Talam Transform's share price dip 10% on wider net loss

PETALING JAYA: Talam Transform Bhd's share price fell 10% this morning on news of its net loss widening to RM5.11 million in the second quarter ended July 31, 2017, from a net loss of RM2.28 million a year ago.

At 11.35am this morning, its share price fell 0.5 sen to 4.5 sen with a total of 260,000 shares traded. Its market capitalisation stood at RM210.97 million.

Last Friday, the company said its net loss for the quarter widened due to discontinuation of its hotel and recreation segment, while revenue fell 62.63% to RM23.72 million from RM63.48 million a year ago, mainly due to lower proceeds from sale of development lands.

For the six months period, its net loss narrowed to RM11.54 million from RM14.20 million, mainly due to a gain from disposal of a subsidiary amounting to RM2.4 million and higher gross profit margin.

The group recorded revenue of RM28.10 million, a 59.45% decrease from the RM69.29 million generated during last year's corresponding period, mainly due to lower proceeds from sale of development lands and management fees.