Southern Cable Wins RM121.1mil Orders from TNB

Southern Cable Secures RM121.1mil Variation Orders from TNB

Southern Cable Group Bhd has secured RM121.1 million in variation orders from Tenaga Nasional Bhd (TNB), strengthening its outstanding order book and reinforcing its role in supporting Malaysia’s power transmission and distribution infrastructure.

The variation orders relate to ongoing contracts for the supply of power cables and associated products, and are expected to contribute positively to the group’s earnings over the contract period.

Order book visibility and execution

The latest awards increase Southern Cable’s order book visibility, providing revenue support as Malaysia continues to invest in grid reliability, network upgrades and energy transition-related infrastructure.

Industry observers said variation orders typically reflect project scope expansions or specification changes, underscoring Southern Cable’s execution capabilities and long-standing relationship with TNB.

Strategic relevance

Southern Cable is a key domestic supplier to the national utility, with product offerings covering medium- and high-voltage power cables used in transmission, distribution and renewable energy-related projects.

The additional works are aligned with TNB’s broader capital expenditure programme aimed at strengthening grid resilience, accommodating rising electricity demand and integrating renewable energy capacity.

Financial implications

The group said the variation orders are not expected to have any material impact on its issued share capital or shareholding structure.

Analysts noted that sustained contract flows from TNB provide earnings stability and support capacity utilisation, particularly amid elevated infrastructure spending.

Outlook

With continued investments in grid modernisation and energy transition projects, Southern Cable is expected to remain well-positioned to benefit from ongoing utility-sector capital expenditure in Malaysia.