Mesiniaga Unit Upbeat on Revenue Target for First Year

The Star, 1 June, 2004

KUALA LUMPUR, JUNE 1: Navigis Sdn Bhd, a unit of Bursa Malaysia-listed Mesiniaga Bhd, is targeting revenue of between RM15mil and RM20mil in the first year of operation ending April 30, 2005.

The company, incorporated on May 17, specialises in providing consultancy for infrastructure and enterprise service management targeted at companies with complex asset structures that are scattered in different locations, particularly those in the energy, banking, telecommunications and shipping sector.

Its chief executive officer Philip Sidebottom said infrastructure management was still a virgin market in Malaysia compared with that in developed countries such as North America and the European Union. Our projection is a modest gross profit of RM5mil and with net profit of about RM2mil. We are on track to achieve it with our aggressive direct marketing efforts,'' he said after Mesiniaga's AGM and EGM in Subang Jaya yesterday.

Navigis managing director Fathil Sulaiman Ismail said companies that adopted the infrastructure management systems should see up to 35% drop in new asset purchases and maintenance of existing assets during the first year of implementation.

He projected that the company would contribute a minimum of 5% towards Mesiniaga's net profit for the financial year ending Dec 31, 2004.

He sees annual growth in profits for Navigis of at least 20% in the next few years, depending on the adoption speed of the industry.