KUALA LUMPUR (Nov 30): Serba Dinamik Holdings Bhd's net loss swelled to RM104.6 million for the first quarter ended Sept 30, 2022 (1QFY2023), from RM42.11 million a year earlier, dragged by losses across all of the group's segments bar its education and training (E&T) segment, as well as RM67.24 million in corporate expenses and consolidation elimination.

Loss per share climbed to 2.81 sen from 1.14 sen in 1QFY2022, according to the oil and gas services provider's Bursa Malaysia filing on Wednesday (Nov 30).

Revenue for the quarter declined 73.28% year-on-year (y-o-y) to RM213.58 million in 1QFY2023 from RM799.35 million previously, due to the group's segments recording drops in contributions across the board.

Serba Dinamik said the group's operation and maintenance (O&M) segment recorded a revenue of RM208.4 million, 71.95% lower y-o-y compared with RM742.89 million in 1QFY2022, and posted a gross loss of RM35.15 million versus a gross profit of RM63.09 million.

Meanwhile, the engineering, procurement, construction and commissioning segment's revenue fell 95.11% y-o-y to RM2.56 million during the quarter under review from RM52.32 million, mainly due to the reduction of revenue from activities in the UK and Malaysia.

This resulted in the segment reporting a gross loss of RM1.48 million for 1QFY2023 compared with a gross profit of RM4.32 million in 1QFY2022.

The group's information and communications technology (ICT) segment registered a 67.21% y-o-y drop in revenue to RM580,000 from RM1.77 million in 1QFY2022, as well as a gross loss of RM117,000 compared with a gross profit of RM716,000.

Meanwhile, the E&T segment saw a 13.64% y-o-y drop in revenue to RM2.04 million from RM2.36 million and posted a gross profit of RM322,000 compared with RM795,000.

Going forward, Serba Dinamik said the group expects to increase its client base as vendors for original equipment manufacturers due to the establishment of its integrated facilities, especially in Bintulu, Pengerang and Pasir Gudang, which will focus on oil and gas, and power generation industries.

"In terms of geographical positioning, the group intends to strengthen its position in Africa and Central Asia where huge prospects are available with existing track record and positioning of its presence in Tanzania, Guinea and Uzbekistan," it said.

The group said it also endeavours to improve its positioning in ICT scope, especially in capabilities related to the Fourth Industrial Revolution, which it noted will improve both the top and bottom lines of the segment's financial achievements in coming quarters.

Overall, Serba Dinamik said the group anticipates that its operations will remain challenging going into 2023 due to the uncertainty of the global economy.

"The group views that the O&M segment will remain its core competency and provide the fundamentals of its operations," the group said.

"With the group being classified as a Practice Note 17 company, the board pledges to resolve the ongoing issue, including the restructuring and regularisation plan, in the best interests of stakeholders," it added.

Shares in Serba Dinamik ended half a sen or 20% lower at two sen on Wednesday, giving the group a market capitalisation of RM74.54 million.