Gamuda Bhd secured RM36 billion worth of new contracts in the financial year 2026 (FY26), significantly expanding its outstanding order book to RM61.2 billion as of July 2026, according to an analysis by CIMB Research. This figure surpasses the company’s earlier full-year target of RM50 billion, highlighting strong growth momentum in its construction segment.
The company reported a core net profit of RM1.05 billion for FY26, closely aligning with market expectations and representing 105% of CIMB’s forecast and 101% of the consensus estimate. The modest 5% year-on-year increase in net profit was primarily attributed to a 20% rise in construction pre-tax profit. This growth counterbalanced a 3% decline in property billings, which CIMB Research linked to administrative delays affecting key project launches in Hanoi, Vietnam.
Gamuda’s new order book for FY26 nearly tripled compared to RM12 billion recorded in FY24, driven by several high-profile projects spanning multiple countries. Beyond its activities in Australia, the company is pursuing additional contracts valued at up to RM8.1 billion. These include work packages for the Xizhi Donghu Mass Rapid Transit system and two rail extension lines in Taiwan, as well as the Northern Perak Water Supply Scheme, estimated between RM4 billion and RM5 billion.
On the property development front, Gamuda forecasts a substantial rebound in new sales driven by RM10 billion worth of upcoming launches. The firm expects new property sales to more than double to nearly RM7 billion in FY27. This projection is supported by the anticipated launch of the Chencharu Close residential development in Singapore, where Gamuda holds a 50% stake in a project valued at RM3.3 billion gross development value. Additionally, four new launches are planned in Vietnam, including the Central Park @ Gamuda City project scheduled for the first quarter of 2027.
In the United Kingdom, Gamuda is intensifying efforts to secure tenants for its London Wall property ahead of its scheduled completion in the first quarter of 2028. This pre-letting strategy is aimed at enhancing the asset’s revenue potential upon delivery.
CIMB Research has responded positively to Gamuda’s performance and outlook by raising its core profit forecasts for FY27 and FY28 by 4% and 1%, respectively, to RM1.24 billion and RM1.55 billion. The research firm reiterated a “buy” rating on Gamuda shares and increased its target price to RM6.10, up from RM6.00 per share.
Key factors that could drive further upside include additional contract awards and a revival in property sales. Conversely, risks remain from potentially lower-than-expected tenancy rates at Silicon Island and the London Wall development.