KUALA LUMPUR (Feb 28): Salcon Bhd posted a net loss RM4.8 million for the fourth quarter ended Dec 31, 2021 versus net profit RM171,000 the prior year due to higher operating expenses.

In a bourse filing Monday (Feb 28), Salcon said revenue slipped to RM58.29 million from RM61.58 million.

The decrease in the revenue and profit before tax is mainly due to decline in average selling price.

Loss per share was 0.48 sen versus earnings per share of 0.02 sen.

The company proposed a final dividend of one treasury share for every 40 existing ordinary shares held in the company in respect of FY21 subject to the approval of the shareholders.

For the financial year ended Dec 31 (FY21), Salcon posted a net profit RM12.07 million versus net loss RM6.07 million the previous year, on the back of revenue of RM434.78 million against RM194.15 million.

Reviewing its performance, Salcon said the improved cumulative result was due to higher contributions from share of profit from joint ventures.

On its prospects, Salcon said the engineering and construction division successfully completed several water-related contracts locally and internationally, namely Vietnam and Sri Lanka, in FY21.

Looking forward, the group looks to leverage its operational performance to secure more water and wastewater projects locally and regionally in the coming years, it said.

“Prospects remain robust as the federal government continues to make huge investments to improve the water quality and services in the country.

“The group is expected to potentially benefit from the 12MP with its proven track record and experienced management,” the group said.

Salcon said as country borders open up, it will participate more actively in international water infrastructure bids.

At the midday break, Salcon settled at 23 sen with 148,800 shares done.