Mesiniaga secures RM32.3 million Customs Department contract extension

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Mesiniaga extends MyGST contract

Highlights

Mesiniaga has secured a RM32.3 million contract extension with the Customs Department for maintenance and licence renewals of the MyGST system from 16 Oct 2026 to 15 Oct 2028.
The contract is expected to contribute positively to the group's earnings and net assets for the financial year ending 31 Dec 2026 and subsequent periods.
For the first half of 2026, Mesiniaga recorded a net loss of RM0.95 million (narrowing from RM2.13 million), while revenue rose 22.4% to RM113.2 million.

This article was translated from the original. Read the original version by our correspondent here.

Contract details and implementation period

According to The Edge Malaysia, as reported in the company's exchange filing on Tuesday, the new contract extension takes effect from 16 Oct 2026 to 15 Oct 2028 and does not include an automatic renewal clause.

The agreement covers maintenance work and licence renewals for the MyGST system, the Customs Department's legacy online system for administering the goods and services tax, GST. GST was Malaysia's broad-based consumption tax from April 2015 until its abolition in September 2018.

Although the current sales and service tax system, SST, is now administered through MySST, the MyGST system continues to be used to support other tax administration matters, meet statutory and legal requirements, and facilitate the agency's work procedures.

Financial implications and current performance

Mesiniaga said the contract is expected to contribute positively to the group's earnings and net assets for the financial year ending 31 Dec 2026, as well as subsequent periods until the contract is completed.

For the first half of financial year 2026, the company's net loss narrowed to RM0.95 million from RM2.13 million in the previous period, while revenue rose 22.4% to RM113.2 million. The group said the revenue increase was driven by higher contributions from project deliveries and services.

Mesiniaga shares fell one sen, or 0.9%, to RM1.16 at Tuesday's close, giving the group a market value of around RM70.1 million.

In our previous article on the suspension of MyEG Sdn Bhd and Zetrix AI Bhd as JPJ collection agents, we explained that both companies were stopped from performing the role effective 5 Oct 2026 due to issues involving compliance with agreement terms and unresolved outstanding obligations. We also explained that the suspension resulted in the discontinuation, on the same date, of all JPJ services previously offered through MYEG Group channels.

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