Serba Dinamik charged with additional tax of RM45m

PETALING JAYA: Serba Dinamik Holdings Bhd which has been slapped with an additional tax of RM45 million by the Inland Revenue Board, saw a 16.64% fall in net profit for the fourth quarter ended December 31, 2017, to RM80.50 million from RM96.58 million in the preceding year’s corresponding quarter.
The group’s board of directors said in a stock exchange, the tax assessment is for the years 2010 to 2015.
Serba Dinamik will settle an initial payment of RM11.25 million followed by monthly installments amounting to RM1.85 million payable over a course of 18 months.
Revenue grew 8.96% to RM797.37 million from RM731.76 million a year ago on the back of strong activities from its engineering, procurement, construction and commissioning (EPCC) Segment.
It declared an interim dividend of 1.6 sen per share for the financial year ended December 31, 2017.
Serba Dinamik displayed optimism on the future prospects of the company and is also of the view that the group will continue to generate positive result in future.
“The group recent announcement to participate in the development of a small hydro-power plant in Perak marks our commitment to increase our participation in the power generation industry. Currently the group is involved in development of cumulative 90 MW power plant, which the group intends to expand the portfolio further,” the board said on prospects.
By leveraging on its core competencies, the group has also penetrated into water and utilities industry.
It is currently involved in developing water treatment plant in Terengganu, two sewerage treatment plant in Kuala Lumpur as well as developing a ChlorAlkali plant in Tanzania, which produce chemicals used in the water treatment facilities.
On top of that, Serba Dinamik is also looking to expand to various international markets for its integrated engineering services, in addition to its operations in South East Asia, Central Asia, Middle East, Europe and Africa.
It sees the QuickParking mobile payment application which provides parking solutions to customers, as well as app-based online management system for clinics named “Malaysia Third-Party Administrator (MyTPA), as part of the its strategy to strengthen its IT division capabilities.
Full year net profit grew 102.39% to 306.51 million from RM151.44 million. Revenue for the period grew to RM2.71 billion from RM1.40 billion in the previous year.
The stock gained 3.2% to close at RM3.55 with 7.29 million shares done.