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AGV Group posts net loss of S$2.7m for FY2017
AGV Group, a local firm specialising in hot dip galvanising, sank into the red for the full year ended Sept 30, 2017 with a net loss of S$2.7 million.
This marks a significant reversal from the net profit of S$623,000 a year earlier.
Revenue dropped 11.3 per cent to S$18 million, mainly due to the lower tonnage of hot dip galvanising services provided by the group, AGV Group said in a bourse filing on Friday.
Other income slumped 98.2 per cent to S$1.3 million, on the back of an aggregate decrease in service income and sales of consumables of S$4.6 million to AGV M, and an aggregate decrease in government grant and miscellaneous income of S$100,000, though partially offset by a gain on deemed disposal of associate of S$1.2 million.
Losses per share came in at 2.17 Singapore cents, compared with earnings per share of 0.49 Singapore cents previously. Net asset value per share stood at 7.23 Singapore cents Sept 30, 2017, down from 10.13 Singapore cents as at the same time a year ago.
No dividend was declared for the period.
AGV Group said that it obtained de facto control of its then-associate, AGV Holdings (AGV H).
The group exercised its call options to purchase 51.2 per cent of the shareholding in AGV H, which will give it a 87.2 per cent interest in the unit once the transaction is completed.
As at Sept 30, the 51.2 per cent shareholding was not yet transferred to the group, which then reported a 36 per cent equity interest in the subsidiary, with 64 per cent as non-controlling interest in its consolidated financial statements.
Shares of AGV Group closed 2.6 per cent or 0.3 Singapore cent higher at 11.9 Singapore cents on Friday, before the results were released.