Naim returns to the black with RM30 million net profit

KUALA LUMPUR: Naim Holdings Bhd ( Naim) returned to the black with a net profit of RM30.32 million in the third quarter ( Q3) ended Sept 30, 2018 after having chalked up a net loss of RM95.01 million in the same period last year.

Revenue jumped to RM178.76 million from RM53.65 million previously.

The strong third quarter results were mainly contributed by the property and construction divisions, where higher work progress was achieved at site, as well ashigher new property sales.

Naim said the property market was expected to remain very challenging and it had adopted a more cautious approach towards product launches and product types, and was also more selective and sensitive to buyers’ demand and market conditions.

“This will enable us to develop and tailor better products to suit the market. More medium range and affordable properties will be introduced in the local market in years to come,” it said in a filing with Bursa Malaysia.

On the construction segment, Naim said it would focus on completing the current outstanding order book in the construction segment at a decent margin and within scheduled timeline.

“At the same time, we are cautious and selective in our project tendering. We focus particularly on those projects where we have proven track records and experience, and supported by our current project management resources,” it said.

Naim also said property investments and trading operations were expected to cont inue cont ribut ing posit ively to the group’s results.

“In addition to retail property, we will be embarking on other types of commercial properties, for example investing in a hotel located in our Bintulu Paragon development, for recurring income.

“We will continue to improve the quarry operations and achieve economies of scale to manage fixed overheads costs,” it added. — Bernama