PETALING JAYA: Wong Engineering Corp Bhd’s net profit slumped 76.8% to RM388,000 for the second quarter ended April 30 against RM1.68 million in the previous corresponding period, due to lower sales from manufacturing, higher cost absorption due to lower factory utilisation and variation in product mix.
Revenue for the quarter under review declined 3.3% to RM13.09 million from RM13.55 million.
It has proposed to declare an interim dividend of 0.5 sen per share for the quarter under review.
Wong Engineering’s six-month net profit also tumbled 86.1% to RM846,000 from RM6.1 million, while revenue slipped 0.9% to RM25.86 million from RM26.09 million.
Amid the heightened uncertainty in global trade and slower demand from electrical and electronics sector, it said he overall business environment continue to be challenging and the group’s performance is anticipated to remain subdued for the remaining quarters of financial year ending 2019 particularly for manufacturing segment.
“Nevertheless, the management has intensified its effort for growth through customer base and market expansion and striving for higher productivity and operation efficiency to sustain our core business.”
Overall, barring any unforeseen circumstances, Wong Engineering is cautiously optimistic about its prospects and will remain vigilant for new opportunities and business ventures to further enhance its return to shareholders.
