KAJANG, 3 September 2019 – Protasco Berhad’s turnaround continues to gather strength, despite a slightly lower revenue for the six months end of 30 June 2019 posting a nine-time jump in its first half net profit to RM8.7 million.
In the first half of the previous year the Group’s first half net profit surged 882 percent to RM8.7 million from RM881,000 which came despite revenue dropping due to lesser periodic works awarded to its Maintenance segment from 11 percent to RM354.9 million.
As the result of the Groups’s right-sizing exercise which took place in September 2018, Protasco posted a RM4.6 million net profit, against a loss of RM407,000 in the same quarter last year which contributed to lower operating expenses which decreased 25.6 percent to RM53.8 million in the first half.
Protasco has seen a turnaround in its Construction segment, aside from controlling cost and expenses which posted a pre-tax profit of RM11.6 million in the first half against a loss of RM1.5 million in the preceding year corresponding period. Mainly due to contributions from the Perumahan Penjawat Awam (PPA) Phase 2 project and Drainage and Irrigation (DID) works awarded, the segment recorded a 54 percent jump in first half revenue to RM145.9 million.
Its Property Development segment recorded higher revenue of RM3.4 million due to sales of units in its DeCentrum City development in Kajang.
“The transformation we are undergoing is not easy, but we are beginning to see results. Each segment is beginning to pick up momentum and move towards profitability. Our strategy is to ensure this momentum continues and will sustain us for the long run,” said Dato’ Sri Ir Chong Ket Pen, Executive Vice Chairman and Group Managing Director.
Discussion about this post