Pintaras Jaya cumulative revenue down 14% as of 3QFY2010

KUALA LUMPUR: Construction company Pintaras Jaya Bhd saw a 14% drop in its group revenue for the nine months of ending March 31, 2010 to RM84.5 million from RM98.3 million for the same period last year.

The group however recorded a higher profit before tax (PBT) of RM17.1 million compared with RM12.9 million in the same period last year, primarily due to the previous corresponding period’s losses incurred in investments, and lower contributions from both the construction and manufacturing divisions.

Its construction division saw a lower revenue of RM55 million, compared to RM67.4 million the previous year. “Prices of basic materials, especially steel and concrete are increasing, squeezing margins even more,” the said.

The manufacturing division saw a 4% decrease in revenue at RM29.5 million and 9% decrease in PBT to RM3.8 million. The decline was mainly due to lower sales volume, tighter margins and higher inventory costs due to rising tinplate prices.

Nevertheless, for 3Q2010, the group recorded a revenue and PBT of RM26.4 million and RM5.6 million, an increase of 1% and 9% respectively compared to the same period last year, mainly due to improved performances from both the construction and manufacturing divisions.

The group expects to record better profits for the current financial year as its profits to date has already exceeded the profits achieved for the entire FY2009. “However, the next quarter will continue to be challenging for our businesses. We expect an improvement in the construction sector only in the next financial year,” it said.