KUALA LUMPUR (May 31): KNM Group Bhd saw its net profit sink 81.81% to RM1.96 million or 0.09 sen per share in its first quarter ended March 31, 2017 (1QFY17) compared with RM10.79 million a year ago as revenue fell from a lower percentage of completed projects recognised and slower replenishment of new orders due to market uncertainties.

The group saw revenue in the quarter fall 17.7% to RM326.78 million from RM397.07 million in the previous year’s corresponding quarter, according to its filing with Bursa Malaysia today.

The group’s Asia and Oceanic segment recorded lower performance due to slower replenishment of new orders, while its Europe segment saw slightly lower revenue due to lower project percentage of completion recognised.

Meanwhile, the Americas segment reported a lower loss due to a decline in operating expenses, KNM said.

Going forward, the group said it would continue to diversify its income sources to recurring income businesses in the face of a challenging outlook for the year.

KNM is involved in project management, engineering, manufacturing, and construction for the renewable energy, power, utilities, refining and petrochemical industries.

Shares in KNM closed unchanged at a five-year low of 28 sen today on some 5.31 million shares traded, giving the group a market capitalisation of RM603.72 million.