KUALA LUMPUR: IJM Corp Bhd’s net profit for its first quarter ended June 30, 2021 surged to RM65.68mil from RM2.05mil in the previous corresponding period, while revenue in the first quarter grew to RM1.31bil from RM879.80mil a year earlier.

       In a filing with Bursa Malaysia yesterday, IJM Corp said the higher earnings was primarily because the first movement control order in 2020 had restricted business activities for almost two thirds of the group’s first quarter of last year.

       Comparatively, IJM Corp said the restrictions during the financial period under review had only affected the month of June 2021.

       Meanwhile, IJM Plantations Bhd, which is 56.2%-owned by IJM Corp, reported a net profit of RM60.06mil in its first quarter ended June 30, 2021, compared with RM82.12mil in the previous corresponding period, while revenue stood at RM271.72mil compared with RM205.99mil a year earlier.

       IJM Corp said the higher revenue for IJM Plantations was mainly due to higher commodity prices recorded by both the Malaysian and Indonesian operations.

       “However, the division recorded a lower first quarter pre-tax profit of RM83.1mil as compared to RM115.3mil a year earlier, due to a lower net foreign exchange gain of RM3.8mil recorded in the current quarter.

       IJM Corp also said it will cease to consolidate the financial results of IJM Plantations upon the completion of its proposed disposal to Kuala Lumpur Kepong Bhd, which is expected to be in the second quarter of its current financial year.

       “Upon the completion of the disposal, the group is expected to recognise a one-off gain on disposal,” said IJM Corp.