KUALA LUMPUR (Feb 27): Jaks Resources Bhd slipped into the red, posting net loss of RM24.03 million in the fourth financial quarter ended Dec 31, 2016 (4QFY16) against net profit of RM29.22 million a year earlier, due to losses in the property development and investment divisions. The group's property development posted a substantially wider loss before tax of RM20.2 million in 4QFY16 compared with RM1.7 million in the previous corresponding quarter. The property development division, meanwhile, contributed RM46.6 million to the group's revenue with the progress billings achieved. "There was minimal revenue contribution from the trading and manufacturing divisions in the quarter under review as the group focused its resources on the construction and property development activities," the group said. "However, the property market remains challenging on the back of slower economic downturn, due to the weaker purchasing sentiment post-GST coupled with tighter lending from banks that impact both sales of commercial and residential units of the property development division," it said.

Source: The Edge Markets February 27, 2017 12:43 UTC