KUALA LUMPUR (July 23): Aneka Jaringan Holdings Bhd (KL:ANEKA) posted its first third-quarter loss in three years as higher material, fuel and transportation costs squeezed project margins despite stronger revenue.

The engineering and construction group posted a net loss of RM1.91 million for the three months ended May 31, 2026 (3QFY2026), compared to a net profit of RM738,000 a year earlier, according to its Bursa Malaysia filing on Thursday.

Revenue, however, rose 38.5% to RM68.41 million from RM49.4 million.

The last time Aneka Jaringan recorded a third-quarter loss was in 3QFY2023, when it posted a net loss of RM3.7 million on revenue of RM41.2 million.

The group said profitability was hit by the continued escalation in material, fuel and transportation costs, which weighed on project margins. It also recorded administrative expenses of RM4.12 million and finance costs of RM890,000 during the quarter, while tax expenses mainly related to its Indonesian subsidiaries.

Aneka Jaringan also slipped into the red for the first nine months of FY2026 with a net loss of RM281,000 against a net profit of RM3.64 million a year earlier, despite revenue increasing 15.9% to RM227.05 million from RM195.83 million.

Looking ahead, the group said it has secured RM224.34 million worth of new contracts to date, while its outstanding order book stood at RM190.45 million, providing continued visibility over its project pipeline.

The construction industry continues to face a challenging operating environment, with elevated input costs and margin pressures driven by ongoing geopolitical uncertainties, which continue to affect fuel prices, material and transportation costs.

Aneka Jaringan's shares closed half a sen or 4.35% lower at 11 sen on Thursday, giving the group a market value of  RM73.2 million.