KUALA LUMPUR, June 26 — DRB-Hicom Bhd has recorded a net loss of RM173.27 million in the first quarter (Q1) ended March 31, 2020.
The company said the Covid-19 pandemic had adversely impacted its businesses, while an unfavourable movement in foreign exchange (forex) in Q1 had caused the group to recognise about RM72 million in forex losses on translation of payables and borrowings denominated in foreign currencies.
The conglomerate posted revenue of RM2.74 billion during the quarter led by their automotive sector which netted RM1.81 billion sales, while services sector brought in RM830.49 million and properties sector posted RM93.3 million in revenue, it said in a filing with Bursa Malaysia.
However, there is no comparative quarter as the group has changed its financial year-end from March to December, in the previous year.
It said the automotive sector sales continued to be led by the national carmaker, Proton, with X70 sport utility vehicle (SUV) continuing to lead the category.
“DRB-Hicom’s services sector saw Pos Malaysia’s parcel volume rise on the back of growth of e-commerce and online marketing activities,” it said.
It said mail revenue had also seen a slight rebound, especially in February, although the impact of Covid-19 was apparent in March as revenue shrank.
“The properties sector had lower billings in the construction sub-sector and thus posted lower revenue,” it said.
Meanwhile, DRB-Hicom said it was planning to adopt promotion strategies and unveil new models to improve its automotive business this year.
It said the prospects for defence, aerospace, postal and logistics, banking, services and construction segments remained volatile as these sectors had also been impacted by the uncertainty of a prolonged battle against Covid-19.
“Our operational performance for the financial year ending December 31, 2020, will be adversely impacted by the ongoing pandemic crisis,” it added.
— Bernama
