Press Release

KAJANG, 29th Nov 2017: PROTASCO Bhd saw its net profit rise almost 9 percent to RM16.9 million from RM15.5 million for the third quarter ended 30 Sep 2017, on contributions from its maintenance division and engineering services divisions.

The group saw its pre-tax profit rise almost 11 percent to RM22.3 million for the quarter, on revenue that was roughly unchanged of RM301.2 million against the same quarter previously.

This performance was boosted by the award of periodic works by Jabatan Kerja Raya in July, and an increase in demand for engineering consultancy works for highway and transport segments and for soil investigation services, said the company.

For the third quarter, the maintenance division saw pre-tax profit more than double to RM18.8 million, while the engineering services division saw its pre-tax profit soar to RM5.1 million from RM33,000 before.

“We are seeing the signs that the economy is beginning to shake off last year’s slowdown. While operating conditions remain challenging, we have a strong order book and healthy financials that give us good fundamentals. ,” said Dato’ Sri Ir Chong Ket Pen, Executive Vice Chairman and Group Managing Director.

“The maintenance division and the engineering services division will be the major contributor for 2017, but moving forward, we expect growth in construction and property in 2018,” he added. “We have an order book of more than RM700 million, which we expect to top up by RM500 million every year.”

The construction division is currently building Phase 2 of Projek Perumahan Awam 1Malaysia (PPA1M) Putrajaya, and will kick off works on Phase 3 soon, he added. Meanwhile, the group remains cautious on the property sector, concentrating on location-specific projects such as its RM66 million shop-offices in Pasir Gudang, Johor and a mixed development project in Kota Bharu , Kelantan.

For the nine month period, the group registered a net profit of RM33.4 million on a revenue of RM653.16 million.