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PR Newswire
25-08-2012, 07:00 PM
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The Straits Times
www.straitstimes.com
Published on Aug 25, 2012
Kian Ann Engg posts modest rise in Q4 gains
By Melissa Tan
TOUGH competition in a tightening market restricted heavy equipment and engine parts firm Kian Ann Engineering to a modest rise in fourth-quarter net profit.
Earnings came in at $4.5 million for the three months to June 30, a rise of 4 per cent on the previous year, while revenue dipped 2.8 per cent to $42.4 million.
The firm cited a "competitive business environment where supply outstripped demand in some of the group's key markets".
Sales in Singapore shot up 21.1 per cent from the corresponding period a year ago to $9.8 million due to a general increase in demand for parts by the construction and infrastructure sectors.
The construction sector grew by 5.3 per cent year-on-year in the quarter, according to the Ministry of Trade and Industry.
But the buoyant Singapore numbers were outweighed by the 16.2 per cent plunge in sales in Malaysia, Kian Ann's largest market by turnover, to $10.7 million.
The firm said the decline was due to lower demand for parts by the forestry sector.
Full-year net profit expanded 13 per cent to $19 million on the back of a 4.7 per cent boost in revenue to $170 million.
Lower demand for parts from China and India was offset by demand from the mining sector in Indonesia and other South-east Asian nations, plus strong sales to countries outside Asia, it added.
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The Straits Times
www.straitstimes.com
Published on Aug 25, 2012
Kian Ann Engg posts modest rise in Q4 gains
By Melissa Tan
TOUGH competition in a tightening market restricted heavy equipment and engine parts firm Kian Ann Engineering to a modest rise in fourth-quarter net profit.
Earnings came in at $4.5 million for the three months to June 30, a rise of 4 per cent on the previous year, while revenue dipped 2.8 per cent to $42.4 million.
The firm cited a "competitive business environment where supply outstripped demand in some of the group's key markets".
Sales in Singapore shot up 21.1 per cent from the corresponding period a year ago to $9.8 million due to a general increase in demand for parts by the construction and infrastructure sectors.
The construction sector grew by 5.3 per cent year-on-year in the quarter, according to the Ministry of Trade and Industry.
But the buoyant Singapore numbers were outweighed by the 16.2 per cent plunge in sales in Malaysia, Kian Ann's largest market by turnover, to $10.7 million.
The firm said the decline was due to lower demand for parts by the forestry sector.
Full-year net profit expanded 13 per cent to $19 million on the back of a 4.7 per cent boost in revenue to $170 million.
Lower demand for parts from China and India was offset by demand from the mining sector in Indonesia and other South-east Asian nations, plus strong sales to countries outside Asia, it added.
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