SBC net profit down 54.5% from a year ago

KUALA LUMPUR: Construction firm SBC Corporation Bhd posted net profit of RM1.28 million in its first quarter ended June 30, 2010 (1QFY2011), down 54.5% from RM2.81 million a year ago as it recorded lower revenue.

SBC said on Friday, July 23 revenue fell 38.6% to RM13.65 million from RM22.22 million a year ago following  the completion of The Peak Suites in Kota Kinabalu in September 2009 while progress work of PJX at Petaling Jaya was at the final stage of construction.

SBC Corp's pre-tax profit for 1QFY2011 declined 57.7% to RM1.6 million from RM3.76 million. Its basic earnings per share stood at 1.55 sen, from 3.4 sen. Its net assets per share was RM2.79.

The group expects its future performance to remain positive as the government continues to spur economic growth via construction and development projects.

However, it concerned that the implementation of  IC Interpretation 15 Agreements for the Construction and Real Estate will affect the coming condensed consolidated statement of comprehensive income.

It did not declare any dividend for the quarter.