KUALA LUMPUR (May 27): Privasia Technology Bhd surged as much as nine sen or 34.62% to a six-year high of 35 sen this morning, after the group swung back into profitability in the first quarter ended March 31, 2021 (1QFY21) with a net profit of RM283,000, from a net loss of RM747,000 a year ago.
At 11.40am, the ACE Market-listed group pared some gains at 33 sen, still up seven sen or 26.92%.
The group, which was the most actively traded stock this morning, saw 466.08 million shares changed hands, more than 30 times its 200-day trading average of 14.99 million shares.
The group had reported quarterly losses since 1QFY19.
In a bourse filing on Tuesday, it said the profit in 1QFY21 was mainly due to realignment of its portfolio of customers.
The group’s quarterly revenue, however, slipped 5.55% to RM8.98 million, from RM9.51 million a year ago, dragged by lower revenue in all segments.
According to the group, its information technology division reported revenue of RM7.3 million as compared to RM7.8 million in 1QFY20. It also recorded an operating loss of RM40,000 as opposed to an operating profit of RM900,000 in 1QFY20 due to lower margin.
Meanwhile, its information and communication technology division reported revenue of RM1.2 million as compared to RM1.6 million in 1QFY20. The division reported lower operating loss of RM300,000 as compared to the RM400,000 incurred in 1QFY20 due to the implementation of cost saving initiatives by the group.
Its satellite-based services division recorded revenue of RM600,000 as compared to RM700,000 in 1QFY20. The division reported an improved operating profit of RM1 million as compared to an operating loss of RM600,000 in 1QFY20, mainly attributed to sales of a portfolio of its customer contracts.
Moving forward, the group said it will continue to deliver on its order book, with the current balance standing at approximately RM31 million.
“The group will also be keeping a keen eye for any opportunities in the technology space to boost future performances and business prospects,” it said.