KUALA LUMPUR (Jan 23): Gadang Holdings Bhd’s net profit for its second quarter ended Nov 30, 2018 fell 39.98% to RM17.03 million, from RM28.37 million a year ago, mainly due to recognition of variation orders for completed construction projects. 

Earnings per share fell to 2.57 sen from 4.32 sen in the same quarter last year, Gadang said in a filing today.

This was despite quarterly revenue rising 17.95% on-year to RM168.52 million from RM142.87 million, supported by higher contribution by the construction and property divisions.  

Cumulative six-month net profit fell 28.13% to RM33.57 million, from RM46.71 million in the previous corresponding period, also due to recognition of variation orders for completed works.  

Half-year revenue went up 14.66% to RM297.66 million, against RM259.61 million previously.  

On prospects, Gadang said it foresees a “challenging period” ahead and is working on replenishing its order book for its construction segment, as well as intensifying its marketing initiatives for its property projects, while utility division is expected to remain stable.  

Shares of Gadang closed unchanged at 61 sen, giving it a market capitalisation of RM403.65 million.