KUALA LUMPUR (April 20): Hume Industries Bhd saw its net profit for the third quarter ended March 31, 2016 (3QFY16) dropped 42% to RM11.18 million or 2.33 sen per share from RM19.27 million or 4.02 sen per share in the previous year due to higher production costs.

Revenue for the quarter fell 16% to RM145.5 million from RM172.7 million in 3QFY15.

The group announced a dividend of three sen per share for the quarter, payable on May 25.

In its filing with the bourse, Hume attributed the fall in profit to lower revenue as well as higher production costs incurred by its construction materials business.

For the cumulative nine-month period (9MFY16), net profit climbed 29% to RM40.66 million from RM31.6 million a year ago, while revenue jumped 51% to RM455.11 million from RM301.02 million in 9MFY15.

"The higher revenue and profit of the group were mainly attributable to the newly acquired construction materials business following the completion of the acquisitions of the entire equity interests in Hume Concrete Sdn Bhd and Hume Cement Sdn Bhd in the second quarter of FY15," it said.

Going forward, Hume expects satisfactory performance for its financial year ending June 30, 2016.

Hume closed unchanged at RM3.20, with a market capitalisation of RM1.53 billion.