KUALA LUMPUR, Aug 17 — DRB-Hicom Bhd has narrowed its loss to RM217.5 million for the second quarter (Q2) ended June 30, 2021 compared to RM306.08 million loss in the same quarter last year.
Its revenue rose to RM2.62 billion compared to RM2 billion previously, it said in a filing with Bursa Malaysia today.
In a statement, it said revenue for the six-month period ended June 30, 2021 (H1 2021) rose 29.4 per cent to RM6.13 billion against RM4.74 billion for the same period in 2020, .
DRB-Hicom’s automotive sector revenue for H1 2021 rose 52 per cent to RM4.35 billion against RM2.87 billion in H1 2020 despite sales pressure as a result of the enforcement of the Movement Control Order (MCO).
“This was largely due to sales of vehicles by national automotive company Proton and other marques under the group as well as revenue from manufacturing and engineering companies such as PHN Industry Sdn Bhd and HICOM-Teck See Manufacturing Malaysia Sdn Bhd.
“Revenue came in at RM1.78 billion for Q2 2021, rising by RM721 million or 68 per cent against the same period in 2020,” it said.
In the services sector, DRB-Hicom said Q2 2021 revenue slipped nine per cent year-on-year to RM791.83 million, as revenue from Pos Malaysia dropped.
“For H1 2021, revenue for this sector was RM1.66 billion (H1 2020: RM1.70 billion),” it said
DRB-Hicom noted that the lower contribution from its property development projects saw its properties sector revenue also falling 28 per cent against the same period in 2020.
For Q2 2021, revenue was RM54.91 million (Q2 2020: RM78.90 million) while for H1 2021, the sector brought in RM124.57 million (H1 2020: RM172.24 million).
DRB-Hicom remains optimistic that the automotive sector will be the backbone of its business. With the implementation of the full MCO that halted vehicle sales, Proton and other marques within the group will focus on re-strategising its sales plan.
“For the remainder of 2021, the group is taking necessary steps to reshape its business to remain competitive in an unpredictable environment.
“The government’s decision to extend the sales tax exemption for passenger vehicles until Dec 31, 2021, is expected to lift overall demand in 2021,” it said. — Bernama
