Pegasus Heights Bhd says all its businesses, including mall management and property development activities have been severely impacted by the ongoing Covid-19 pandemic.
The loss-making company said the full effects from the Covid-19 pandemic which started in the first quarter of 2020 are starting to show.
It said whilst it managed to navigate the Movement Control Order (MCO) that was implemented in March 2020, effects from MCO 2.0, MCO 3.0, and FMCO are still unknown at this point.
Pegasus said coupled with the impact from the flood which hit Centerpoint Seremban Mall in Negeri Sembilan last November, the property management and F&B segments have borne the brunt of the impact to date.
It said in a recent filing with Bursa Malaysia that it remains cautious on the full impact from the outbreak of the Covid-19 pandemic especially with the new Indian variant and other more contagions variants.
The company is also delaying the opening of its fifth franchise restaurant – a hotpot restaurant – until the economic condition of the country and the pandemic improves.
"We remain cautious on the performance due to the ever-changing SOPs and the latest implementation of MCO 3.0/FMCO. Overall, our mall still managed to achieve a marginal increase in occupancy from 78.17 per cent to 78.29 per cent," it said.
In the first quarter ended March 31, 2021, Pegasus registered revenue of RM8.16 million and a pre-tax loss of RM4.08 million as compared to revenue of RM12.01 million and a pre-tax loss of RM2.75 million in the preceding year's corresponding quarter.
Pegasus said revenue was lower by 32 per cent in the quarter under review due to lower contribution from all the segments.
The revenue from property management decreased by 67 per cent due to the mall closure in November 2020. The mall's repair and rectification works had been completed in February this year and it resumed operation thereafter.
Pre-tax profit was higher as compared with the preceding year's corresponding quarter due to the one-off repair and rectification work for the mall amounting to RM2.12 million.
"However, this will be covered by insurance for up to RM2.00 million," it said.