KUALA LUMPUR, Feb 26 — Hap Seng Consolidated Bhd’s net profit soared by 336 per cent year-on-year to RM681.96 million for the fourth quarter (Q4) ended Dec 31, 2019, due to a RM472 million gain from the disposal of financial services subsidiary HSC Credit (Melbourne) Pty Ltd.
This brought the diversified group’s net profit for the 2019 financial year (FY19) to RM1.16 billion, up from RM1.15 billion in the preceding year.
Revenue for the year jumped 14 per cent to RM7.10 billion from RM6.23 billion previously mainly due from plantation, property and automotive divisions, it said in a filing with Bursa Malaysia today.
Hap Seng, which is involved in businesses ranging from trading fertilisers and building materials to selling Mercedes-Benz vehicles, saw its basic earnings per share increase to 46.71 sen from 46.01 sen previously.
The directors did not recommend a final dividend, keeping total dividend for FY19 the same as FY18’s dividend of 35 sen.
Moving forward, the company said its property division would continue to make concerted efforts to drive sales and progress completion of its current development projects as well as optimising the occupancy rates and rental yield of its investment properties.
The credit financing division will remain cautious in its business approach in view of the current global and domestic economic environment.
Meanwhile, Hap Seng’s automotive division will continue to grow its market share in the passenger car segment through its expanded network of autohauses and pre-owned car centres while expanding its commercial vehicle market coverage through its upgraded commercial vehicle dealers’ network with more dedicated 3S dealerships.
Hap Seng said subject to uncertainties arising from factors such as the COVID-19 outbreak, the group was cautiously optimistic of achieving satisfactory results for FY20. — Bernama
