OSK Holdings Bhd posted RM23.9 million lower pre-tax profit for the second quarter ended June 30, 2010 from RM61.3 million in the same quarter last year.

Its revenue dwindled six per cent to RM209.44 million from RM222.95 million, it said in a statement.

Its pre-tax profit declined due to RM11 million additional impairment losses on private debt securities while revenue dipped owing to lower operating income.

For the first half of 2010, the group's pre-tax profit rose by 15 per cent to RM82.08 million from RM71.27 million vis-a-vis the same period last year.

Revenue was higher by RM454.9 million from RM354.6 million previously.

The RM100.3 million or 28 per cent higher revenue showed improved earnings from investment banking, it said.

Meanwhile, OSK remains cautiously optimistic that Malaysia's economy will continue to sustain its recovery path.

'Domestic demand is expected to drive growth amid uncertainties in external environment remain,' it said.

The group will continue to evaluate risks and opportunities in the light of recent hints of stability in the financial markets as the global economy recovers moderately.

The board expects the group's results to remain satisfactory for the rest of 2010, added OSK. -- Bernama