KUALA LUMPUR (Nov 22): Kerjaya Prospek Group Bhd posted a record profit of RM34.41 million in the third quarter ended Sept 30, 2017 (3QFY17), driven by its construction segment which mitigated the slowdown in the manufacturing segment.

The builder also announced that it has bagged a RM245.35 million contract to build the upmarket Triuni Condominium within "The Sanctuary" development in Batu Uban, Penang.

Kerjaya saw its net profit for 3QFY17 rise 35% to reach a record RM34.41 million from RM25.49 million a year ago, while earnings per share rose to 6.4 sen from 5.03 sen in 3QFY16.

It also increased its quarterly revenue by 20.7% to RM229.94 million from RM190.47 million a year ago.

The strong third-quarter performance lifted its net profit by 30.4% to RM96.16 million for the cumulative nine months (9MFY17) from RM73.75 million a year ago, while revenue jumped 23.4% to RM703.36 million from RM569.88 million in 9MFY16.

In a filing with Bursa Malaysia today, Kerjaya said its outstanding order book stood at RM3.2 billion as at 3QFY17.

"Moving forward, the group sees the construction segment continue being the main revenue driver of the group. The group continues to pursue both high-rise and landed development projects from domestic markets.

"In addition, the group's maiden project, Vista Residences, has also recorded an encouraging take-up rate with its current unbilled sales of approximately RM67 million," it added.

Notwithstanding the group's objective to expand its core business in construction, Kerjaya said it will maintain the manufacturing segment as part of its integrated business objective and strategy and complete the existing property development project.

"Barring any unforeseen circumstances, the group is cautiously optimistic on its overall businesses moving forward and will continue to sharpen its competitive edge to achieve sustainable growth in the market," it said.

In a separate filing, Kerjaya said its wholly-owned subsidiary Kerjaya Prospek (M) Sdn Bhd has accepted a letter of award from B.U. Developments Sdn Bhd for the RM245.35 million contract, which covers three condominium towers housing 552 units and spans 5.36 acres.

It is the second contract awarded to Kerjaya within The Sanctuary development — the first being the construction of the Sanctuary bungalows.

Work on the project is due to commence on Nov 30 and is estimated to be completed in 48 months in two phases.

Kerjaya said the project is expected to contribute positively to the group's earnings and net assets per share for FY17 to FY21.

At 3.21pm, Kerjaya shares were up 2 sen or 0.5% at RM4.01, with 224,300 shares done, bringing a market capitalisation of RM2.27 billion. — theedgemarkets.com

For more stories, download EdgeProp.my pullout here for free.

SHARE
RELATED POSTS
  1. Iconic Worldwide to buy property investment firm for RM39.8m
  2. Aspen sells two units in Beacon Executive Suites for RM1.3 mil in IPT
  3. Mah Sing sells freehold land in Penang for RM66m