Megawide 1st quarter profit drops 49% to P239M
MANILA, Philippines — Construction firm Megawide Construction Corp. posted an attributable net profit of P239.25 million in the first three months, down by 49.6 percent year-on-year due to a decline in contract revenues.
Consolidated revenues amounted to P3.56 billion in the first quarter, declining by 20 percent year-on-year but rising by 10 percent compared to the fourth quarter of 2018, Megawide disclosed to the Philippine Stock Exchange.
The construction segment contributed 72 percent of the group’s total revenue amounting to P2.57 billion, which declined by 31.3 percent year-on-year in the first quarter.
But the company is now experiencing ramp-up on its operations from the take-off of structural works on recently awarded contracts. Compared to the fourth quarter performance in 2018, revenue for the quarter increased by 10 percent.
“We expect to sustain this growth throughout the year as our existing projects also steadily increase accomplishment levels,” said Edgar Saavedra, Megawide chair and chief executive officer.
Airport operations contributed 25 percent of Megawide’s three-month revenues amounting to about P892 million, rising by 38 percent year-on-year. (Editor: Cenon B. Bibe Jr.)