Full Release: Kuala Lumpur, 25 November 2020 – UEM Edgenta Berhad (“UEM Edgenta” or “Company”), the region’s leading Asset Management and Infrastructure Solutions company announced its unaudited financial results for the first nine months of FY2020 (“9M FY2020”) here today.
For the 9M FY2020, UEM Edgenta reported revenue of RM1.4 billion and net loss of RM34.6 million respectively, compared to a RM1.7 billion revenue and a net profit of RM85.4 million in 9M FY2019. The Company’s performance was largely attributed to a challenging operating environment due to the ensuing COVID-19 pandemic. In addition, the Company had also undertaken a prudent one-off RM50 million impairment in the first half of FY2020 as part of its efforts to restructure and rationalise non-core businesses.
For the third quarter of FY2020 (“Q3 FY2020”), UEM Edgenta recorded a quarter-on-quarter growth in revenue at RM482.9 million, from RM448.5 million in the preceding quarter while reporting a net loss of RM19.4 million. The 7.7% sequential growth in revenue was supported by higher contributions from the Healthcare Support division upon materialisation of new regional and domestic contracts amid higher operating costs during the quarter. As at 30 September 2020, UEM Edgenta’s balance sheet remains healthy with low gross gearing ratio at 0.3x times.
UEM Edgenta’s Managing Director/Chief Executive Officer, Syahrunizam Samsudin commented, “Our recovery efforts have been hampered by higher operating costs to deliver our essential services at the front lines. We provide healthcare support services to clients in Malaysia, Singapore, Taiwan and India, and we are committed to deliver our services and ensure the healthcare systems in all these countries are able to operate uninterrupted, and at the highest standards at all times in the fight against COVID-19”.
Despite the difficult operating conditions in Q3 FY2020, the Company’s Healthcare Support division has added Pantai Hospital Cheras, Melaka’s Mahkota Medical Centre and Regency Specialist Hospital in Johor amid a growing list of reputable new clients, which also include Alexandra Hospital in Singapore, Chang Gung Memorial Hospital and Micron Technology, Inc. in Taiwan.
In Malaysia, apart from delivering essential services, UEM Edgenta has provided various initiatives and resources to the government and the community at large, including the development of the cloud-based Epidemic Management System for the Ministry of Health (“MOH”) and National Crisis Preparedness & Response Centre (“CPRC”), construction of Field Hybrid Intensive Care Unit (“ICU”) facilities, donation of ventilators and patient monitoring systems and more recently, the deployment of drive-in, on-site Polymerase Chain Reaction (“PCR”) and Rapid Test Kit (“RTK”) COVID-19 testing facilities in the Klang Valley.
“While travelling restrictions has reduced movements on highways and roads, we work closely with our clients in the infrastructure solutions segment to implement further efficiencies in a bid to optimise costs. We are also maintaining our prudent cashflow management and focus to deliver the projects that we have secured for the Company to remain resilient during these unprecedented times”, he added.
According to Syahrunizam, the Company is also focused on empowering its technology-enabled solutions for better service offerings and setting firm footing, future-ready business fundamentals in place once the newly announced vaccine is available, and economy is upbeat again post-COVID-19.
