KUALA LUMPUR (May 30): Southern Steel Bhd reported a second straight quarterly loss today as it incurred a net loss of RM41.57 million in its third quarter ended March 31, 2019 (3QFY19), due to lower selling prices and challenging market conditions.

The group recorded a net profit of RM52.27 million in the same quarter a year ago.

Revenue for the quarter under review contracted more than one-fourth to RM699.96 million, from RM953.37 million in the same quarter a year ago, due to the same reason.

This brings Southern Steel's cumulative net loss to RM84.20 million, compared with a net profit of RM175.64 million in the same period in FY18.

Cumulative revenue, meanwhile, stood 13.2% lower at RM2.44 billion, versus RM2.81 billion in the corresponding cumulative period a year ago.

Southern Steel said the group will intensify its effort to manage down its cost going forward.

"Although there is indication of revival of some infrastructure projects by the government, their impact and timing are still uncertain.

"Further to this uncertainty and the intense competition caused by the new foreign-owned competitor, the group intends to ensure that its market position will not be compromised," it added.

Southern Steel shares finished two sen or 2.19% lower at 89.5 sen today, valuing the group at RM388.11 million.