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“Eversendai says NEOM has terminated its Trojena Ski Village structural steel contract in Saudi Arabia. The group plans to submit compensation claims.”
Kuala Lumpur, 25th March 2026, 02.40pm – Eversendai Corporation Bhd said it has received a termination notice from NEOM Company for its structural steel works contract at the Trojena Ski Village project in Saudi Arabia, effective March 26, citing geopolitical developments in the Middle East.
In a statement, the Malaysian engineering and construction group said it is preparing supporting documentation to demonstrate the progress achieved on the project and will submit commercial claims related to the contract termination.
These claims will include compensation for early termination as well as costs associated with demobilisation of resources from the project site.
Company expects fair compensation
Eversendai said the contract had been executed in accordance with the agreed contractual obligations until the termination date and that it expects to receive appropriate compensation once the claims are formally substantiated.
The structural steel contract for the Trojena Ski Village was awarded in March 2024 to Eversendai in collaboration with Al Bawani Co. The project had an original construction timeline of approximately 28.5 months.
Part of RM5.4 billion contract wins
The Trojena project formed part of four major contracts secured by Eversendai two years ago with a combined value of approximately RM5.4 billion.
The other projects include the Wynn Al Marjan Island Integrated Resort development in the United Arab Emirates, as well as the Rupa IT Building and Rupa Crystal IT Building in India.
Order book remains above RM2 billion
Following the contract termination, Eversendai said its current order book stands at approximately RM2.02 billion, excluding the remaining value of the Trojena contract.
The group’s tender book, which reflects potential projects currently being pursued, totals RM18.4 billion.
The company added that several new projects are close to being finalised and are expected to further strengthen its order pipeline in the near term.
Middle East operations remain stable
Despite the contract termination linked to geopolitical developments, Eversendai said its operations across the Middle East region remain stable and the group continues to explore new opportunities within the region.
The company remains optimistic that upcoming contract wins will support its financial performance going forward.
Profit surged after major contract wins
Eversendai’s financial performance improved significantly following the major contract awards secured in March 2024.
For the financial year ended Dec 31, 2025 (FY2025), the group reported a net profit of RM110 million on revenue of RM2.14 billion. This represents a substantial increase compared with a net profit of RM14.1 million on revenue of RM1.24 billion recorded in the previous financial year.
Share price movement
The company’s share price rose sharply after the contract announcements in March 2024, climbing from around 20 sen to a peak of 78.5 sen in May that year before easing subsequently.
Over the past year, the stock has generally traded within the 40 sen to 50 sen range. The shares closed at 35.5 sen on Tuesday (March 24), giving the company a market capitalisation of approximately RM277.45 million.
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