Pintaras Jaya expects to do better in FY17

SUBANG: Pintaras Jaya Bhd is set to improve its performance for the financial year ending June 30, 2017 (FY17), targeting to match its FY15 revenue contribution on the back of expected higher revenue from job wins.
Managing director Dr Chiu Hong Keong said the foundation and piling specialist expects its FY17 performance to be better than that of FY16 but slightly lower than FY15’s.
For FY16, Pintaras posted a markedly lower pre-tax profit of RM23 million from RM68.57 million in FY15, while revenue dropped 44% to RM137 million from RM243 million as construction revenue fell 50%.
The company’s order book stands at RM150 million after starting 2016 with over RM200 million, he told reporters after the annual general meeting here yesterday.
“The company has nine more months into this financial year, and we expect more job wins to replenish our order book.
“However, our focus is not so much on what we want to secure for the year, but rather on what we want to execute for the year, depending on our capacity which would be enough to keep the company busy,” Chiu said.
He said the company is targeting to maintain its order book at between RM250 million and RM300 million, based on its current equipment and people capacity.
Chiu said Pintaras is cautious on its expansion following a subdued property market, but will continue to be on the lookout for opportunities in the infrastructure projects and property turnaround.
“We have allocated about RM20 million a year for capital expenditure. When things pick up, we will expand and use the fund and even exceed the allocation figure, but when it is down, we might not even use it.”
Chiu said infrastructure projects like the Mass Rapid Transit 2 and Light Rail Transit extensions and other highway projects are still at the initial stage and the ground work, including the appointment of sub-contractors, has not started. – Bernama