KUALA LUMPUR, Aug 27 — Sabah-based Suria Capital Holdings Bhd’s net profit for the second quarter slipped to RM5.75 million from RM14.4 million in the corresponding quarter last year, mainly due to lower revenue from operations in the quarter under review.

For the current quarter ended June 30, 2020, the Group registered a revenue of RM46.53 million, a decrease by RM23.5 million or 34 per cent when compared to the previous year’s corresponding quarter of RM69.98 million.

"The decrease in revenue was mainly due to lower contribution from operating activities across all business segments as well as from construction services for concession infrastructure,” said the port operator in a filing to Bursa Malaysia here, today.

It anticipated that the business environment is going to be very challenging in 2020 in view of the uncertain economic outlook following the widespread of Covid-19 pandemic to most countries around the world.

"The Board is positive that the port operations, being the core business of the Group and categorised as essential service under the movement control order, will be able to withstand the challenges and continue to remain resilient to contribute positive results for the Group for the current financial year.”

For the six-month period, net profit dropped to RM16.29 million from RM30.09 million previously, while revenue stood at RM103.47 million as compared with RM139.30 million.

For the current quarter, the port operations segment contributed 97 per cent to Group revenue and for the year-to-date, it contributed 96 per cent to Group revenue.

The operations for this segment are mainly in Sabah and Sabah Ports plays an important role in supporting the state’s economy as shipping is widely used to transport imports and exports.

For the current quarter and year-to-date, there was a decrease in cargo throughput of 34 per cent and 25 per cent respectively, mainly attributed to lower bulk oil, palm oil, palm kernel expeller, wood products, and general cargo throughput.

The total tonnage handled for the current quarter and year-to-date was 4.8 million and 11.3 million tonnes respectively, it added. — Bernama