KUALA LUMPUR: Property development and construction developer Ibraco Bhd posted a 64% drop in net profit for the third quarter ended Sept 30 (3QFY14) of RM8.6 million, compared with RM24.1 million a year ago. 

Revenue also declined 25% to RM48.6 million from RM65.2 million previously. The group has also also declared a single-tier interim dividend of 10 sen per share. 

In a Bursa Malaysia filing this evening, the group said changes in its product mix, sales and completion status had an impact on its earnings. 

"During this reporting quarter, revenue was primarily recognised from the sales of residential houses, sales of apartments, disposal of properties and rental income from investment property," it said. 

For the nine-month cumulative period (9MFY14), the company's net profit fell 28% to RM20.7 million from RM28.9 million previously. 

Revenue however increased to RM164 million, from RM116 million a year before. 

On prospects, Ibraco said as its revenue almost came wholly from property development, its performance was highly impacted by any changes in raw material and labour costs, as well as demand for its properties. 

"The group plans to launch more projects, comprising mainly residential and commercial properties, in 2014 and future years. The group monitors the market demand for our products and adopts a prudent approach with respect to any new projects," it said. 

Ibraco closed the day three sen higher at RM1.82, with a market capitalisation of RM230.39 million.