KUALA LUMPUR (Feb 27): Steel and construction firm Eversendai Corp Bhd, which reported a net profit for the fourth quarter ended Dec 31, 2017 (4QFY17) versus net loss a year earlier, is confident of making progress this year as the group continues to build steady growth in terms of revenue and profit.

"We are very confident of achieving higher wins and profitable returns hereafter. We are focusing on further strengthening our operations in the current markets where we operate and streamline our cost control to improve better profits.

"With a fair balance of strength and resilience, prudence and sound enterprise risk management, we are well positioned to continue our confident performance to deliver strong margins returns in 2018," said its executive chairman and group managing director Tan Sri AK Nathan in a statement accompanying the group results today.

Eversendai posted a net profit of RM29.81 million in 4QFY17, compared with a net loss of RM214.46 million a year ago, on improvements in operating performance across various business units.

Quarterly revenue rose 48.86% to RM519.22 million, from RM348.79 million, according to its filing with Bursa Malaysia today.

For the full financial year ended Dec 31, 2017 (FY17), Eversendai reported a net profit of RM86.51 million, versus a net loss of RM278.88 million a year ago. Revenue clocked in 15.67% higher at RM1.83 billion, from RM1.58 billion.

"I'm pleased to report another positive quarter of financial results. FY17 was an active year for us where we remained resilient and focused on delivering growth and long-term shareholder's value.

"We took the liberty to drive performance with appropriate and deliberate actions alongside the internal restructuring and re-strategizing in 2016 which yielded in our 2017 profit margin," he said.

Eversendai said the steel fabrication and erection for building and infrastructure construction businesses in the Middle East region have contributed 54.6% to the group's revenue.

Meanwhile, the operations in Malaysia had contributed 11.2% to the group's revenue and its India operations had contributed 14.5%.

The group attributed the increase in revenue for FY17 to the DLF IT Park project.

It added the oil and gas (O&G) business contributed to 15.4% of the group's revenue in the current period as compared to 13.4% recorded in FY16 due to losses in the petrochemical plant project in Malaysia despite the improved profitability from the O&G division in the Middle-East.

Eversendai said the group's core business of structural steel remains the key contributor to the bottom line, contributing 68.3% of the revenue, while power plant, civil construction and O&G contributed the remaining 31.7%.

At the same time, the group has bagged a total of seven new contracts in the Middle East, worth about RM261.7 million.

In Qatar, it bagged three new contracts on the installation of steel for a stadium and a 7-star hotel tower. While in Dubai, four new projects are in hand, one of which is a mixed-use 77-storey twin tower development.

At the midday break today, Eversendai shares fell 0.5 sen or 0.62% to 80.5 sen, giving it a market capitalisation of RM624.80 million.