KUALA LUMPUR (Nov 21): ITMAX System Bhd, which provides smart city integrated systems and solutions, announced that a net profit of RM16.31 million for its third quarter ended Sept 30, 2023 (3QFY2023), up 32.59% from RM12.3 million in the same period last year, as it recorded higher revenue and finance income.

Revenue rose 26.92% to RM39.06 million from RM30.78 million, its bourse filing showed, largely due to the near doubling of topline at its supply, installation and maintenance services business to RM15.34 million from RM8.14 million. Its largest revenue contributor is still the video surveillance and analytics segment, which contributed RM22.42 million to group revenue. 

For the full nine months ended Sept 30 (9MFY2023), the group’s net profit rose 67.96% to RM46.61 million from RM27.75 million in 9MFY2022, as revenue grew 49.75% to RM107.09 million from RM71.52 million.

Its video surveillance and analytics segment recorded RM68.79 million revenue during the period, up 49.1% from RM46.14 million previously, while its supply, installation and maintenance services business recorded RM35.37 million revenue, up 59.82% from RM22.13 million.

"The increase in group PBT [profit before tax] for the current period was consistent with the increase in revenue as the group had completed the installation and commissioning of video surveillance facilities for several contracts. As a result, the group started to earn additional revenue from these contracts during the period which contributed to the increase in the group’s PBT," ITMAX System's filing read.

ITMAX System managing director William Tan Wei Lun said demand for smart city solutions is on the rise, aligning with the nation’s shift towards digitalisation.

“Thus, we are committing more resources to develop additional artificial intelligence (AI) features for our system, ensuring adaptability to these significant changes. As part of our commitment, we will persist in expanding our market presence beyond current boundaries. The recent expansion into Johor is just the beginning, marking the initial steps in our mission to broaden our reach across multiple states," he said, referring to the group's recent contract wins in Johor totalling RM216.5 million.

“Our ambitions extend beyond this achievement. We are actively exploring opportunities and strategies to further enhance and expand our geographical reach,” he added.

The group is cautiously optimistic on its future prospects. 

Shares in ITMAX System finished unchanged at RM1.74, valuing the company at RM1.79 billion. The group made its Main Market debut last December at RM1.07.