Industry News

SunCon 3Q net profit down 19%, dragged by MCO, higher steel prices

Views : 189
Update time : 2021-11-19 19:16:45

Sunway Construction Group Bhd's (SunCon) third quarter (3Q) net profit fell 19.74% to RM19.3 million, from RM24.04 million a year earlier, on the back of weaker results at both its construction and precast segments.

Earnings per share dropped to 1.5 sen from 1.86 sen, the group's bourse filing showed.

The group said the construction segment was dragged by lower revenue due to the Movement Control Order (MCO) with relaxation only occurring in mid-August.

Meanwhile, the precast segment turned to loss despite slightly higher revenue year-on-year — although still lower than pre-Covid-19 level — due to the impact of higher steel bar prices which increased by more than 25% this year, said SunCon.

Quarterly revenue fell 35.12% to RM272.08 million, from RM419.41 million a year earlier, due to the weaker construction division.

For the nine-month period ended Sept 30, 2021, SunCon's cumulative net profit rose 12.39% to RM47.86 million or 3.71 sen per share, from RM42.59 million or 3.3 sen per share in the previous January-September period, with a swing to profit by the precast segment.

Cumulative nine-month revenue rose 19.14% to RM1.1 billion, from RM925.42 million previously, as both segments showed better performances.

On prospects, the construction group pointed to its RM4.7 billion order book, in which RM796 million worth of new orders had been secured up to September 2021.

Related News
Read More >>
South Africa launches critical minerals strategy, opens new mining law for public comment South Africa launches critical minerals strategy, opens new mining law for public comment
May .22.2025
South Africa launches critical minerals strategy, opens new mining law for public comment
China's iron ore production declines in Jan-Apr China's iron ore production declines in Jan-Apr
May .22.2025
China's iron ore production declines in Jan-Apr
US’ steel coil exports go up in Mar US’ steel coil exports go up in Mar
May .22.2025
US’ steel coil exports go up in Mar
US increases CRC imports in Mar US increases CRC imports in Mar
May .22.2025
US increases CRC imports in Mar