Press Metal 2Q net profit surges threefold on higher aluminium prices, declares one sen dividend
KUALA LUMPUR (Aug 24): Press Metal Aluminium Holdings Bhd’s net profit surged nearly threefold in the second quarter to RM255.58 million, from RM90.07 million a year earlier, due to higher aluminium prices.
Earnings per share for the quarter ended June 30, 2021 increased to 3.16 sen from 1.12 sen, the group said in a Bursa Malaysia filing.
Revenue rose 52.22% to RM2.64 billion from RM1.73 billion in the same quarter last year.
On a quarter-on-quarter basis, Press Metal’s net profit soared from RM205.72 million in the preceding quarter, while revenue increased 25.61% from RM2.1 billion, due to a higher realised aluminium price.
The group declared a second interim dividend of one sen per share, to be paid on Sept 29.
For the first half, Press Metal said its net profit jumped 139.47% to RM461.3 million, from RM192.63 million in the previous January-June period.
Six-month revenue rose 33.17% to RM4.74 billion from RM3.56 billion previously.
The group said it continued to operate under a reduced workforce environment during this pandemic situation, and therefore its production volume was not optimized.
“As Malaysia moves toward full vaccination soon, we look forward to a normalised working environment hence higher operation efficiency.
“Moving forward to 2022, we will be on a stronger footing with higher production volume from Phase 3, healthy aluminium prices and anticipated economic rebuilding.
“Barring unforeseen circumstances, the board expects the group to achieve a satisfactory result for this financial year,” it added.
Shares in Press Metal closed five sen or 1.01% higher to RM5, valuing the group at RM40.38 billion. Year to date, the stock has risen by 18.76%. -Source: The Edge Markets