MRCB makes a net loss in Q4

PETALING JAYA: Malaysian Resources Corp Bhd (MRCB) recorded a net loss of RM5.28 million in the fourth quarter ended Dec 31, 2014 (Q4) compared with a net profit of RM2.22 million a year ago on higher finance costs and higher share of losses from joint ventures.
Revenue however was 32.02% higher at RM487.17 million from RM369.00 million a year ago.
For the financial year ended Dec 31, 2014 (FY14), it posted a net profit of RM152.63 million compared with a net loss of RM109.13 million a year ago while revenue rose 60.99% to RM1.51 billion from RM940.91 million a year ago.
In a filing with Bursa Malaysia yesterday, MRCB said the higher revenue was driven mainly by strong growth from the group's property development division which is currently developing the 9 Seputeh project along Old Klang Road, PJ Sentral in Petaling Jaya as well as Q Sentral Office and The Sentral Residences at KL Sentral.
"This is followed by the engineering and construction division which is currently undertaking the on-going construction of the Ampang Line LRT extension line, Kelana Jaya extension line, river rehabilitation project and transmission lines projects," it added.
It also attributed its net profit in FY14 to the gain on disposal from the sale of investment in Duta–Ulu Klang Expressway (DUKE) which was recognised in the second quarter.
The board has recommended a first and final single tier dividend for FY14 of 2.5% or 2.5 sen per ordinary share, totaling RM44.7 million.
The group said its on-going development projects at prime locations will continue to be the key revenue drivers contributing positively to its profitability.
"There will be more development project launches in the pipeline and the board is optimistic of the prospect of the group continuing to perform satisfactorily in financial year 2015."