Serba Dinamik Annual Report 2021

Section 5 | Management Discussion & Analysis 152 Kuwait Bahrain Qatar UAE Oman Saudi Arabia MIDDLE EAST FINANCIAL PERFORMANCE Our largest revenue contributor for the past six (6) financial years were from Middle East region which accounted at 62.37% of our total Group’s revenue during the period. The region generated RM5.37 billion in FPE2021. From this region, the Group operates in six (6) countries such as Bahrain, Kingdom of Saudi Arabia (“KSA”), Kuwait, Oman, Qatar and UAE. This region is known as largest oil producers in the world of which for 2020 the region accounted more than a quarter of the global oil production at 27.0%. This gives opportunity to the Group that has presence in six (6) countries within Middle East region to grow along with the market. Our largest contributor in Middle East region, Qatar, recorded at 26.92% of the Group’s revenue for the period. The revenue generated from our operation in the country amounted to RM2.31 billion. On 5 January 2021, the blockade on Qatar has been lifted after three and a half year. This shows a positive development towards the country and give leverage to the Group to capture potential opportunities in the country. United Arab Emirates (“UAE”) is our second largest revenue contributor in the region for FPE2021 which generated a revenue of RM1.61 billion represents 18.76% of total Group’s revenue. This is driven by newly secured contracts for EPCC and ICT segment which also include revenue from Abu Dhabi Data Centre project amounted to RM35.52 million during the period. For the third largest revenue generating country in the regionwas Bahrainwith a total revenue generation of RM572.33 million recorded at 6.65% of the Group’s revenue. This is followed by Oman as our fifth largest revenue contributor for FPE2021 that two new contracts for the provision of maintenance in FPE2021 amounted to RM493.40 million. Despite of surging oil production in the United States from Kingdom of Saudi Arabia (“KSA”), it was ranked fourth in which contributed of 0.93% of the total revenue.