WCT 3Q net profit drops 37% on-year on lower margins, billings

KUALA LUMPUR (Nov 24): WCT Holdings Bhd's net profit dropped 37% to RM25.8 million in the third quarter ended Sept 30, 2014 (3QFY14), from RM41.3 million a year earlier, translating to a decline in its earnings per share to 2.37 sen from 3.78 sen per share.

The group's revenue, however, improved by 13% to RM471.1 million in 3QFY14 from RM418.5 million in 3QFY13.

For the nine months to Sept 30 (9MFY14), net profit fell 29% to RM100.2 million from RM141.2 million in the year before, while revenue declined 4% to RM1.34 billion from RM1.39 billion.

"The decrease in both revenue and net profit are mainly due to lower property development billings and lower project margin," said WCT in a statement to the exchange today.

WCT said its civil engineering and construction segment, as well as its property and investment segments, had posted lower profit for the cumulative period.

Going forward, WCT said it "is cautiously optimistic to achieve satisfactory results for the financial year ending Dec 31, 2014".

The counter closed at RM1.91, down 2 sen or 1.04%, translating to a market capitalisation of RM2.09 billion.

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