Eversendai net profit almost triples to RM20.83m in Q3
KUALA LUMPUR: Eversendai Corp Bhd’s net profit almost tripled to RM20.83 million in the third quarter (Q3) ended September 30 this year from RM7.28 million recorded in the same quarter last year.
The jump in net profit was in line with the higher turnover and gross profit recorded in this quarter.
Revenue in the third quarter increased 20.9 per cent to RM449.32 million from RM371.36 million, the company’s Bursa Malaysia filing showed yesterday.
In a separate statement, Eversendai said its Middle Eastern subsidiaries generated 56.9 per cent of the group’s revenue via its structural steel arm.
The company’s oil and gas (O&G) segment made up 16.5 per cent of the group’s revenue and it is expected to grow the business further following the recent 9COM accreditation that prequalifies the company’s Ras Al Khaimah yard in United Arab Emirates for fabrication and construction works for offshore platforms and jackets for Aramco.
This opens more avenues for Eversendai to collaborate with Aramco, which is projected to invest more than US$300 billion (RM1.23 trillion) over the next 10 years.
“Currently we are working in 10 different countries and have accomplished over 300 projects across different sectors mainly structural steel, power plant and O&G with extensive expertise in engineering, procurement, construction and commissioning.
“Moving forward, we are working towards expanding our presence in Singapore, the United Kingdom and Australian markets.
“Expansion into markets with stronger currency is projected to make the bottom line stronger,” said executive chairman and group managing director Tan Sri AK Nathan at the investment holding company’s annual general meeting yesterday.
Eversendai has bagged RM1.6 billion new contracts year-todate, bringing its order book to about RM2.7 billion.
Under that, the Middle East region holds 44.1 per cent of the order book, followed by 21.8 per cent from India and 19.1 per cent from South East Asia while the remaining 15 per cent is from the O&G sector.
For the nine months, Eversendai has registered a net profit of RM56.59 million from a net loss of RM64.43 million recorded in the same period a year ago.
Revenue in the same period increased 6.3 per cent to RM1.31 billion from RM1.23 billion.