DRB-Hicom Q2 net profit up

by **Cals** Fri 29 Nov 2013, 07:56

Posted on 29 November 2013 - 05:41am

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PETALING JAYA (Nov 29, 2013): Conglomerate DRB-Hicom Bhd's net profit grew 71% to RM137.97 million for the second quarter ended Sept 30, 2013 (Q2FY14) from RM80.65 million a year ago, due to improved sales of motor vehicles and growth in the services sector.

Revenue for Q2FY14 rose 3% to RM3.65 million from RM3.54 million.

For the six months period (1HFY14), DRB-Hicom's net profit also jumped 31% RM148.23 million from RM113.25 million a year ago, mainly due to improved performance of its automotive and services sectors.

This was despite posting a 4% dip in revenue at RM6.7 billion from RM7 billion a year ago, due to a slight drop in the auto sector's revenue as well as the lower percentage of completion of its property development projects.

in a statement yesterday, DRB-Hicom group managing director Tan Sri Mohd Khamil Jamil said despite the competitive landscape, the group will continue to proactively enhance the value of its core businesses through strategic corporate initiatives.

"In line with our business objectives, the group has completed the acquisition of Composites Technology Research Malaysia Sdn Bhd on Nov 4, 2013 and is expected to complete the acquisition of a 61.61% stake in Konsortium Logistik Bhd next month," he added.

DRB-Hicom also said its financial performance for the financial year ending March 31, 2014 (FY14) is expected to be satisfactory, while the divestment of certain identified non-core assets is progressing and will be finalised by the end of FY14.