1.	Review of Performance

The Group recorded a higher turnover of RM17.40 million in this quarter, representing an increase of 12.91% over the previous year’s corresponding quarter of RM15.41 million. 

Despite the increase in revenue, the Group registered a loss before tax of RM0.63 million for the current quarter as compared to a profit before tax of RM2 million for the corresponding quarter of the preceding year, due to:

(i)	lower gross profit margin arising from higher operating costs incurred especially raw materials and transportation
(ii)	write down for stocks
(iii)	higher operating expenses

2.	Variation of Results Against Preceding Quarter

The Group posted a revenue of RM17.40 million for the current quarter, an increase of 23.67% as compared to RM14.07 million in the preceding quarter. However, the Group registered a loss before tax of RM0.63 million for the current quarter as compared to preceding quarter profit before tax of RM0.28 million, mainly due to:

(i)	lower gross profit margin arising from higher operating costs incurred especially raw materials and transportation.
(ii)	write down for stocks
(iii)	higher operating expenses

3.	Current Year Prospects

The Directors expect that the Group’s performance would be affected by the increase of raw material costs especially cement, steel and fuel prices for the current financial year.

4.	Profit Forecast

Not applicable for the current financial year as no profit forecast was published. 

5.	Tax Expense

	Current Year Quarter 
30 September 2006	Current Year to date
30 September 2006	
	RM’000	RM’000	
Tax expense			
Current year tax expense 	   9	119	
  Over provision in respect of prior year	(57)	(57)	
	(48)	62	

The Group provided an income tax expense of RM119,000 in the current year to date in view of profit recorded in certain subsidiaries.

6.         Quoted Investments

	As at 30 September 2006
	As at 30 September 2005
	
	Book 
value	Market
 Value	Book 
value	Market Value	
	RM’000	RM’000	RM’000	RM’000	
Total quoted investments	4	2	4	3	

7.         Status of Corporate Proposals

            There were no corporate proposals announced but not completed as at the date of this report.

8.		Borrowings 

         The Group’s short term borrowings as at 30 September 2006 is as follow:
	RM’000	
Bankers’ acceptances - Unsecured	1,412	

	The above borrowings are denominated in local currency.

9.      Off Balance Sheet Financial Instruments

There were no financial instruments with off balance sheet risks as at the date of this report.

10.	Dividends

No interim dividend has been declared for the current financial period to date.	
.	

 11.    Changes in Material Litigation

No material litigation for the period under review.  

12.	Earnings Per Share

Basic Earnings Per Share
	
Current  Quarter
30/09/2006	Unaudited
Current Year
To Date
30/09/2006	
Net loss attributable to ordinary equity holders of the parent (RM’000)
	
(582)	
(411)	
Number of ordinary shares issued (‘000)
	60,021	60,021	
Weighted average number of ordinary shares issued (‘000)
	60,021	60,021	
Basic Earnings Per Share (sen)	(0.97)	(0.68)	

Fully Diluted Earnings Per Share

The assumed conversion of the options under the Executive’s Share Option Scheme (ESOS) would be anti-dilutive as the exercise price of the ESOS of the Company is higher than the average market price of the share. Hence the basic and fully diluted earning per share are the same.