Hot Stock George Kent rises 11.6% on dividend

by **Cals** Fri 28 Mar 2014, 12:02

Hot Stock George Kent rises 11.6% on dividend

Business & Markets 2014

Written by Jeffrey Tan of theedgemalaysia.com

Friday, 28 March 2014 11:22

KUALA LUMPUR (Mar 28): George Kent (M) Bhd rose as much as 11.6% after the engineering firm proposed a final dividend of four sen a share for the fourth quarter, bringing full-year dividend payout to 7.5 sen which amounted to RM15.8 million or a 44% increase from the previous year.

George Kent chairman Tan Sri Tan Kay Hock said yesterday the FY14 dividend payout was the highest ever for the group.

At 10.24am, George Kent gained 11 sen or 9% to RM1.32. The bourse's eighth largest gainer saw some 2.9 million shares exchanged hands.

At 11.14am, the stock was traded at RM1.31. George Kent had earlier risen as much as 14 sen to RM1.35.

A dealer told theedgemalaysia.com over telephone that "the stock’s rise today is due to George Kent’s highest dividend payout.”

The dividend announcement coincided with George Kent's release of its fourth quarter and full-year results for financial year ended January 31, 2014 (FY14).

George Kent said yesterday it posted a net profit of RM18.3 million in 4QFY14 versus RM10.5 million a year earlier. Revenue climbed to RM266.8 million compared to RM122.6 million.

Full-year net profit rose to RM36 million from RM25.6 million a year earlier while revenue climbed to RM506.3 million from RM276.8 million.

The firm plans to pay a dividend of four sen a share during the quarter in review. This brings full-year dividends to 7.5 sen a share.

In a statement, George Kent chairman Tan Sri Tan Kay Hock said : “The group delivered a stellar performance in FY2014, boosted by growth in both our core divisions of water and construction and manufacturing, meters and industrial products.

"This marks another record year for George Kent, where our group revenue and profits reached all time highs," he said.