Access Engineering posts Rs. 820 mn PBT in 3Q

Access Engineering has recorded a profit before tax of Rs. 820 mn for the quarter with a corresponding YoY growth of 72.9%.

The cumulative profit before tax for the nine months at company level amounts to Rs. 2.3 bn, a YoY growth of 37.5%.At the group level before tax profits for the quarter and nine months were recorded at Rs. 906 mn and Rs. 2.5 bn respectively with YoY corresponding growth levels of 35.6% and 14.4%.

Performance of the company in terms of revenue is commendable too with Rs. 4.2 bn and 10.6 bn recorded for the quarter and the cumulative period translating to corresponding YoY growth levels of 55.8% and 24.5%.

At the Group level the top line was recorded at Rs. 5.2 bn and Rs. 15.2 bn respectively, a growth of 24.8% and 16.6%. For the cumulative revenue the contribution of construction related material was Rs. 1.6 bn, a YoY growth of 36% while the contribution of construction activities amounted to Rs. 7.9 bn, a YoY growth of 15.1%.

The healthy top line growth partly enabled the Company to record a superior quarterly gross profit of Rs. 1 Bn and Rs. 1.3 bn at Company & Group level respectively with corresponding margins of 24.5% & 25.8%. For the cumulative period gross margin was recorded at 25.2% & 24.4% at Company & Group level respectively. Net profit attributable to owners of the Company was Rs. 1.7 Bn & Rs. 561 Mn respectively for the 9 months & quarter at the Company level, a YoY growth of 16.7% & 31.1% respectively. At the Group level this was Rs. 1.8 Bn & Rs. 629 Mn respectively, a corresponding growth of 2.4% & 15.6%. During the nine months period, the company’s 100% owned subsidiary Access Realties generated a profit before tax of Rs. 125 mn up by 5.9% YoY while it’s 84% owned subsidiary Sathosa Motors generated a PBT Rs 203 mn, a YoY drop of 42.8%. The 80% owned Access Projects generated a PBT of Rs 101 mn, a YoY drop of 28%.

As at 31st December 2016, the total asset base of the company amounted to Rs 32 bn and Rs 27.7 bn at Group and Company level respectively. The equity attributed to the owners of the company was recorded at Rs 18.3 bn at the Group level while it was Rs 16.7 bn at Company level.

This had been translated in to a Net asset per share of Rs 18.34 at Group level and Rs 16.71 at Company level. In January 2017 the Company disclosed that it invested Rs. 2.2 bn in Hotel 10 (Private) Limited a joint venture with China Harbour Engineering Company and Mustafa’s Singapore, with plans to develop 1,000 condominium housing units and commercial space.