SINGAPORE (July 17): Crane provider Yongmao Holdings has reported revenue of RMB962.4 million for the year ended March 31 2020, up 8.7% from RMB885.4 million recorded in the preceding year.
However, due to higher overheads, the company’s gross margin for the year dropped to 25.9% from 27%. As a result, earnings dropped by 2.8% y-o-y to RM59.7 million.
As expected, the Covid-19 outbreak had affected Yongmao’s business. Due to lockdown measures, the company faced delays in deliveries.
While China’s economy has gradually re-opened, the company is still seeing muted sales in recent months.
It warns that its results for the current 1HFY2021 will be lower compared to 1HFY2020.
“The group remains vigilant and committed in exercising cost discipline and will take necessary remedial actions, where possible,” states Yongmao in its earnings commentary.
The company plans to give a dividend per share of one cent; versus three cents paid for the last financial year.
Yongmao’s net asset value as at March 31 2020 was RMB8.7581 ($1.74) up slightly from RMB8.175 as at March 31 2019.
Yongmao shares closed July 17 at 93 cents, down 10.6% year to date.
