YTL Power International Bhd (YTLPOWR)

YTL Power International Bhd — A Multi-Utility Giant at the AI Frontier

YTL Power International Berhad (Bursa: YTLPOWR, 6742) is not your typical utility company. Behind the familiar image of a power and water conglomerate lies an ambitious transformation story — from a Singapore-dependent power generator to a major player in the global AI and data centre ecosystem.

Incorporated in 1995 as a subsidiary of YTL Corporation Berhad (4677), a conglomerate led by Tan Sri Francis Yeoh, YTL Power today operates across five core business segments spanning four countries: Malaysia, Singapore, the United Kingdom, and Australia.

Business Segments at a Glance

The majority shareholder is YTL Corporation Berhad (>60%), controlled by the Yeoh family. YTL Power is Shariah-compliant ✅ — suitable for Muslim investors seeking utility and technology sector exposure.

The Transformation Story: From Electricity to AI

For over two decades, YTL Power generated substantial profits from PowerSeraya in Singapore — a power generation business that enjoyed highly favourable electricity price spreads. However, Singapore's electricity market has become increasingly competitive, and margins have compressed since FY2024.

In response, YTL Power has made two landmark strategic bets:

• 📡 Nvidia Partnership (December 2023): A USD4.3 billion collaboration to build Nvidia-powered AI data centres in Johor — including a supercomputer exceeding 300 exaflops of AI compute, among the fastest in the world
• 💧 Ranhill Utilities Acquisition (May 2024): Control of ~53.19% in Ranhill for ~RM405 million — unlocking access to Johor water operations strategic to the Johor-Singapore Special Economic Zone (SEZ)

The data centre campus in Kulai, Johor, spans 1,640 acres and is powered by a 500MW solar farm. Total investment to date: RM10 billion. YTL AI Cloud has been operational since late 2025 with the first 20MW.

Q4 FY2026 (ended 30 Jun 2026): revenue RM6.32 billion (up 14% YoY from RM5.55 billion), PBT RM691.5 million (down 25% YoY, but up 56% QoQ), net profit RM423.5 million (down 48% YoY from RM817.7 million).

For full FY2026: revenue RM22 billion (up 1% YoY), net profit RM1.69 billion (down 33.7% YoY from RM2.55 billion), estimated EPS ~19.6-19.7 sen.

YTL Power declared a second interim dividend of 4 sen per share, payable 23 October 2026. This brings the total FY2026 dividend to 8 sen per share — unchanged from FY2025 despite net profit falling 33.7%.

At the current price of RM5.79, the dividend yield is approximately 1.4% — modest, making this stock better suited as a «growth play» than a high-dividend-yield play.