KUALA LUMPUR: MMC Corp Bhd’s net profit rose 29.4 per cent to RM53.5 million in the three-month ended March 31 2019 from RM41.3 million a year ago.
Group revenue slipped 10.7 per cent to RM1.14 billion mainly due to lower contribution from its construction and engineering businesses.
The better profit was due to higher contributions from port entities, offset by lower contribution from Klang Valley Mass Rapid Transit Sungai Buloh-Serdang (KVMRT-SSP Line).
The lower revenue was due to lower contribution from KVMRT-SSP Line following revision of contract in November 2018 as well as lower progress from Langat Sewerage project.
These were moderated by consolidation of Penang Port Sdn Bhd’s revenue and higher volume handled at Pelabuhan Tanjung Pelepas (PTP), said MMC in a statement today.
Its ports and logistics division recorded higher revenue of RM780 million, an increase of 19.2 per cent compared with RM655 million, mainly due to effect from full consolidation of Penang Port’s revenue and higher volume handled at PTP.
The energy and utilities division saw pe-tax profit drop to RM32 million from RM38 million a year ago, due to higher operation and maintenance costs at Malakoff Corporation Bhd.
The engineering division recorded revenue of RM338 million compared to RM604 million previously, mainly due to lower contribution from KVMRT-SSP Line following revision of contract in November 2018.
“Overall, the group expects to strengthen our capabilities with a focus on operating performance and efficiency, exploring new opportunities and continue to sustain our core business,” MMC group managing director Datuk Seri Che Khalib Mohamad Noh said.
“We will further strengthen our foundation and continue to optimise our cost for greater operational efficiency. We remain focused on our deliverables and committed to returning more value to our stakeholders,” he added.