KUALA LUMPUR, June 10 — Boustead Heavy Industries Corporation Bhd recorded a net profit of RM20.38 million for the first quarter ended March 31, 2020, compared with a net loss of RM4.30 million in the same quarter last year.
Revenue rose to RM44.05 million from RM36.30 million previously, the group said in a filing to Bursa Malaysia today.
The current period revenue was derived mainly from submarine contracts and other defence-related Maintenance Repair and Overhaul (MRO) projects, it noted.
The net profit recorded for the period under review was mainly due to reversal of expected credit losses of RM18.6 million, it added.
“The joint venture companies posted a negative contribution of RM2 million in the cumulative period mainly contributed by Contraves Advanced Devices Group (CAD group) recording a lower income arising from lower demand from its customers as a result of the COVID-19 pandemic and unfavourable foreign exchange translations of RM3.7 million arising from outstanding trade payables.
“The positive contribution of RM1.2 million by the joint venture companies in 2019 was mainly from the progress on the Littoral Combat Ship programme undertaken by CAD group and higher flying hours clocked in by both contracts from the Royal Malaysian Air Force and Malaysian Maritime Enforcement Agency under BHIC AeroServices Sdn Bhd,” it said.
— BERNAMA
More Stories
Malaysia, Brazil Sign Memorandum To Cooperate In Semiconductor Sector – Liew
Kelantan Has Potential To Become Major Local Onions Producer – Mohamad Sabu
Malaysia, Bangladesh Ink Eight MoUs To Boost Bilateral Ties, Defence Cooperation