KUALA LUMPUR: Kerjaya Prospek Group and Gabungan AQRS are among the contractors least impacted by the lockdown, operating at 60% of productivity with most of its construction sites resuming work, according to UOB Kay Hian Malaysi Research.
The research house said on Friday the January-March earnings of construction companies were generally below expectations.
The earnings disappointment was mainly attributed to slower-than-expected construction progress billings due to the Movement Control Order (MCO) 2.0 and was exacerbated by the lower margins due to additional Covid-19-related costs, for example sanitisation of the construction sites.
In tandem with this, the KL Construction Index declined 6% year-to-date, underperforming the FBM KLCI Index (-2.6%).
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