Bina Puri returns to the black with RM13.8mil net profit in 3Q24

Bina Puri Holdings group managing director Kevin Chai Chan Tong

KUALA LUMPUR: Bina Puri Holdings Bhd achieved a turnaround in its financial performance, achieving a net profit of RM13.8mil in the third quarter ending March 31, 2024 (3Q24) against a net loss of RM20.7mil.

This turnaround comes after facing losses for sixteen consecutive quarters, mainly due to challenges in its construction segment.

Revenue for the period rose to RM49.6mil compared with RM31.4mil last year.

“After years of losses due to the lacklustre construction sector and the previous financial woes, the worst is over and the outlook for the industry appears much brighter, underpinned by the strong pipeline of jobs both in the public and private sector,” group managing director Kevin Chai said in a statement.

“We have successfully completed One Jesselton, Kota Kinabalu and 1Puri

Commercial Centre, Kuching in the second half of the financial year 2024 and our focus remains on the completion of ongoing projects in a timely and efficient manner.

“We are also actively seeking out new business opportunities, not just to achieve financial stability and replenish our orderbook, but also to rebuild and revive Bina Puri as the construction and infrastructure behemoth that it once was,” he said.

On a nine-month basis, Bina Puri has narrowed its net losses to RM14.9mil from RM60.8mil while revenue increased 39.9% to RM136.62mil from RM97.6mil.

Bina Puri said the improved performance was mainly driven by the positive impact of the proposed scheme between Bina Puri Sdn Bhd (BPSB), a wholly-owned subsidiary of the company, and its scheme creditors.

The High Court of Malaya approved this scheme on Jan 24, 2024 and the group needed to restructure its finances and revive its financial situation.

Looking ahead, Chai expects the construction segment to perform satisfactorily. The group will continue to exercise prudence in business dealings and implement various measures to improve operational efficiency, aiming to achieve financial stability and sustainability across its businesses.