News Room - Business/Economics

Posted on 25 Aug 2015

Eversendai Q2 earnings surge as orderbook hits RM1.8b

Steel structure player Eversendai Corp Bhd’s profits for the second quarter ended June 30, 2015 rose 93% to RM14.10mil from RM7.30mil a year ago as its order book rose to RM1.8bil.

The company said on Monday the earnings growth was underpinned by a 90% rise in revenue to RM425.23mil from RM222.54mil a year ago. Earnings per share were 1.82 sen compared with 0.94 sen. It declared an interim dividend of 1.25 sen a share.

For the first half, its revenue surged 82.6% to RM828mil from RM453.26mil in the previous corresponding period. Its earnings rose 83.1% to RM33.49mil from RM18.29mil. 

Executive chairman and group managing director Tan Sri A.K. Nathan said the current order book of RM1.8bil provided the group with a substantial earnings outlook.

During the first half, Eversendai had secured RM1.12bil in contracts, with 73.8% of the order book derived from the group’s traditional stronghold in the Middle East and CIS region while the remaining contracts will be executed by the operations in Malaysia (12.3%) and India (13.9%). 

Of the total revenue for the first half of the year, 67% was contributed by its operations in the Middle East and Commonwealth of Independent States region, 22% by our businesses in Malaysia and the remaining 11% by our businesses in India.

“The current economic outlook and the strengthening of the US Dollar will continue to work in our favour, as we anticipate winning a few more contracts in the remaining months of the year. We will continue to actively pursuit targeted commercial and infrastructure projects in the Middle East, India and Malaysia,” AK Nathan said.