling the remaining RM25 million within the next five years. YFG Berhad is currently operating with RM6 million in cash coupled with short-term loans to finance its projects.