Gadang’s 1HFY15 earnings rise 17% on better project margins

KUALA LUMPUR (Jan 16): Builder and property developer Gadang Holdings Bhd saw its net profit risen by a marginal 2.9% to RM8.51 million in the second quarter ended Nov 30, 2014 (2QFY15), despite a 18.74% drop in revenue to RM114.6 million.

For the first six months (1HFY15) cumulative period, the group’s net profit rose 17.2% to RM18.05 million or 8.34 sen a share, while revenue fell 2.56% to RM247.95 million.

The group attributed the increase in profit to better margins from construction and property activities.

Shares of Gadang (fundamental: 2.5, valuation: 3) advanced 2 sen to settle at RM1.45 sen today, with a market capitalisation of RM313.7 million.

(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)

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