KUALA LUMPUR (May 31): DRB-Hicom Bhd reported a markedly lower net loss of RM10.26 million for the fourth quarter ended March 31, 2018, compared with RM329.57 million a year earlier, mainly due to the recognition of a research and development grant and better financial performance of operating companies.

For the full year, DRB-Hicom made a turnaround after three years of losses by reporting a net profit of RM498.44 million. This compares with a net loss of RM456.64 million in the previous year.

Full-year revenue rose 6.06% to RM12.79 billion compared with RM12.05 billion previously, the group said in a filing to Bursa Malaysia.

For the fourth quarter, revenue dropped 12.05% to RM3.06 billion from RM3.48 billion a year earlier, due to lower sales performance by the automotive sector brought about mainly by reduced sales volume at Proton.

DRB-Hicom said quarterly revenue from the automotive sector declined to RM1.65 billion from RM2.11 billion in the year-ago fourth quarter.

The services sector saw an improvement in quarterly revenue to RM1.22 billion from RM1.12 billion.

The group has recommended a first and final dividend of three sen per share for the year, compared with one sen in the previous year.

DRB-Hicom said the businesses within the group that recorded a better performance during the year included Pos Malaysia Bhd and Alam Flora Sdn Bhd.

"E-commerce growth will continue to be a prime driver for Pos Malaysia, eclipsing revenue from traditional mail," it added.

Going forward, the group is cautiously optimistic and expects to deliver satisfactory performance for the current financial year ending March 31, 2019.

For its automotive segment, the group aims to enhance its performance through launches of new models and facelifts by marques within its stable.

Its aerospace business, via the composite manufacturing arm, is meanwhile undergoing business expansion which is also on track to achieve higher growth going forward.

As for its services sector, DRB-Hicom said it will continue its momentum with logistics, banking and concession businesses remaining as the key growth contributors.

While for the property sector, the rationalisation exercise of non-industrial assets is expected to be completed by the end of current calendar year, in line with the group's strategic direction to have leaner property portfolio focusing on industrial land.

DRB-Hicom's share price closed up one sen or 0.57% at RM1.75 today, with a market capitalisation of RM3.40 billion.