Boustead Heavy Industries posts pre-tax loss of RM107m in Q4

KUALA LUMPUR, Feb 21 – Boustead Heavy Industries Corporation Bhd’s recorded a pre-tax loss of RM107.16 million for the fourth quarter ended Dec 31, 2012 from RM1.7 million in 2011.

The company’s revenue however rose to RM646.51 million from RM544.13 million, it said in a filing to Bursa Malaysia. Its basic earning per share also fell to 52.97 sen from 5.14 sen.

Boustead Heavy Industries’ pre-tax loss was due to the heavy engineering segment that registered losses on the back of its commercial shipbuilding costs overrun but was mitigated to a certain extent by income from subsidiaries undertaking maintenance, repair and overhaul works.

“With the completion of the final commercial shipbuilding project last month, the heavy engineering segment will not incur further cost implications of this nature,” it said.

Meanwhile, revenue earned by the company came from the manufacturing segment, which rose from the percentage of work completed in its defence-related projects, also contributed to the growth.   

The company is expected to maintain its positive contribution in line with higher progress achieved in its ongoing projects. – Bernama