KUALA LUMPUR (Nov 20): Solarvest Holdings Bhd, which is scheduled to be listed on the ACE Market of Bursa Malaysia on Nov 26, announced a net profit of RM3.6 million for the second quarter ended Sept 30, 2019 (2QFY20), on revenue of RM102.4 million. 

There are no comparative figures as this is the solar photovoltaic system specialist’s first interim financial report to Bursa Malaysia, in conjunction with its initial public offering exercise.

For the cumulative six months ended Sept 30 (1HFY20), Solarvest said its net profit and revenue stood at RM7.8 million and RM140.0 million respectively. 

The half-year revenue surpassed the full-year revenue of RM112.2 million reported for the previous financial year ended March 31, 2019 (FY19), it noted. 

“A major portion of the revenue was contributed by the turnkey engineering, procurement, construction and commissioning (EPCC) segment, representing 98% of total revenue. Out of which, 75% is from the Large Scale Solar Photovoltaic (LSSPV) segment, while 23% was for work done in the residential, commercial and industrial segment.” 

Solarvest chief executive officer Davis Chong Chun Shiong described the group’s financial results as commendable. 

“During the first half, we were busy working on projects across all segments, which include completing some of the large scale solar projects. The most notable project would be the 12.7-megawatt peak Asia Meranti Solar Kamunting plant, as it is the first large scale solar (LSS) project under the second cycle of the LSS programme to be installed and achieve commercial operation date.” 

Meanwhile, the group aims to achieve commercial operation date for the two other second cycle LSS projects, Asia Meranti Solar Kampar and Asia Meranti Solar Kinta, by December 2019.  

Solarvest said its order book replenishment also progressed well, as it added new orders totalling RM128.3 million during the first two financial quarters, out of which RM105.7 million is contributed by the residential, commercial and industrial segment. 

As at Sept 30, the group’s outstanding order book stood at RM184.5 million, and this is expected to contribute progressively to its revenue in the current and next financial years. 

“Looking ahead, we aim to strengthen our foothold in both the LSSPV and residential, commercial and industrial segments with the funds that we will be raising from our upcoming listing exercise. 

"We are humbled by the overwhelming interests we received thus far, and the oversubscription rate of 35 times for our IPO shares has further boosted our confidence in pursuing our growth plans,” Chong said. 

The listing exercise entailed the issuance of 98,828,000 new shares at an issue price of RM0.35 per share, raising RM34.6 million in IPO proceeds.

Upon listing, Solarvest said it will have a market capitalisation of RM136.7 million, based on the issue price of 35 sen per share and its enlarged share capital of 390.6 million shares.