KUALA LUMPUR (June 22): Destini Bhd said its wholly-owned unit Destini Prima Sdn Bhd (DPSB) has bagged a RM25.44 million contract from the Ministry of Defence (Mindef).

The contract is for the procurement of scheduled and unscheduled maintenance, testing, technical services as well as supply of spare parts and related components for non-airborne equipment to the Royal Malaysian Air Force.

In a bourse filing on Thursday (Jun 22), Destini said the contract is for a duration of three years, starting from June 20, 2023.

In addition, DPSB is required to provide a performance bond of RM424,000, the group said.

“The contract is expected to contribute positively to the earnings and net assets of Destini for the financial periods ending Dec 31, 2023 and the financial periods in the duration of the contract,” added Destini.

Destini has been loss-making for four straight quarters.

It posted a net loss of RM7.19 million for the first quarter ended March 31, 2023 (1QFY2023) against a RM556,000 net profit in the previous year’s corresponding quarter, dragged by lower business activities as well as higher material and transport charges due to inflation.

Quarterly revenue shrunk to RM19.38 million from RM26.07 million in 1QFY2022.

Shares of Destini fell 4.8% to close at 10 sen on Thursday, translating to a market value of RM166.35 million.