KUALA LUMPUR (Nov 27): Builder Ahmad Zaki Resources Bhd saw its net profit for the third quarter ended Sept 30, 2014 (3QFY14) rise 58% to RM1.86 million or 0.48 sen per share from RM1.18 million or 0.42 sen per share a year ago on better margin projects that have achieved higher progress rate.

Revenue for 3QFY14, however, declined 12.5% to RM171.05 million from RM195.61 million on higher costs incurred.

Ahmad Zaki did not declare any dividend for the quarter.

For the cumulative nine months ended Sept 30, 2014 (9MFY14), the group’s net profit almost doubled to RM9.98 million or 2.55 sen per share from RM5.19 million or 1.87 sen per share a year ago, while revenue rose 7% to RM496.2 million from RM464.48 million.

On a segmental basis, Ahmad Zaki’s construction division contributed 91% to the group’s total revenue in 9MFY14, followed by oil and gas (O&G) trading division (7%), plantation (1%) and others (1%).

On its prospects, Ahmad Zaki expects its construction business to perform better as its orderbook of RM1.96 billion “remains strong”, adding that the prospects to enhance it is encouraging.

“Moving forward, the O&G division will continue to be robust with steady flow of income to the group,” Ahmad Zaki told Bursa Malaysia this evening.

It also looks forward to achieving positive development in plantation division.

Ahmad Zaki currently has a total planted area of 4,750ha in West Kalimantan, Indonesia, which is operated by its 95%-owned subsidiary PT Ichtiar Gusti Pudi.

The counter closed 1 sen lower to 71 sen today, giving it a market capitalisation of RM342.26 million.