DRB-Hicom Bhd saw a substantial 50.8% decline in net profit to RM70.80 million for the third quarter of 2023, attributed to reduced revenue and profits from associate companies, along with consistent finance costs. 

The quarterly revenue dropped by 12% to RM4 billion, mainly due to decreased contributions from the automotive, aerospace and defence, and postal sectors.

The automotive sector, particularly Proton, struggled with lower sales in the face of competitors’ new car launches. 

However, for the nine-month period ending Sept 30, 2023, the group’s revenue increased by 8.2% to RM12.08 billion, driven by a 9.4% growth in the automotive sector. 

Proton’s positive sales trajectory included the successful launch of its first New Energy Vehicle, the mild hybrid Proton X90 SUV. 

Despite the overall revenue increase, the net profit for the nine-month period fell by 26.2% to RM212.42 million. D

RB-Hicom’s shares closed at RM1.43 today, reflecting a 1.38% decrease and valuing the group at RM2.76 billion. –TMR