UEM Edgenta Berhad reported an improved revenue delivery of 14.1% for the financial year ended 31 December 2023 (“FY2023”), compared to RM2.5 billion in the previous year (“FY2022”) and for the Company to declare a single-tier interim
dividend of 2 sen per ordinary share for FY2023.
Facing global inflationary pressure and rising operational costs, the company saw its profit moderating, resulting in a profit after tax for FY2023 of RM30.1 million, a decrease of 34.1% compared to RM45.7 million in FY2022. For the quarter under review (“Q4 FY2023”), the Company recorded 92.9% decline in profit after tax on the back of RM806.9 million in revenue compared to a profit after tax of RM21.0 million and a revenue of RM710.5 million in the previous preceding quarter (“Q4 FY2022”). As of 31 December 2023, UEM Edgenta’s financial position remained healthy by maintaining a low gearing ratio at 0.3 times with cash and bank balances of RM644.2 million.
Taking stock of the prevailing market conditions, sentiment, and the Company’s most recent quarterly performance, Syahrunizam Samsudin, Managing Director/Chief Executive Officer, UEM Edgenta shared, “In 2023, UEM Edgenta demonstrated robust revenue growth, highest in 6 years, driven by high contract renewals and realized work orders from strong year-on-year contract wins with maiden revenue contribution from KSA, supported by strengthening of SGD. Due to the cost-push inflation with persistent rising cost of raw materials and labour that directly impact our cost structure and flow through impact from subcontractor/vendor rising costs, profit margin was moderated across businesses.
