Sime Darby's net profit falls 28.6% in Q3

PETALING JAYA: Sime Darby Bhd's net profit attributable to the owners of the group from continuing operations fell 28.6% to RM135 million in the third quarter ended March 31, 2018, from the RM189 million reported a year ago, on lower other operating income and higher operating expenses.
Sime Darby Plantation Berhad and Sime Darby Property Berhad were listed as independent entities in November 2017, and therefore classified as discontinued operations in its accounts.
Revenue for the period grew 5.43% to RM8.29 billion from RM7.87 billion in the same quarter last year.
Amid a backdrop of uncertainty in the global economy, Sime Darby expects the group's performance for the financial year ending June 30, 2018 to be satisfactory.
"We remain focused on our core sectors and shall continue to explore opportunities to accelerate growth and drive our businesses forward. On 3 May, we officiated the opening of the new BMW engines assembly facility in Kulim, Kedah. It is a testament to our capabilities and the strength of our relationship with BMW. The assembly of BMW engines in Kulim will increase the local content of our cars, making them more cost competitive,' said group CEO Jeffri Salim Davidson in a statement.
For the first three quarters of the year, Sime Darby's net profit attributable to the owners of the group from continuing operations fell 21.7% to RM455 million from RM581 million, while revenue increased 10.34% to RM25.25 billion from RM22.89 billion.
Sime Darby's share price rose 3% to close at RM2.76 with 20.57 million shares done.