PETALING JAYA: George Kent (Malaysia) Bhd (GKent) saw its net profit in the fourth quarter ended Jan 31 (Q4FY19) plunge 64.8% to RM18.25 million from RM51.85 million in the previous corresponding quarter mainly due to lower contribution from the engineering division.
Revenue for the quarter declined 33.8% to RM114.5 million from RM172.92 million.
GKent’s full year net profit decreased 31.7% to RM84.92 million against RM124.4 million a year ago, while revenue fell 30.2% to RM430.75 million from RM616.99 million previously.
The group has declared a third interim dividend of 3.5 sen per share for FY19, payable on April 30.
Commenting on the group’s performance, chairman Tan Sri Tan Kay Hock said the results for the financial year under review are credible, considering the suspension and deferment of LRT3 as the project is being renegotiated.
“Against this backdrop, the group is committed to delivering on our existing order book and is staying sure and steadfast about implementing its strategic plan to broaden its income base,” he said in a statement.
He said this entails substantial investment of resources into growing its metering and other water-related businesses and investments.
“We are looking to expand our production capacity to cater for demand growth from both the organic and M&A (merger and acquisition) fronts,” he added.
Going forward, the group said its strong order book will provide earnings visibility over the next few years.
The group added that it is on the lookout for opportunities in the regional railway space, leveraging on its expertise as rail systems specialist in domestic railway projects.
