PLUS’ 2Q net profit up 14% to RM319m

PLUS Expressways Bhd’s net profit for the second quarter ended June 30, 2010 (2QFY10) rose 14% to RM319.6 million from RM281.4 million a year earlier due to higher toll collection.

Revenue rose to RM859.7 million from RM772.3 million, up 11% year-on-year, while earnings per share (EPS) increased to 6.39 sen from 5.63 sen. PLUS declared an interim dividend of 7.5 sen per share for the financial year ending Dec 31, 2010.

Toll collection was 6.3% or RM38.5 million higher than in the immediate preceding quarter.

For the first half of FY10, traffic volume growth was 9.8% for PLUS, 14.2% for North South Central Link (Elite), 21.4% for The Second Link (Linkedua) and 10.8% for Butterworth-Kulim Expressway (KLBK).

Both net profit and revenue for the half year rose 11% to RM618.7 million and RM1.7 billion, respectively. EPS stood at 12.37 sen versus 11.2 sen.

“The traffic volume growth for the first half has shown significant improvement in line with the strong economic growth, coupled with a low traffic base in the first half of last year.

“We are confident that the group will end the year with a better performance than last year,” PLUS managing director Noorizah Abd Hamid said in a statement yesterday.

She said the group would venture into expressway operation and management including the provision of technical and consultancy services as well as toll operation and maintenance services to other highway operators, locally and abroad.

PLUS said during the first half of 2010, it completed three strategic acquisitions. They were Indu Navayuga Infra Project Pvt Ltd, the concessionaire for the 38.6km Padalur-Trichy Highway in India, Teras Teknologi Sdn Bhd, and a 20% stake in Touch ‘n Go Sdn Bhd.


This article appeared in The Edge Financial Daily, August 20, 2010.