Sime Darby Pins Hopes on Mining, Data Centres to Revive Earnings

Sime Darby Bhd is counting on its mining business and data centres to boost earnings in FY27. The group's CEO, Datuk Jeffri Salim Davidson, said that while the auto segment is experiencing a slowdown, particularly in China, BMW's Neue Klasse range will drive growth.

The company's industrial segment is seeing 'green shoots' with more sustained order books for repair and rebuild work, according to Davidson. Sime Darby Industrial distributes Caterpillar equipment and backup power systems in Malaysia, which will be a key driver of growth.

Group CFO Muhammad Noor Abd Aziz said the decline in full-year earnings was mainly due to lower gains from the disposal of Malaysia Vision Valley land. However, he does not expect further declines in earnings in the coming quarters.