Tasek Corporation posts 7.1% fall in third quarter profit

According to local press reports, Malaysian cement manufacturer Tasek Corporation Bhd recorded a 7.1% fall in profit in the third quarter of 2014 (ended 30 September). The company posted earnings of MYR21.5 million for the period (from MYR23.1 million), despite revenue increasing by 3.3% to MYR148.7 million (from MYR143.9 million). The decrease was attributed to lower profit margins from its cement division, which fell due to intense price competition in the Malaysian market.

The company has additionally declared a special interim single-tier dividend of 50 sen per share in conjunction with the its 50^th anniversary, which will be paid on 8 December 2014.

Tasek Corporation commenced cement production in Malaysia 1964, with an annual rated production capacity of 250 000 t at its plant in the Tasek Industrial Estate in Ipoh. Since then, the company has undertaken a series of expansion projects to keep up with the country's development and increasing cement demand, culminating in the latest upgrading of technology at the plant (designed to produce up to 2.3 million tpa of clinker). The company’s outlook for 4Q14 is expected to remain positive due to a number of ongoing government-sponsored construction projects.

Edited from various sources by Rosalie Starling

Sources

• The Malaysian Reserve
• The Star Online

Read the article online at: https://www.worldcement.com/asia-pacific-rim/05112014/tasek-corporation-posts-7-1-percent-fall-in-third-quarter-profit-765/