KUALA LUMPUR (Feb 25): Talents training outfit Prestariang Bhd saw its net profit plunged 83% on-year to RM1.83 million or 0.38 sen per share in the fourth quarter ended Dec 31, 2014 (4QFY14), as opposed to RM10.73 million in 4QFY13.

Revenue in the said quarter has declined by 59.34% to RM12.36 million, from RM30.41 million a year earlier.

Prestariang has declared to pay out a single-tier interim dividend of 0.5 sen per share, totalling RM2.42 million, for the reporting quarter. The dividend will be paid to the eligible shareholders on March 26, 2015, with the ex-date on March 10, 2015.

In a statement with Bursa Malaysia today, Prestariang (fundamental score: 1.95; valuation score: 0.30) said the lower number of training classes conducted by its academy contributed to the overall decrease of revenue, mitigated by higher sales of software licenses.

As for its full year ended Dec 31 last year, the group has raked in a net profit of RM20.3 million, a decline of 51.77% on-year from RM42.09 million. Revenue came in 33.95% lower at RM78.85 million, from RM119.38 million a year earlier.

This was due to lower contribution from the group’s software & services segment, as well as its training business.

Noting that this was the first ever year-on-year decline in the group’s top and bottom line, Prestariang’s chief executive officer Abu Hasan Ismail said the management has managed to lower operating cost by RM5 million or 20%, compared to previous year.

“Nevertheless, we remain positive on our outlook, moving forward. 2014 was also an investment year for Prestariang, with an investment of RM4.5 million on the development of new project. This investment will set a new platform for future sustainable growth, aligned to our new core focus as a talent and technology company.”

Notably, Prestariang was recently appointed by the Ministry of Finance to provide Microsoft softwares to all the government agencies in Malaysia.

The counter closed 3.45% or 7 sen higher to finish at RM2.10 today, giving it a market capitalisation of RM1.03 billion.

(Notes: The Edge Research's fundamental score reflects a company's profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)