Vicom Q1 net profit up 1.3% to S$6.9 million
Revenue rose 1% to S$28 million in the quarter
VEHICLE inspection company Vicom posted a net profit of S$6.9 million in the first quarter of its 2024 fiscal year ended March, a mere 1.3 per cent increase from the same period last year.
There was also no significant change in its revenue, which rose by a slight 1 per cent to S$28 million in the quarter, said the company in a bourse filing on Friday (May 10).
Operating profit came in at S$8.3 million, a 1.6 per cent increase from a year ago.
The company said that installation of the new on-board units as part of the refreshed Electronic Road Pricing system has commenced, but is not expected to fully roll out until later this year.
On-board units will replace the current in-vehicle units in existing vehicles as they support distance-based road pricing under the new system.
As for its non-vehicle testing business, Vicom said demand has been affected by the weak manufacturing sector, leading to heightened competition.
It added that it has a strong balance sheet with cash balance of S$60.7 million to sustain and support business growth.
Shares of Vicom fell 0.7 per cent or S$0.01 to close at S$1.35 on Friday.
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