{
  "id": 6724370,
  "title": "HE Group outlook brightens on data centre, semiconductor growth",
  "url": "https://urgent.news/2026/09/11/he-group-outlook-brightens-on-data-centre-semiconductor-growth",
  "topic": "tech",
  "section": "Tech",
  "published": "2026-09-11T06:59:38.000Z",
  "source": {
    "name": "New Straits Times",
    "slug": "new-straits-times",
    "url": "https://www.nst.com.my/business/corporate/2026/09/1530500/he-group-outlook-brightens-data-centre-semiconductor-growth"
  },
  "original_language": "en",
  "account": "KUALA LUMPUR: HE Group Bhd's outlook is improving due to its robust data centre tender pipeline and expanding semiconductor sector involvement, according to PublicInvest. The group's wholly-owned subsidiary Hexatech Engineering SB recently secured a RM25 million purchase order for power distribution system works for a NAND flash memory products manufacturer. This order, which begins upon acceptance and is expected to be completed within 20 weeks (by the end of January 2027), adds to HE Group's orderbook, raising it to RM317.3 million. The company's tenderbook, meanwhile, stands at RM1 billion, with 80% of it related to data centres.\n\nPublicInvest has increased its FY26 orderbook replenishment target to RM430 million and raised its FY27 to FY28 earnings forecasts by an average of 30%. This revision is attributed to the consistent conversion of the tenderbook. The firm believes that HE Group's RM317.3 million orderbook and a strong RM1 billion tenderbook will provide earnings visibility in the near to medium term. Continued investments in data centre and semiconductor infrastructure, which align with the company's expertise in electrical engineering, are expected to position HE Group well for further contract wins.\n\nTalent retention and copper price volatility are identified as key factors to watch, though management remains actively managing these exposures. The firm has upgraded its call on HE Group from Neutral to Outperform, with a higher target price of RM1.26 from its previous 91 sen.",
  "summary": "KUALA LUMPUR: HE Group Bhd’s outlook remains positive underpinned by its strong data centre (DC) tender pipeline and growing semiconductor sector involvement, said Public Investment Bank Bhd (PublicInvest).",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}