KUALA LUMPUR: Insas Bhd saw its net profit fall 32.62% to RM39.48 million for the first quarter ended Sep 30, 2017 (1QFY18), from RM58.59 million a year ago, as earnings across all business divisions fell.

Earnings per share declined to 5.95 sen, from 8.84 sen. The group declared an interim dividend of one sen per share despite lower profit.

In the announcement to Bursa Malaysia this evening, Insas said its financial services division and investment trading division suffered fair value loss on financial assets and derivatives during the quarter under review.

As for the group’s technology and IT-related manufacturing, trading and services division, Insas said lower gain on disposal of shares in an associate company had resulted in lower pre-tax profit in this business segment, despite having higher revenue and contribution from the group’s 19.9%-owned Inari Amertron Bhd.

For the remaining quarters of FY18, Insas said it is of the view that its stock broking and structured finance units are “positioned adequately” and will maintain their positive contribution to the group.

“M&A Securities Sdn Bhd will continue its niche in its stock broking and corporate finance advisory role in promoting SME companies to list on the new LEAP Market introduced by Bursa Malaysia in June 2017,” it said.

On its investment trading division, Insas said it is largely dependent on the global economy which it expects to grow “modestly”.

“The board is optimistic the Technology unit and Inari Amertron Group will maintain their positive financial performance in FY18 due to projected growth in revenue arising from continuing demand for the Technology unit and Inari Amertron Group’s existing and new services/products,” it commented.

Insas’ share price fell 0.5 sen to 91 sen today, giving it a market capitalisation of RM603.34 million.