King Wan Corporation, the integrated building services company with principal activities in the provision of M&E engineering services for the building and construction industry, recorded 266% higher net profit attributable to shareholders of $6.8 million for the three months ended 30 September 2010 (2Q11) compared to the $1.9 million in the previous corresponding period (2Q10).

Revenues also increased to $22.8 million from $14.4 million a year ago, up 58%. Along with higher revenues for the quarter, gross profit was $3.8 million against $1.2 million, up 221%. Ongoing M&E contracts on hand also provided improved margins for the second quarter ended 30 September 2010, reflecting a stronger recovery in the construction industry.

Cash and cash equivalents were a $20.4 million for the six months ended 30 September 2010, relative to $2 million as at 30 September 2009, up 937%.

King Wan’s order book to date is $143 million based on firm M&E engineering contracts, with projects with different completion and delivery timeframes lasting up to 2013. Of these, $28.9 million worth of contracts were secured in 2Q2011.

The company has recommended a one-tier tax exempt first interim dividend of 0.5 cent per ordinary share, which works out to a dividend payout ratio of 14% based on first half FY2011 profits.