KUALA LUMPUR (Nov 27): Technology solutions provider Microlink Solutions Bhd has recorded a 98.3% decline in its net profit for the second financial quarter ended Sept 30, 2023 (2QFY2024) to RM126,000 from RM7.22 million a year ago, due to lower margin from order fulfilments and progress billings.

However, quarterly revenue rose 38.4% to RM77.53 million from RM56.01 million in the previous year's corresponding quarter, mainly attributable to higher order fulfilments and progress billings particularly in its financial services and distribution services segment, Microlink said in a filing with Bursa Malaysia on Monday.

For the first half ended Sept 30, 2023 (1HFY2024), Microlink registered a 72.4% fall in net profit to RM3.83 million compared with RM13.86 million in the corresponding period in the previous year, despite revenue increasing by 22.4% to RM134.47 million from RM109.86 million.

On its prospects, Microlink said the group remains mindful of the challenging business environment in the near term due to the continuous global geopolitical uncertainties as well as adapting to the government’s fiscal and monetary policies to curb inflation and the weakening foreign currency position.

"Nevertheless, the group is committed to delivering value, fostering innovation that fuels growth in the coming financial quarters as it continues to identify synergistic opportunities with strategic partners and investing in talented workforce to drive business opportunities arising from the adoption of digital solutions," it said.

Shares in Microlink ended unchanged at 89 sen on Monday, valuing the company at RM954.43 million.