Friday July 27, 2012
Tasek Q2 profit falls 4.4% on weaker concrete business
KUALA LUMPUR: Tasek Corp Bhd earnings fell 4.4% to RM23.13mil in the second quarter ended June 30, 2012 from RM24.21mil a year ago due to a weaker performance from the concrete segment.
Revenue was flat at RM139.73mil compared with RM138.57mil.
Earnings per share wase 18.99 sen compared with 19.52 sen previously.
It declared an interim dividend of 30 sen a share.
As of the period, the company has RM446.14mil in cash.
For the six-month period, net profit was up 0.87% to RM48.92mil on the back of a 9.18% increase in revenue to RM290.36mil.
Tasek told Bursa Malaysia that the concrete segment registered an operating loss of RM822,000.
This compared with a profit RM446,000 of the same quarter of previous year.
Concrete segment’s sales volume was impacted by the closure of two main batching plants in Kuala Lumpur and higher production costs, in particular the prices of aggregates and sand following the shortages of these raw materials during the reporting quarter.
Interest income for the current quarter increased to RM4.1mil from RM3.5mil compared with the previous year’s corresponding same quarter mainly due to higher interest yield and higher fund placements.
Share of profit from the group’s associate during the reporting quarter decreased by RM1.3mil to RM3.1mil.
This compared with RM4.4mil in the previous year’s corresponding quarter.
The lower profit was mainly due to the increase in production costs from higher clinker and imported bulk cement costs.