VEHICLE inspection company Vicom : WJP 0% posted a net profit of S$6.9 million in the first quarter of its 2024 fiscal year ended March, a mere 1.3 per cent increase from the same period last year.
There was also no significant change in its revenue, which rose by a slight 1 per cent to S$28 million in the quarter, said the company in a bourse filing on Friday (May 10).
Operating profit came in at S$8.3 million, a 1.6 per cent increase from a year ago.
The company said that installation of the new on-board units as part of the refreshed Electronic Road Pricing system has commenced, but is not expected to fully roll out until later this year.
On-board units will replace the current in-vehicle units in existing vehicles as they support distance-based road pricing under the new system.
As for its non-vehicle testing business, Vicom said demand has been affected by the weak manufacturing sector, leading to heightened competition.
GET BT IN YOUR INBOX DAILY
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
It added that it has a strong balance sheet with cash balance of S$60.7 million to sustain and support business growth.
Shares of Vicom fell 0.7 per cent or S$0.01 to close at S$1.35 on Friday.