The net loss for the same period last year was RM19.7 million, according to a report in the Nikkei Asian Review (NAR).
Quarterly revenue declined 18 per cent year-on-year to RM2.5 billion from RM2.95 billion a year earlier.
“In view of the slower overall economic growth and competitive market conditions, the group will remain focused on its business consolidation to ensure continuous growth and sustainability of the businesses,” DRB-Hicom said.
It added: “On the back of slower overall economic growth, the group’s performance for the financial year ending March 2017 will continue to remain challenging.”
The company said revenue at its mainstay automotive business plunged 21 per cent on year, mainly due to a decline in sales of Proton-branded vehicles during the quarter.
The decline comes amid an industry-wide weakness during the April-June quarter when total vehicle sales in Malaysia fell 6.3 per cent compared with the same quarter a year ago, said the NAR report.
Sales of passenger vehicles, which account for nearly 90 per cent of the total industry volume in Malaysia, plunged 15 per cent between January and June, according to data from the Malaysian Automotive Association.
Commercial vehicles, which make up the rest of the sales, fell 13 per cent during the period.
DRB-Hicom, which also assembles vehicles ranging from Honda motorcycles and Audi passenger cars, has been struggling with the loss-making Proton since its 2012 acquisition from state-owned investment company Khazanah Nasional, according to the NAR report.
The government has agreed to grant a soft loan of RM1.5 billion to help Proton, but it comes with conditions.
In addition to close monitoring by a special panel, Proton has to seek a strategic partner for helping in research and compete internationally within a year as part of the loan agreement. It has several suitors on hand and hopes to enter a partnership deal early next year.
DRB-Hicom aims to raise the share of service-oriented businesses in its revenue to 50 per cent over the next five years in order to cut its heavy reliance on the automotive business, according to the NAR report.
DRB-Hicom has also moved to merge its logistics assets that includes postal, air cargo and haulage, said the report.
Shares of DRB-Hicom ended Tuesday 5.7 per cent higher at RM1.31 while the benchmark FTSE Bursa Malaysia fell 0.2 per cent.