Kerjaya Prospek posts 1Q net profit of RM28.86mil, 2c div per share

KUALA LUMPUR: Kerjaya Prospek Bhd posted a net profit of RM28.86mil in the first quarter ended March 31, 2022, which was 9.38% higher than RM26.39mil in the previous corresponding quarter on the back of the group's highest-recorded quarterly revenue.

In respect of the performance, the group declared a second interim dividend of two sen per share, which will be paid on July 8, 2022, to shareholders on the register on June 13, 2022.

For 1Q22, the group reported a record quarterly revenue of RM300.6mil, up 11.9% from a year ago on the back of higher progress billings from its construction activities during the quarter.

It said in a statement that the higher revenue coupled with lower operating expenses resulted in profit after tax and minority interests (Patami) improving 9.4% year-on-year to RM28.9mil.

As at March 31, 2022, the group said its balance sheet remained healthy with a net cash position of RM197.3mil and a current ratio of 3.8 times.

“Despite the challenging operational environment plagued by the trickle-down effects of the Russia-Ukraine conflict and supply-chain disruptions, we kickstarted the financial year on a high note.

"This new high speaks volume of our strong track record in delivering results and ability to win contracts to bolster the Group’s earnings visibility," said Kerjaya CEO and executive director Tee Eng Tiong in a statement.

Year-to-date the group has secured three contracts worth a total of over RM1bil.

Its order book has grown to RM4.4bil, which is expected to sustain earnings over the next five years.

Kerjaya Prospek is aiming to launch two new property development projects, namely Dutamas Development (Yakin Land) and Monterez Development, with a total gross development value of RM730mil in the second half of 2022.

"Going forward, we expect the property development division to contribute a sizeable portion to our bottom line," said Tee.