Gamuda Bhd”s Q1 net profit drops 13% to RM161.2 million

Gamuda Bhd''s Q1 net profit drops 13% to RM161.2 million

PETALING JAYA, Dec 17: Gamuda Bhd’s net profit fell 13.2% to RM161.23 million for the first quarter ended Oct 31, 2015, compared with RM185.84 million in the corresponding quarter last year.

The infrastructure and construction company said in its filing with Bursa Malaysia yesterday that the lower earnings were attributable to the completion of the electrified double tracking railway project in November 2014 and and softening of the property market in the country.

During the quarter in review, Gamuda’s revenue also fell by 9.9% to RM512.7 million from RM569.6 million before.

However, it said that revenue including share of joint venture companies’ was higher at RM1.233 billion mainly from higher work progress of the Klang Valley Mass Rapid Tansit-Line 1 project.

Gamuda declared a first interim dividend of 6 sen per share for the financial year ending July 31, 2016, payable on Jan 29, 2016.

The group anticipates a good performance this year from on-going construction projects and steady earnings from the water and expressway concessions division.

However, it added that with the softening residential and non-residential property market in Malaysia, weaker growth for the property division is expected over the coming quarters.