Exactly 10 years later, where are Malaysia's G20 GLCs now?

New Straits Times

28-07-2025

Muhammed Ahmad Hamdan, Diyana Isamudin
KUALA LUMPUR: Exactly ten years ago today, 17 government-linked companies (GLCs), collectively known as the G20, "graduated" from a decade-long transformation programme.
The programme, which began in 2004, was aimed at sharpening commercial performance, tightening governance and unlocking value across the country's key state-linked corporations.
Originally consisting of 20 companies, the list had shrunk to 17 by the time the curtains fell on the initiative on July 28, 2015. A string of mergers, demergers, privatisations and strategic divestments over the years had redrawn the lineup.
That milestone was celebrated at a graduation ceremony which also kicked off the three-day GLC Open Day 2015 in August that year, a showcase of achievements touted by Putrajaya as proof that government-linked businesses could hold their own in the open market.
A decade on, 11 of those original companies are still trading on Bursa Malaysia. Some have grown their market presence, others have undergone restructuring and a few have seen their financials move sideways.
What binds them is that most remain under the stewardship of Malaysia's five major government-linked investment companies, the Employees Provident Fund (EPF), Khazanah Nasional Bhd, Permodalan Nasional Bhd (PNB), Lembaga Tabung Angkatan Tentera (LTAT) and Lembaga Tabung Haji (TH).
Leading the pack by a wide margin is Malayan Banking Bhd (Maybank), majority-owned by PNB.
Maybank, Malaysia's largest bank, added nearly RM40 billion to its market capitalisation over the past ten years, growing from RM85.46 billion in 2014 to RM123.56 billion as of end-2024.
The bank, which continues to be the heavyweight in both asset size and shareholder value, saw revenue climb from RM35.7 billion to RM68.9 billion, while net profit hit RM10 billion in financial year 2024 (FY2024), up from RM6.7 billion a decade earlier.
Close on its heels is the country's second-largest bank, CIMB Group Holdings Bhd, whose top shareholders include Khazanah and EPF.
The bank more than doubled its net profit over the period, recording RM6.98 billion in FY2024, up from RM3 billion in FY2014. Revenue grew to RM21 billion from RM14 billion, while its market cap swelled to RM88 billion from RM46.3 billion.
Telekom Malaysia Bhd (TM), the country's incumbent provider of fixed broadband and enterprise network services, also saw notable gains.
The Khazanah-linked firm, with EPF among its key institutional investors, reported net profit of RM2 billion in FY2024, more than double the RM831.8 million booked in FY2014. Revenue edged up to RM11.7 billion, while market capitalisation held steady at RM25.5 billion, almost unchanged from its level a decade ago.
National electricity provider Tenaga Nasional Bhd (TNB), in which Khazanah holds a majority stake, recorded RM56.7 billion in revenue in FY2024, up from RM42.8 billion in 2014.
During the period, TNB's net profit came in at RM4.7 billion, slightly lower than its RM6.47 billion result ten years earlier, though its market value rose to RM86.8 billion from RM69.9 billion.
For Axiata Group Bhd, also part of Khazanah's stable, the story is more complex. Revenue improved from RM18.7 billion to RM22 billion, but net profit declined to RM946 million in FY2024 from RM2.3 billion in 2014. Its market capitalisation shrank to RM22.9 billion from RM60.5 billion.
Sime Darby Bhd, a flagship of PNB's portfolio, reported revenue of RM67 billion in 2024, up from RM44 billion a decade earlier. Net profit was largely flat at RM3.3 billion versus RM3.35 billion previously.
However, following the group's 2017 demerger, which saw its plantation and property businesses spun off into separate listed entities, Sime Darby's market capitalisation now stands at RM16.1 billion, compared to RM58.6 billion before the split.
Bank Islam Malaysia Bhd, formerly listed under BIMB Holdings Bhd and tied to TH, posted revenue of RM4.7 billion in 2024, compared with RM2.97 billion in FY2014. Net profit rose slightly to RM569 million from RM532 million. Market capitalisation, however, eased to RM5.6 billion from RM6 billion over the same period.
Affin Holdings Bhd, which falls under LTAT's control, recorded RM2.17 billion in revenue and net profit of RM509.7 million in 2024. Both figures were down from FY2014 levels of RM3.08 billion and RM605 million, respectively. Despite the dip in performance, its market cap rose to RM6.99 billion, up from RM5.64 billion.
MBSB Bhd, majority-owned by EPF, saw revenue climb from RM2.6 billion to RM3.7 billion. Net profit, however, fell to RM406.7 million in FY2024 from RM1 billion in 2014. Market capitalisation also edged down to RM6.08 billion from RM6.2 billion.
Malaysian Resources Corp Bhd (MRCB), another EPF-linked company, reported flat revenue of RM1.6 billion in 2024, compared to RM1.5 billion in 2014. Net profit fell to RM63.67 million from RM152.6 million, although its market capitalisation rose modestly to RM2.35 billion from RM1.8 billion.
TH Plantations Bhd, a subsidiary of TH, reported RM877.7 million in revenue and RM75 million in net profit for 2024, both improvements over its RM488.9 million revenue and RM48 million profit in 2014. However, its market cap more than halved, falling from RM1.5 billion to RM602 million.
As these companies continue to navigate changing economic tides, their financial trajectories offer a glimpse into how Malaysia's GLC landscape has evolved since the 10-year transformation programme formally ended.
Several others from the original G20 cohort have exited the market entirely. Proton Holdings Bhd was sold by Khazanah to DRB-Hicom and subsequently delisted, while Pos Malaysia Bhd was also divested to DRB-Hicom but remains listed.
Boustead Holdings Bhd was taken private by LTAT. Malaysian Airline System Bhd, Malaysia Airports Holdings Bhd and UEM Group Bhd were all privatised.
UMW Holdings Bhd was acquired by Sime Darby in 2023 and Chemical Company of Malaysia Bhd was absorbed into Batu Kawan Bhd.