Friday 21 Jun 2024
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KUALA LUMPUR (Apr 5): UEM Edgenta Bhd has secured contracts for the provision of hospital support services to various hospitals in Singapore for five years, worth up to RM963.49 million.

While it did not disclose the number of hospitals involved, UEM Edgenta in a bourse filing on Friday said the contracts were entered into by its Singapore-based indirect wholly-owned subsidiary UEMS Solutions Pte Ltd.

The total value of the contracts is estimated to be between RM934.57 million to RM963.49 million, subject to the finalisation of manpower resources, it said. 

"The contracts are expected to contribute positively to the future earnings and net assets per share of UEM Edgenta group, and it will not have any effect on the issued and paid-up share capital, or on the shareholding of the substantial shareholders of the company," UEM Edgenta said.

According to its 2022 annual report, UEM Edgenta's healthcare support division serves over 250 healthcare institutions across Malaysia, Singapore and Taiwan. The segment has consistently been the largest contributor to the group's revenue.

In FY2023, the group's net profit fell 32.77% to RM30.84 million from RM45.88 million in FY2022, though revenue grew 14.08% to RM2.88 billion from RM2.52 billion on higher contribution from asset management, infrastructure solutions and its 'other' business segment.

The group attributed the weaker earnings to global inflationary pressure, higher material costs and rising operational costs.

UEM Edgenta, in which Khazanah Nasional Bhd owns a 69.14% stake, announced an interim dividend of two sen per share or RM16.63 million in total for FY2023, to be paid on May 17.

At Friday's market close, shares of UEM Edgenta dropped one sen, or 1.05%, to 94 sen for a market capitalisation of RM781.73 million.

Edited ByKathy Fong
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