Construction outfit Kerjaya Prospek Group Berhad (Kerjaya Prospek) reported a 23.5% growth in profit after tax and minority interests (Patami) for the third quarter for the financial year ending 31 December 2023 to RM35.6 million from RM28.8 million for the same quarter last year.
In a statement, the group said for the quarter under review, it reported improved bottom-line grew on the back of a 39.6% revenue growth to RM362.2 million from RM259.4 million.
“The enhanced financial performance was mainly attributed to the increase in revenue from the construction division by 33% to RM344 million and the property development division by 100% to RM17.7 million, as a result of the revenue recognition from The Vue@ Monterez project,” it said.
The group said for the cumulative nine months ended 30 September 2023 (9MFYE2023), Kerjaya’s revenue increased 15.8%, year-on-year (YoY), from RM836.9 million to RM968.7 million.
“In line with the higher revenue, Patami rose 12%, from RM86.2 million to RM96.5 million. The construction division continues to be the main revenue contributor to the group, having accounted for 98% of 9MFYE2023’s revenue,” it said.
As at 30 September 2023, the group’s balance sheet remained healthy with a net cash of RM204.2 million and a current ratio of 3.8 times.
Commenting on the group’s performance, Kerjaya Prospek chief executive officer and executive director Tee Eng Tiong said the group continue to perform steadily.
“We are pleased that the group has once again achieved exceptional performances for this quarter, as we navigate through 2023.
“Despite the minor headwind faced by the construction industry due to the spiking price of cement, we have absolute confidence in our ability, track record, and expertise to continue executing our ongoing projects and eventually improved our margins and earnings,” it said.
Year-to-date, Tee said, the group has achieved a contract replenishment value of RM1.6 billion, which includes its latest RM104.7 million award from Persada Mentari Sdn Bhd for the development of semi-detached and terrace houses in Penang.
“This brings our outstanding order book value to RM4.7 billion as of September 2023,” he said.
Despite surpassing its yearly targeted wins of RM1.2 billion worth of contracts for the financial year, he added the group will continue to seek lucrative and viable projects to enhance its order book.
Tee further added: “As for our property development arm, we are looking forward to launch our new development project, Papyrus @ North Kiara by the first quarter of 2024.”
Kerjaya Prospek has declared a third interim single-tier dividend of 2 sen per share, which will be paid on 12 January 2024. This brings the total dividend declared to date for the current financial year to 6 sen per share.
