WCT Secures RM152.7 Million Taiwan Highway Construction Contract

WCT Holdings Bhd has secured a RM152.7 million construction contract in Taiwan through its local subsidiary, strengthening the group’s presence in overseas infrastructure projects.

According to a filing with Bursa Malaysia, the contract involves construction works along a 4.1-kilometre section between the Gaoke and Gangshan interchanges on Taiwan’s Sun Yat-Sen Freeway located in Kaohsiung.

The project was awarded by WU En De Construction Co Ltd and covers roadworks, bridge construction and drainage infrastructure.

Construction is scheduled to commence on Aug 1, 2026, with completion targeted within 42 months. The contract is expected to contribute positively to WCT’s order book and long-term earnings visibility.

The latest win reflects WCT’s continued involvement in infrastructure and engineering projects beyond Malaysia, particularly in Taiwan, where the group has previously undertaken transportation-related construction works.

Following the announcement, WCT shares rose 1.02% to 49.5 sen, giving the company a market capitalisation of approximately RM772.1 million. Despite the positive development, the stock remains down nearly 32% over the past year, reflecting broader market challenges and investor sentiment toward the construction sector.

From a valuation perspective, WCT currently trades at a price-earnings (PE) ratio of around 16 times, which is lower compared with several major Malaysian construction peers.

For comparison, IJM Corp Bhd trades at a PE ratio of about 25 times with a price-to-net asset value (PNAV) ratio of 0.8 times, while Gamuda Bhd trades at approximately 26.2 times PE and a PNAV ratio of 2.1 times.

WCT’s PNAV ratio of 0.2 times is currently among the lowest within the sector, suggesting that the company is trading at a significant discount relative to its net asset value compared with peers.

The newly secured Taiwan contract may help improve investor confidence as the group continues to replenish its construction order book and expand its regional infrastructure portfolio.