Construction Boom Powers Electrical Cable Manufacturers, S'pore Player Trades at Half The PE of M'sia's

In the ongoing boom in the construction industry and regional data centres, the beneficiaries span multiple industries and roles.

While upstream contractors and suppliers (such as Pan-United) are most visible, less recognised beneficiaries include a critical player -- electrical cable manufacturer Tai Sin Electric.

Listed on SGX for 27 years with a low profile in the investment community, Tai Sin provides the wires that power and connect critical systems in infrastructure and data centers, ensuring electricity flows, data moves, and safety is maintained.

Its products are like the veins and nerves of these projects.

Tai Sin has been involved in big-name projects, some of which are highlighted on its website as follows:

projects montage8.25

FY2025 Highlights

Reflecting the buoyant construction and data centre sectors, Tai Sin delivered a stellar FY2025 (ended June).

Revenue climbed 20% YoY to SGD 480.7 million, fueled by robust demand in its core Cable & Wire segment (+25.4%) and Electrical Material Distribution (+13%).

"In Singapore, growth was supported by higher demand from public sector construction activities and data centre developments," says the company.

Net profit surged 78% to SGD 25.9 million on improved gross margins at 16.7% (+1.1 percentage points). For perspective, Tai Sin had a SGD2.2 million gain on disposal of a subsidiary in Cambodia in FY25, and did not have impairment losses (unlike the SGD2.3 million recognised in FY24).

Operating cash flow dipped to negative SGD 5.1 million due to working capital investments in inventory for anticipated demand.

Despite its low profile, with no analyst and media coverage (unlike construction stocks upstream in the supply chain such as Pan-United, BRC Asia, and Hong Leong Asia), Tai Sin's stock price has gained a commendable 33% year-to-date.

Most of the gain took place from July, raising the stock's PE to 9.2X. How does this look?

Without a comparable company on the SGX, let's look across the Causeway.

TaiSin relative9.25 Source: Morningstar

Southern Cable's Performance

On Bursa Malaysia is Southern Cable Group, which is benefiting from demand for high-voltage cables in data centres, renewables and and rail projects.

Southern Cable's trailing 12 months (July 2024–June 2025) showcased strong growth, with revenue hitting MYR 1.53 billion (up ~13% YoY on a comparable basis).

Net profit soared to MYR 102.86 million (~42% YoY increase).

Despite profit gains, free cash flow was negative at MYR 44 million due to capex for capacity expansion.

Comparing Tai Sin and Southern Cable

Metric	Tai Sin Electric (FY2025, SGD M)	Southern Cable (TTM, MYR M)	Notes
Revenue	480.7	1,530	Tai Sin is slightly ahead.
Net Profit	25.9	102.9	Southern's absolute profit higher (~SGD 31M equiv.), but Tai Sin's 78% YoY vs. 42% shows catch-up.
EPS	0.0564 SGD	0.90 MYR	Southern's trailing PE is 23.3X while Tai Sin's 9.2X. The former's market cap is RM2.1 billion (S$650 m) versus Tai Sin's S$242 million.
ROE	11.1%	21.9%	Southern excels in returns, leveraging equity better.
Debt/Equity	0.41	0.59	Both prudent.
Operating Cash Flow	-5.1	25 (est.)	Southern positive; Tai Sin's negative on higher working capital needs.
Dividend Yield	4.5%	1.0%	Tai Sin clearly has a higher yield

Bottomline

Tai Sin, founded in 1980, has a mature, diversified model across cables, distribution, testing, and switchgear, with a strong Singapore-Vietnam-Malaysia production footprint.

Tai Sin stock price	52 cents
52-week range	38-57 c
Market cap	S$242 M
PE	9.2
Dividend yield	4.5%
P/B	1.1
52-week change	29%

Its strengths include ISO certifications and iconic project wins Singapore.

Southern, listed in 2020, focuses on specialized manufacturing for power, telecom, and fire-resistant cables, emphasizing smart tech and in-house testing.

Opportunities abound for both in ASEAN's green energy shift. Risks include swings in the price of copper price, the main input material for making electrical cables.

Tai Sin hedges part of its copper exposure.

Southern Cable appears as a growth stock with stronger margins and higher ROEs, which suits growth investors.

Tai Sin, at 9.2X PE or roughly half of Southern Cable's and offering a higher dividend yield of 4.5%, suits value seekers eyeing meaningful capital growth too.

As new data centres and colossal infrastructure icons like Changi Terminal 5 and the Tuas Mega Port get built, they will pulse with life, energized likely by Tai Sin Electric's robust cables.

→ Tai Sin's FY2025 results release is here.

→ See also: TAI SIN ELECTRIC: Construction & Data Centre Boom Boosts This Company's Cable Business But It Has to Navigate Copper Risks

Construction Boom Powers Electrical Cable Manufacturers, S'pore Player Trades at Half The PE of M'sia's

FY2025 Highlights

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