Nexgram reports RM6.19m net loss in Q2

PETALING JAYA: Nexgram Holdings Bhd suffered a net loss of RM6.19 million in the second quarter ended Jan 31, 2017 compared with a net profit of RM24.01 million a year ago.
In a filing with Bursa Malaysia last Friday, it said that the net profit reported a year ago was due to a gain on disposal of subsidiaries of RM27.3 million.
Revenue for the quarter plunged 61.64% to RM9.66 million from RM25.18 million a year ago due to lower revenue from subsidiaries involved in information technologies (IT) and a group of subsidiaries involved in dealing with a wide-ranging choice of security and video surveillance equipment.
The company said these subsidiaries were hit by tremendous changes across the IT and telecommunication industries.
For the six months ended Jan 31, 2017, it reported a net loss of RM8.49 million on the back of RM23.09 million revenue. There was no comparative financial information due to the change in the financial year end from April 30 to July 31.
In view of the uncertainties and challenges ahead, the company said it will focus on the development and future growth of its existing businesses, and is in the midst of securing new projects for property, construction and logistics.
Some of the projects that it has in hand are the RM1.45 billion residential and mixed development in Cyberjaya and a US$77 million (RM338.8 million) contract to build several facilities for the AJ Group in Negeri Sembilan.