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MTCC incurs MVR 33 million loss in 2019

Mariyam Malsa
05 February 2020, MVT 17:26
Passengers disembarking from a ferry operated by Maldives Transport and Contracting Company (MTCC).PHOTO: MTCC
Mariyam Malsa
05 February 2020, MVT 17:26

Maldives Transport and Contracting Company (MTCC) accrued a loss of MVR 33 million in 2019.

As per the annual financial report released by the company, the loss was incurred despite attaining MVR 1.1 billion as revenue.

Although MTCC sustained an overall loss in 2019, the company profited during the last two quarters. Revenue figures for last year's final quarter were stated as MVR 10 million.

In 2017, the state-owned company recorded a profit of MVR 145 million, a figure which shrank to MVR 43 million in 2018.

Due to the financial experiences over the past two years, the company also failed to distribute dividend to its shareholders in 2019.

MTCC, which also undertakes projects involving land reclamation and harbour development, consistently experiences losses in the area of transport. During 2019's Annual General Meeting (AGM), the company confirmed that the management of the entire company was negatively impacted by these losses.

Late last year, the state announced plans to establish a separate company which will specialise in managing the transport system and allocated MVR 150 million for the project. However, the aforementioned company is yet to be formed.

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