Friday 29 Mar 2024
By
main news image

KUALA LUMPUR (May 27): Econpile Holdings Bhd’s net profit declined 8.31% to RM21.75 million in its third quarter ended March 31 (3QFY19) against RM23.72 million a year ago due to the deferment of infrastructure projects and a slow construction market.

Quarterly revenue declined 32.57% to RM138.26 million from the RM205.05 million posted a year prior, according to the filing with Bursa Malaysia. Earnings per share (EPS) shrank to 1.63 sen from 1.77 sen in the previous corresponding quarter.

For the nine months ended March 31 (9MFY19), the group’s net profit decreased 96.54% to RM2.34 million from the RM67.64 million a year ago. Its cumulative revenue declined 9.21% to RM486.74 million from RM536.12 million.

EPS for the period contracted to 0.18 sen from 5.06 sen previously.

The group attributed its lower cumulative earnings to a decline in income from its piling segment and property development and infrastructure projects, constituting a decrease of 8.9% to RM36.2 million and 10.2% decrease to RM13.2 million respectively.

The group also said its equipment rental income and machinery disposal gains amounted to RM2 million, from the RM6.9 million seen previously in 3MFY18.

To date, the group has 28 ongoing projects at various stages of completion, with its order book standing at approximately RM1 billion.

Its group chief Executive officer and Executive Director Raymond Pang said as at 9MFY19 the group saw its contract wins increase 35% to RM638.6 million, from the total value of projects secured as of FY18, while adding that the group is encouraged by the resumption of the East Coast Rail Link (ECRL) and Bandar Malaysia development.

“With the renewed optimism in the construction sector as a whole, we are confident in securing new jobs in both public and private sector-led property developments and infrastructure projects," said  Pang.

Its share price gained one sen to 60 sen — with 4.21 million shares traded — giving it a market capitalisation of RM802.50 million.

      Print
      Text Size
      Share