Mah Sing targets 30 per cent revenue contribution from recurring income

Mah Sing Group Bhd wants recurring income to account for 30 per cent of group revenue within five years, as it seeks to broaden its earnings beyond property sales. Leasing income from commercial properties, estates and retail space forms part of that strategy.

Founder and group managing director Tan Sri Leong Hoy Kum told Business Times that reaching the target would depend on adding income-producing assets and turning opportunities into sustainable revenue. Recurring income currently makes up a relatively small portion of revenue, he said.

The group is considering selling land in Johor to data centre operators and hyperscalers. Its industrial expansion includes the RM2.2 billion MS Industrial Park @ Kulai, a joint venture with KLK Land Sdn Bhd covering 419.17 acres of freehold land in Zone E of the Johor-Singapore Special Economic Zone.

The partners have opened a sales gallery, with take-up for Phase 1A exceeding 90 per cent and Phase 1B available for purchase. The five-phase development is planned to include factories, industrial plots of one to eight acres, and larger sites for customised facilities and data centres. Mah Sing owns 60 per cent of the venture; KLK Land holds 40 per cent.

Mah Sing's property sales target is RM2.76 billion. For the financial year ended Dec 31, 2025, net profit increased eight per cent to RM260 million from RM239.1 million. The increase was supported by construction cost finalisation on projects approaching completion.