KUALA LUMPUR (Feb 24): Power systems technology firm Pestech International Bhd's net profit fell 24% to RM13.16 million in the second quarter ended Dec 31, 2016 (2QFY17), from RM17.3 million a year ago, mainly due to lower revenue.
A filing with Bursa Malaysia showed its quarterly revenue declined 18% to RM119.94 million from RM146.33 million, which the company explained was due to the current project phases.
Higher administration expenses and finance costs during the quarter also impacted profit.
For the six-month period (6MFY17), net profit fell 34% to RM25.1 million from RM37.85 million — though revenue grew 14% to RM222.77 million from RM194.62 million. The weaker earnings was due to higher cost of sales, expenses and finance costs.
On prospects, Pestech said it has always readied itself to embrace immense and pressing requirements for power infrastructure build-up in the region.
The group continuously expand its business reach in the regional countries that it has built solid footprints, and also diligently explore potential new markets to sustain its momentum for growth.
"We anticipate to experience positive business contribution from our home turf, Malaysia, Indochina area, especially Cambodia, and the Central Asia region. Whilst charting its growth path, the management is always mindful to endeavour the equitable development of its power transmission, rail electrification, power plant control systems, and power products business segments," it added.
Pestech said the eventual cohesive and integrated development of all those segments of business would propel the further transformation of the group into a well-rounded power infrastructure services and products corporation in the region.
At 3.21pm, shares of Pestech were traded unchanged at RM1.74, with 2.17 million shares traded, for a market capitalisation of RM1.34 billion. The counter has been on an upward trend since the beginning of the year, climbing more than 13%.
Today QR down, but price and volume up. It seemed anti-gravity across the broad market. Is there something brewing with this counter? I resisted to add when QR announced.
topgugu dun worry about 2Q results...,for me it is good performed. Pestech will continue growing and growing in future, just believe the management team, so I will keep it....Again Pestech is for long term investment not for speculation, I trust Pestech because I am not a speculator.
Tan, if you have this thinking & feel uncomfortable, you can sell it tomorrow, ASAP. Market is fair for everybody, you can sell or buy, nobody can force you.
When broader market is moving positively, it fells. Good news does not excite near term prospect. Diminished cost of opportunity and the patience. Switching for more liquidity and growth.
Topgugu,I am still shareholder ( am 100% not a speculator ), dun worry. In fact i keep acquired @ 1.61 last month & 1.62 yesterday...,i am too confidence with Pestech, thank you Mr Market who are selling this price to me, I keep quiet doesn't mean I have sold, you know my TP right?
top up at 1.6 yeah !! Energy sector is the sector i invest the most, tenaga, ranhill, cypark and pestech all i holding. the business is easy to understand and growth is almost certain as long as population grow. More factories, more house, more shops, more malls, everything need energy.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
billionchew
262 posts
Posted by billionchew > 2016-12-30 12:16 | Report Abuse
again this counter is not for speculation, is for long term investment.