6
Techno
Dex
Berhad
(627634-A)
ANNUAL REPORT 2016
FUTURE OUTLOOK
The Malaysian economy remains resilient despite a more challenging external environment, including moderate global
growth, declining commodity prices and volatility in financial markets. The Group remains prudent on the near term
outlook of the ICT industry, but continues to be positive in the longer term. Whilst the global economic environment
is expected to be affected by economic slowdown, the Malaysian economy is expected to grow at a moderate pace.
The Group is positioned to weather these uncertainties by focusing in growth strategy which focuses on a prudent and
cohesive expansion in activities closely correlated with the Group’s core competencies. In anticipation the slowdown,
the Group will engage in development of new ICT products (vertical solutions) and services, targeting at the government
sector, financial institutions and property industries. The new products and services will allow the Group to penetrate
into new marketspace that in turns will bring forth new income streams to the Group.
Manpower outsourcing service will remain as one of the key focus segments. The Group foresees increase in revenue
in this segment especially due to market uncertainty in the job markets, more companies will be opting for flexible
outsourcing option instead of committing fixed hiring costs. The Group foresees the manpower outsourcing a growing
revenue contributing segment, and will continue to expand market condition prevails.
Payment Gateway licensing segment sets the future growth potential for the Group and is expected to generate
higher revenue in the coming years. The Hotel Reservation Platform licensing agreements have also been completed
for markets like China, Hong Kong and Taiwan. Concurrently, discussions are ongoing for other markets inclusive of
Thailand, Indonesia, Cambodia, Vietnam, France, Italy, and Spain. Further to this, the Group will be operating in five (5)
countries inclusive of Malaysia, Singapore, Australia, USA, and United Kingdom using the Hotel Reservation Platform.
This operation will allow the Group to go into consumers market, and in turns improve the variety of the Group’s
revenue portfolio. The Group forecasts that this segment will contribute with increased percentage in the total revenue
portfolio in the upcoming financial year.
Property data content service segment will continue to focus on property related data and consulting service to
both Business to Business and Business to Customer marketspaces. The Group will target audiences from financial
institutions, estate agencies, and consumer market.
The Group foresees an organic and moderate growth in the application development, support & maintenance services
segment. The revenue shall come from the existing customers’ base, particularly from the Government sector.
In addition, the Group will focus on expanding its existing businesses both locally and globally. The strategy aims to
diversify the revenue dependency on the local markets.
In summary, the Group is confident to perform satisfactorily amidst of the economic uncertainty by taking pragmatic
and well strategized action plans towards maintaining financial performance of the Group.
CHAIRMAN’S
STATEMENT
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