KUALA LUMPUR: Main market-listed information technology (IT) software and platform provider ARB Bhd maintained its revenue growth in the fifth quarter (Q5) financial year ending 30 June 2022 (FY22) amid strong performance in its enterprise resource planning (ERP) and Internet of Things (IoT) business segments.
For the quarter, the company saw its revenue increase by 1 per cent to RM137.2 million compared to the RM135.6 million recorded in the fourth quarter (Q4) ended 31 December 2021 (FY22).
Despite the higher revenue, ARB's profit after tax (PAT) is recorded at RM5.99 million in the current quarter compared to RM16.8 million recorded in the previous quarter.
It was mainly due to the impairment loss on intangible assets of RM30.8 million and reversal of negative goodwill of RM34.1 million arising from the acquisition of subsidiaries.
According to the filing with Bursa Malaysia, the higher performance contributed by ERP and IoT segments helped maintain its profitability in the current quarter.
There is no year-on-year comparison provided during the current quarter as the board of directors has approved the change of financial year-end from 31 December to 30 June in February this year to enable the company to better manage the allocation of its resources to facilitate the proposed listing of its IoT division on the NASDAQ stock exchange.
Executive director Datuk Sri Larry Liew Kok Leong said the stable performance was mainly due to the sustainable earnings and steady revenue generated by the ERP and IoT business segments.
He said the company remains on track to record other positive earnings in the future, led by the impressive earnings of its ERP and IoT business segments.
"We're cautiously confident that ARB will maintain its profitability as the ERP and IoT segments are expected to contribute impressive future earnings.
"Over the last year, we have seen a surge in demand for our services as the Covid-19 pandemic has accelerated the shift towards digitalisation and automation in Malaysia," he added.
He said the rollout of 5G in Malaysia would help both the ERP and IoT businesses to maintain their momentum.
In addition, this will help ARB's IoT business division remain on track to meet NASDAQ's listing financial requirement.