George Kent FY19 net profit falls to RM84.92mil

KUALA LUMPUR: George Kent Bhd recorded a lower net profit of RM84.92 million for the financial year ended Jan 31, 2019 (FY19), from RM124.40 million in 2018.

Revenue declined to RM430.75 million from RM616.99 million previously.

George Kent said the financial year’s performance was credible in spite of the retiming of income recognition arising from the government’s remodelling of the LRT3 project to a fixed-price contract.

"Construction works were suspended since June 2018 and are expected to resume in the latter part of 2019,” it said in a filing with Bursa Malaysia today.

For the fourth quarter ended Jan 31, 2019, the group's net profit was lower at RM18.25 million compared with RM51.85 million in the same quarter last year, while revenue fell to RM114.50 million from RM172.92 million previously.

Going forward, chairman Tan Sri Tan Kay Hock said the group was committed to its strategic plan to broaden its income base.

"This entails substantial investment of resources, both human and financial, into growing its metering and other water-related businesses and investments. As things stand, demand for water meters continues to outstrip supply.

"We are also actively pursuing railway opportunities in the region,” he said.

George Kent declared a third interim dividend of 3.5 sen per share for FY19, payable on April 30, 2019.

"Total dividend payout was RM38.07 million compared with RM53.51 million in the previous year,” it added. - Bernama

Corporate News , George Kent