KJTS Group Berhad (“KJTS”), a building support services provider in Malaysia, Thailand, and Singapore, is pleased to announce its unaudited financial results for the third quarter ended 30 September 2024 (“Q3 FY2024”).
The Company reported a revenue of RM33.54 million for Q3 FY2024, reflecting an 11.79% growth compared to the corresponding period last year (“Q3 FY2023”).
For the current quarter, the Cooling Energy segment contributed RM15.19 million, accounting for 45.29% of total revenue. The growth was attributed to newly secured major Engineering, Procurement, Construction and Commissioning (“EPCC”) projects in the Cooling Energy segment during the quarter.
Geographically, Malaysia remained the largest market, contributing RM24.80 million or 73.94% of the Group’s revenue, while Singapore, the largest foreign market, delivered RM6.72 million or 20.04% of the Group’s revenue during the quarter.
KJTS registered a profit before tax (“PBT”) of RM2.50 million in the current quarter, resulting in a dip of 50.19% as compared to Q3 FY2023.
However, this was largely due to higher administrative expenses which mainly consists of Employees’ Share Option Scheme (“ESOS”) expenses amounted to approximately RM1.60 million. Otherwise the adjusted PBT (without the ESOS expenses) of KJTS would have been RM4.08 million.
On Quarter-on-quarter (“QoQ”), the Group’s revenue rose by 15.77% from approximately RM28.98 million as compared to the preceding financial quarter ended 30 June 2024, driven by growth across all key segments. The Cooling Energy segment saw the largest revenue increase of RM3.24 million, attributed to progress in several new EPCC projects.
The Cleaning Services and Facilities Management segments also showed incremental revenue growth of RM0.71 million and RM0.62 million, respectively, due to onboarding new clients and cyclical maintenance work.
Meanwhile, the Company’s PBT decreased to RM2.49 million from RM4.33 million, largely due to the factors mentioned above, where the adjusted PBT would result in 5.71% decrease when compared to QoQ.
For the nine months ended 30 September 2024, KJTS reported year-to-date revenue of RM98.72 million, representing an 11.67% growth compared to the same period last year. The Cooling Energy and Cleaning Services segments remained the primary contributors, generating RM46.20 million and RM42.20 million, respectively, during this period.
In reviewing the financial performance, the management stated, “The strong revenue growth achieved this quarter underscores our ability to harness market opportunities and scale operations efficiently. Although increased ESOS-related expenses impacted our Q3 FY2024 PBT, our operational and financial fundamentals remain strong. We are confident in maintaining sustainable growth across our core business segments.”
The management added,
“Our Cooling Energy segment is well-aligned with Malaysia’s National Energy Transition Roadmap (NETR) and sustainability priorities. With our expertise in energy efficiency and innovative cooling solutions, we are positioned to contribute to the nation’s energy transition goals while delivering lasting value to our stakeholders.”
Looking ahead, KJTS is optimistic about its growth prospects, supported by Malaysia’s positive economic environment. The nation’s Gross Domestic Product for 2025 is forecasted to grow between 4.5% and 5.5%, reflecting a stable economy despite global uncertainties.
The RM421 billion Budget 2025, including RM86 billion allocated for development, provides a favourable landscape for construction and energy efficiency sectors.
For more information, visit https://www.kjts.com.my.
