KUALA LUMPUR: George Kent (Malaysia) Bhd returned to profitability in the first quarter ended June 30, 2026 (Q1’27), posting a net profit of RM279,000 against a net loss of RM8.1 million a year earlier, supported by improved foreign exchange gains and higher revenue.
Revenue rose 4.3% to RM39.28 million from RM37.65 million previously, driven by higher contributions from its metering and engineering businesses.
The group said its metering division recorded revenue of RM32.52 million, up from RM32 million a year earlier, mainly due to higher export sales, although segment profit eased to RM5.09 million from RM5.50 million.
Meanwhile, revenue from its engineering division increased 19.8% to RM6.76 million from RM5.65 million, attributed to higher recognition of work completed during the quarter. However, the division posted a slightly wider segment loss of RM657,000 compared with RM650,000 previously.
The group’s turnaround was also helped by an unrealised foreign exchange gain of RM919,000, compared with an unrealised foreign exchange loss of RM6.86 million in the corresponding quarter. Finance costs fell to RM1.48 million from RM2.72 million previously.
George Kent said its core profit after tax, before the share of results of associates, turned positive at RM1.09 million in Q1’27 from a core loss of RM6.96 million a year earlier.
Executive chairman Tan Sri Tan Kay Hock said the quarter’s performance reflected the resilience of the group’s core businesses and steady progress in executing its strategic priorities.
Looking ahead, he said the group would continue to grow its order book across its Intelligent Technology Solutions and Infrastructure Construction divisions while pursuing opportunities to support sustainable growth.
He added that the proposed acquisition of a 76% stake in Techkem Group would expand George Kent’s water infrastructure capabilities and create opportunities for the group to participate in a broader range of water infrastructure projects.