The Group recorded a revenue of RM1,056.3 million in the current quarter, increased by RM655.7 million from revenue of RM400.6 million in the corresponding quarter mainly due to higher revenue from the Heavy Engineering segment. At the operating profit level however, the Group reported an operating loss of RM385.3 million against an operating profit of RM25.8 million in the corresponding quarter mainly due to additional cost provisions for ongoing projects recognised in the current quarter.
For the heavy engineering business, the group saw revenue of RM990.9 million increase by RM681.0 million from RM309.9 million in the corresponding quarter, mainly due to higher revenue from ongoing projects. Notwithstanding the increase in revenue, the segment recorded operating loss of RM390.0 million on the back of additional cost provisions as a result of revised schedule for ongoing projects during the current quarter. The revised schedule has caused the extension of delivery dates of the ongoing projects, which was necessary to cater for the delayed onshore works.
Notwithstanding the delays, the Kasawari project sailed-away offshore after this reporting period, meeting all requirements of the client. The Group is committed to working closely with all relevant parties including the clients, subcontractors and vendors to recover the additional
costs incurred
Compared to the same quarter 2022, Group revenue of RM1,552.5 million was RM734.1 million higher than the prior period of RM818.4 million, mainly contributed by a significant increase in revenue from Heavy Engineering segment. Despite higher revenue, the Group turned to an operating loss of RM378.4 million in the current period against an operating profit of RM32.1 million in the prior period as the current period was mainly impacted by additional cost provisions recognised for ongoing Heavy Engineering projects.
In tandem with the operating loss, the group swung to a loss before tax of RM385.1 million in the current period against a profit before tax of RM24.9 million reported in the prior period.
