WCT Holdings’ 3Q Net Profit Plummets 94% Amid Lower Other Income and JV Contributions

KUALA LUMPUR (Nov 25) – WCT Holdings Bhd (KL:WCT) reported a sharp 93.9% decline in net profit for the third quarter, mainly due to lower other income and reduced contributions from joint ventures (JVs).

Net profit for the three months ended Sept 30, 2025, fell to RM10.55 million from RM173.22 million a year earlier, while earnings per share dropped to 0.68 sen from 12 sen, according to the group’s filing with Bursa Malaysia.

Other income plunged 88% to RM22.36 million from RM189.83 million, and the share of profit after tax from JVs more than halved to RM4.27 million from RM8.84 million.

Revenue Growth Offsets Profit Drop
Despite the profit decline, quarterly revenue increased 10.3% year-on-year to RM482.61 million from RM437.46 million. The engineering and construction segment contributed RM264 million, or 55% of total revenue, followed by property development at RM180 million (37%), and property investment and management at RM39 million (8%).

No dividend was recommended for the quarter.

Nine-Month Performance
For the first nine months of FY2025, WCT’s net profit dropped 82.9% to RM37.83 million from RM220.63 million, largely due to the absence of a RM184 million gain on dilution of interest in a JV recognised in the previous year. Revenue for the nine-month period rose 17.7% to RM1.51 billion, driven by higher property development sales and land disposals.

New Contract Wins and Outlook
WCT’s group managing director, Datuk Lee Tuck Fook, highlighted the group’s latest achievement: a RM365.2 million contract awarded by Projek Lebuhraya Usahasama Bhd (PLUS) for the expansion of the North-South Expressway from Yong Peng to Senai (Phase 2: Sedenak to Simpang Renggam) in Johor.

“The project leverages WCT’s engineering expertise in expressway upgrading and widening works,” he said, adding that the group remains focused on securing larger engineering and construction projects.

In property development, WCT expects the resilient Malaysian economy to sustain demand for its offerings. Meanwhile, retail malls, hotels, and business aviation services are projected to benefit from stronger household spending and increased tourist arrivals.

Shares of WCT closed unchanged at 67.5 sen, giving the group a market capitalisation of RM1.05 billion. The stock has fallen more than 29% year to date.