VEHICLE inspection company Vicom reported a net profit of S$14.1 million for the half year ended Jun 30, inching up 1.3 per cent from S$13.9 million in the corresponding year-ago period.
This was after factoring interest income less finance costs and taxation, the company said in a bourse filing on Wednesday (Aug 7).
Revenue increased 0.8 per cent year on year to S$56.3 million in the period, while earnings per share came in at S$0.0398, up from S$0.0393.
The group’s operating costs rose to S$39.5 million, 0.4 per cent higher than in H1 FY2023.
The board has declared an interim dividend of S$0.028 per share, representing a payout ratio of 70 per cent. The dividend will be payable on Aug 23.
Vicom expects demand for vehicle testing and related work to remain strong. The company has started on the installation of On-board Units projects, as one of the authorised partners appointed by the Land Transport Authority, it said.
It added that demand for non-vehicle testing is expected to increase but profit margins will continue to be under pressure due to strong competition.
Shares of Vicom ended Wednesday flat at S$1.34, before the results were announced.
