Kerjaya Prospek 2Q earnings up 34% to RM32.9m, adopts minimum 25% dividend policy

KUALA LUMPUR (Aug 22): Kerjaya Prospek Group Bhd's net profit for its second quarter ended June 30, 2017 rose 34% to RM32.90 million, from RM24.58 million a year earlier, driven by its construction segment.

Revenue for the quarter rose to RM240.20 million in 2QFY17, from RM193.48 million previously, the company said in its filing with Bursa Malaysia today.

Earnings per share was 6.42 sen, compared with 7.07 sen a year earlier.

For the six months ended June 30 (1HFY17), Kerjaya Prospek’s net profit jumped to RM61.75 million from RM48.26 million, on the back of a revenue of RM473.42 million, compared with RM379.41 the prior year (1HFY16).

Reviewing its performance, Kerjaya Prospek said its property development segment was also expected to contribute positively to its earnings, moving forward.

It said performance of its construction division had mitigated the slowdown in its manufacturing segment, due to completion of existing projects.

On its prospects, Kerjaya Prospek said its outstanding order book stood at RM2.5 billion as at June 30, 2017.

“In addition, the construction division has secured RM362 million worth of jobs as at financial quarter. The group’s maiden project, Vista Residences, has also recorded an encouraging take-up rate, with its current unbilled sales of approximately RM83 million,” the filing said.

In a separate announcement today, Kerjaya Prospek said it has adopted a dividend policy of paying an annual dividend of not less than 25% of its net profit and minority interest per share, in respect of any financial year, subject to the company satisfying its solvency test.
 
“The adoption of the above dividend policy with a steady dividend payout every year, is part of the company’s effort to retain existing shareholders, as well as to attract public shareholders towards the company’s shares,” the announcement added. — theedgemarkets.com

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