Ekovest Q4 net profit plunges on lack of fair value gain

PETALING JAYA: Ekovest Bhd's net profit for the fourth quarter ended June 30, 2017 plunged 86% in the absence of fair value gain of RM123 million posted in the quarter ended June 30, 2016.
The group made a net profit of RM18.4 million for the quarter, compared with RM136.2 million for the same quarter in 2016.
This was despite revenue growing 9% to RM318.5 million for the quarter under review, compared with RM291.1 million for the quarter ended June 30, 2016.
The board expects the ongoing construction of Setiawangsa Pantai Expressway, River of Life and related projects, the opening of
the DUKE Phase-2's toll revenue and the recognition of unbilled sales from property development activities to contribute positively to the group's turnover and profitability in the financial year ending June 30, 2018, and for its performance to remain satisfactory.
The group saw a 29% drop in net profit to RM110.6 million for the 12 month period ended June 30, 2017, compared with RM155.4 million for the previous financial year.
This was on a 37% increase in revenue to RM1.1 billion, compared with RM793.6 million for the financial year ended June 30, 2016.
Ekovest's share price was up three sen to close at RM1.15, with some 2 million shares changing hands. It has a market capitalisation of RM2.5 billion.