KUALA LUMPUR (July 24): Vizione Holdings Bhd fell into the red in the fourth quarter ended May 31, 2020 (4QFY20) with a net loss of RM7.57 million, compared to a net profit of RM11.4 million a year earlier.

This came after the construction group’s quarterly revenue fell sharply by 74% to RM26.95 million, from RM103.60 million in 4QFY19.

The group said the decline in revenue was mainly driven by its construction segment which saw its quarterly revenue fall 63.08% to RM40.34 million, from RM109.24 million.

For the full financial year, Vizione’s net profit fell 82.05% to RM11.42 million, from RM63.63 million in the previous year.

Annual revenue dropped 44.73% to RM328.19 million from RM593.82 million.

In its filing with Bursa Malaysia, Vizione said the subdued construction activity in April, May and June impacted its financials.

Nevertheless, the management envisages that the Government will gradually pivot its focus onto economic recovery measures for the mid to long-term horizon.

Drawing from historical experience, the management is convinced that construction will be a key catalyst for the Government to kick-start the economic recovery process as the sector undergoes a massive business realignment.

“As the economy gradually opens up, construction would be grabbing more headlines from the likelihood of projects that could be rolled out to pump-prime the economy,” it noted.

The group also said that there may be more upside as further catalytic new flow emerges from Budget 2021 on the time line for the Kuala Lumpur-Singapore High Speed Rail and Klang Valley Mass Rapid Transport Line 3 projects.

Shares in Vizione finished 1.43% or half a sen lower at 35.5 sen, valuing the company at RM233.77 million. It saw eight million shares done.