Scicom wins deal from Cambodian tourism ministry

PETALING JAYA: Scicom (MSC) Bhd has been awarded a project by the Ministry of Tourism of Cambodia to develop, implement, operate and maintain a fully integrated Cambodia Tourism Management System.
The company told Bursa Malaysia that the project is for a period of five years with an extension option of two years.
The anticipated revenue from this contract is predicated on the number of air travellers to and from Cambodia.
It is expected to contribute positively to Scicom’s earnings and net assets per share going forward until the expiry of the project.
Separately, Scicom announced a 22% drop in net profit to RM9.4 million in the second quarter ended Dec 31, 2017, against RM12.1 million in the previous corresponding quarter, mainly due to lower revenue and the reversal of forex gain recognised in the previous financial quarter.
Its revenue fell 17% to RM43 million from RM51.6 million in the same period a year ago.
The board has declared a second interim dividend of 2 sen per share amounting to RM7.1 million, payable on March 8, 2018.
For the six months period, its net profit declined 16% to RM20.38 million from RM24.1 million, while revenue decreased 14% to RM88.8 million from RM103.6 million.
Scicom provides customer contact center services within the business process outsourcing space.
Commenting on its prospects, the group said there has been a corresponding drop in customer interactions which led to a subsequent decrease in billable headcount.
However, Scicom said it does not expect this situation to deteriorate further with its current clients and the management further expects to increase revenues on the successful conversion of a healthy pipeline built over the last 12 months.
Additionally, it said the management is actively working with its multi-national clients to mitigate forex exposure risk.
Its shares were unchanged at RM1.59 today on some 378,500 shares done.