Cahya Mata Sarawak Bhd’s (CMS) profit in the first quarter ended March 31, 2018 (1Q18), rose 50.73% year-on-year (YoY) to RM38.98 million due to the increase in the share of profits in associates, coupled with the slightly higher earnings from its construction materials and trading business, as well as construction and road maintenance division.
Revenue for the quarter grew 15.38% YoY to RM354.99 million contributed by its construction and road maintenance, construction materials and cement divisions.
CMS group CEO Datuk Isaac Lugun said the improvement in the 1Q financial performance was mainly due to the strong turnaround of its associate, OM Materials (Sarawak) Sdn Bhd, which was buoyed by the improvement in commodity prices and improved contributions from other associate companies.
“We believe our growth strategy for our strategic investments, to drive the next wave of growth for CMS Group, is beginning to come to fruition. The aim of this growth strategy is for our traditional core businesses and our strategic investments to equally contribute to double the group’s earnings in the next three to five years,” Lugun said in a statement yesterday.