KUALA LUMPUR: Diversified Main Market-listed PRG Holdings Bhd registered a higher net profit of RM4.17 million for the first quarter ended Jan 31, 2023 (1Q23) from RM4.09 million a year ago, on the back of higher revenue.
The company's revenue rose 55.8 per cent to RM92.73 million from RM59.53 million previously, contributed by its energy efficiency business and higher revenue recognition resulting from higher sales and construction progress from ongoing projects.
Earnings per share fell to 0.97 sen for the period from 0.95 sen in 1Q22, the company's Bursa Malaysia filing today showed.
Meanwhile, PRG's property development and construction segment recorded revenue and profit before tax (PBT) of RM32.3 million and RM6.9 million respectively in 1Q23, on the back of recognition of sales and construction progress from ongoing projects.
The manufacturing segment recorded a lower revenue of RM22.8 million in 1Q23 with a PBT of RM1.2 million, mainly due to the slowdown in global demand and rising inflation.
The newly ventured energy efficiency segment registered a revenue of RM37.4 million and PBT of RM4.5 million in 1Q23, generated from energy solution contracts and maintenance service contracts.
As of to-date, the segment experienced a strong order by securing multiple projects amounting to a total contract value of approximately RM20 million.
Reviewing the company's performance, PRG group executive vice chairman Lua Choon Hann said the diversification into the energy efficiency segment has started to contribute to earnings, and the company foresees this to be an important growth driver moving forward.
He added that more and more businesses are seeing the value and cost savings in our energy efficiency offering due to regional governments' push towards establishing sustainable and green economies.
Lua said this shift towards a green economy will have a significant positive impact on energy efficiency services moving forward.
"We will continue to work towards increasing our order books in the energy efficiency segment.
"With the property and manufacturing businesses stabilising while the energy efficiency business grows, the outlook for PRG is now looking significantly better.
"We continue to be on the lookout for new opportunities and are always mindful of creating more shareholder value," he noted.