By Sulhi Khalid
KUALA LUMPUR (March 10): With the higher education industry hit by the Covid-19 pandemic, SEG International Bhd (SEGi)’s net profit fell 16% to RM8.73 million in the fourth quarter ended Dec 31, 2020, from RM10.39 million a year earlier.
Earnings per share fell to 0.72 sen from 0.84 sen, the group’s stock exchange filing showed.
The educational solution provider said its quarterly revenue declined 11% to RM52.34 million from RM58.78 million previously.
For the full year, the group’s net profit dropped 13% to RM39.18 million from RM45.13 in the previous year, as revenue declined 16% to RM204.12 million from RM243.97 million, partly due to the delayed new enrolments amid the Movement Control Orders (MCOs) and border control due to Covid-19.
Moving forward, SEGi said the pandemic and MCOs have affected many industries and the higher education sector was no exception.
“The restrictions in movement and travel have affected the group’s revenue in 2020. During this period, the group has taken the opportunity to develop relevant new course offerings to meet the current market demand.
“We have also relooked at our internal processes to streamline operations and automate functions to improve efficiency and customer service.
“With these new strategies, the group believes that we can soon overcome the current challenges,” the group said.
Shares of SEGi were last traded at 64 sen, valuing the group at RM803 million.
Edited by S Kanagaraju