WCT Holdings Bhd, a leading engineering, construction, and property company, registered a profit after tax of RM155 million for the year ending 31 December 2017. A significant jump from the RM68 million recorded in the previous year.
The Group recorded a revenue of RM579 million for the fourth quarter of 2017 as compared with a lower RM453 million in the corresponding quarter for 2016. A net profit of RM59 million was recorded, which was a boost as compared to RM4 million for the same quarter last year.
Datuk Lee Tuck Fook, Group Managing Director of WCT, said, “The Group’s improved performance for the 2017 financial year was mainly due to stronger contributions from all three of our core business segments, namely Engineering & Construction, Property Development and Property Investment and Management. Engineering and Construction segment remains the core contributor to the Group’s revenue.”
“We continue to concentrate on improving the margins from our on-going projects as well as better efficiencies along with improved cost management. The Group's financial performance in 2017 is considered satisfactory, especially when we take the current economic condition into account.”
"We are also encouraged by the various efforts taken by the Government via the Budget 2018 proposals, where the construction industry will continue to be a direct beneficiary given the planned infrastructure projects spending. We look forward to the coming year and believe it will be a fruitful year for the Group," he added.
The Engineering and Construction segment recorded a revenue of RM1.4 billion but incurred RM33 million in operating loss. The decrease in operating profit is attributed to the impairment of the amount due from a contract customer in Qatar amounting to RM165 million and an unrealised foreign exchange loss of RM20 million. Excluding this impairment loss and unrealised foreign exchange loss, our Engineering & Construction segment would have recorded operating profit of RM152 million.
Meanwhile, the Group’s Property Development and Investment and Management segment recorded a revenue of RM514 million (FY2016: RM365 million). The operating profit of this segment also went up from RM109 million to RM346 million mainly due to the better operating results from the Group’s property investment and management segment as well as fair value gains from the Group’s investment properties amounting to RM225 million.
The Group’s basic earnings per share for the financial year 2017 has improved significantly to 11.29 sen from 5.50 sen previously.
