IJM Corporation Bhd Q2 pre-tax profit Falls 6.8% to RM221.81 million

IJM Corporation Bhd Q2 pre-tax profit Falls 6.8% to RM221.81 million

KUALA LUMPUR, Nov 24 — IJM Corp Bhd’s pre-tax profit for the second quarter ended Sept 30, 2015 fell 6.8% to RM221.81 million from RM237.99 million in the same period last year.

In a filing to Bursa Malaysia, IJM Corp said this was due to lower contributions from the group’s construction, property, plantation and infrastructure divisions.

Revenue improved by 3.6% to RM1.34 billion from RM1.29 billion previously due to higher revenues contributed by the group’s construction, industry and infrastructure divisions.

The group’s pre-tax profit for the current year to-date totalled RM648.4 million, an increase of 30.6% over the preceding year to-date, mainly due to the one-off gain from the disposal of the 74% equity interest in Jaipur Mahua Tollway Private Ltd totalling RM168.7 million recorded in the current year.

Barring any unforeseen circumstances, the group said it expects to achieve a satisfactory performance for the current financial year.

IJM Managing Director and Chief Executive Officer Datuk Soam Heng Choon said the group’s prospects under the construction, industry and infrastructure divisions are underscored by strong current outstanding order book levels, further supported by the ongoing infrastructure spending identified by the Malaysian Economic Transformation Programme and projects recently announced in Budget 2016.

“The group also has a fast maturing plantation land bank profile to provide fresh fruit bunch (FFB) production growth in the next few years.

“Despite the challenging property market outlook, the group’s property division possesses a wide variety of products that cater to the demands in its respective geographical markets,” he added.

The company declared a single-tier first interim dividend of three sen per share to be paid on Dec 23, 2015.