Citaglobal upbeat on future earnings with RM691.4mil orderbook

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PETALING JAYA: Citaglobal Bhd will continue embarking on opportunities to improve contributions of the civil engineering and construction sector besides the energy division.

In a filing with Bursa Malaysia, the engineering company said it would implement initiatives including acquisition growth while actively tendering for projects to further strengthen its financial performance.

As at June 30, it had a total outstanding order book of RM691.4mil.

“Citaglobal, through its indirect subsidiary, has diversified into property development business, namely the PR1MA phase two project with an estimated remaining gross development value of RM368.6mil,” it said.

On June 1, 2023, its wholly-owned subsidiary company, Citaglobal Engineering Services Sdn Bhd, accepted a Letter of Award (LoA) from Port Dickson Power Bhd for contract works of decommissioning, dismantling, demolition and disposal of balance of plant that has a contract worth RM13.3mil.

It is expected to be completed in 12 months from its commencement date and will contribute to the groups’ earnings.

It added it was in a transition phase to focus on renewable energy and telecommunication sectors, which is also expected to positively contribute to its performance.

“The performance outlook of the group will also depend on the award of contracts for the Battery Energy Storage System and for the ECRL Independent Power Producer project,” it said.

Meanwhile, Citaglobal said it recorded revenue of RM56.43mil for the second quarter ended June 30, compared with RM43.67mil for the quarter under review last year. Net profit was at RM3mil against RM2.3mil a year ago.

Year-to-date, Citaglobal posted a higher revenue of RM94.7mil compared to RM89.4mil in the preceding year corresponding year-to-date while its net profit was higher at RM5.07mil compared to RM4.42mil.

The increase was due to the higher revenue contribution from the energy, civil engineering and construction and remaining segments, respectively.

However, this was offset by the lower revenue from its manufacturing segment. The higher revenue in the remaining segment was from the telecommunications and property divisions.



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