PETALING JAYA: Sunway Construction Group Berhad in announcing its financial results for the third quarter ended Sept 30, 2023 (Q3 2023) posted positive financial performance in the current quarter.
Revenue increased by 43.5% to RM673.5 million in Q3 2023, supported by higher revenue contributions from all segments. Profit before tax (PBT) expanded in tandem with the rise in revenue to RM48.1 million, a 27.9% increase over the same quarter in the preceding year.
Revenue for the construction segment climbed 40.9% to RM590.5 million in the current quarter, fueled by enhanced contributions from sustainable energy projects and higher revenue recognition as newer projects progress. PBT rose correspondingly to RM41.6 million, an increase of 18.9% over the same quarter in the previous year.
The precast segment recorded a surge in revenue of 65.0% to RM83.0 million in Q3 2023 underpinned by higher contributions from the Integrated Construction and Prefabrication Hub (ICPH) and several newer projects. PBT rose more than doubled from RM2.6 million in Q3 2022 to RM6.5 million in Q3 2023 on the back of higher revenue and reversal of provision for completed projects.
Sunway Construction Group managing director Liew Kok Wing (pic) commented, “We applaud the government for its commitment to ensure the continuity of ongoing projects and previously announced initiatives in the recently announced Federal Budget 2024. The infrastructure projects will serve as catalysts for the construction industry.”
He added, “Sunway Construction continues to make strides towards securing data center and logistics warehouse projects, securing its second data center and Daiso global distribution center warehouse projects in Q3 2023 totaling RM488 million. The Group exceeded its FY2023 new order book target of RM2 billion, securing RM2.23 billion in new orders for the first nine months of 2023.”
He further added, “On the international front, one of the Group’s infrastructure projects in India, the Meensurutti-Chidambaram Highway project is expected to achieve the commercial operations date in December 2023. Meanwhile, the productivity of the ICPH facilities in Singapore has steadily improved since the official launch of the facilities in July 2023.
He concluded, “Looking ahead, the Group is cautiously optimistic in registering positive growth for FY2023 supported by its existing outstanding order book of RM5.8 billion.”