Q3 PAT Year on Year Up By 15%
November 29, 2010 - Boustead Holdings Berhad (Boustead) continued
its strong performance into its third quarter ended September 30,
2010. For the nine-month period under review, the Group registered
a profit after tax at RM390 million compared with the corresponding
period for the previous financial year of RM239 million. This represents
a 63% increase in profit after tax on a year on year basis while
for the first nine months for this financial year revenue was RM4.5
billion compared with RM3.9 billion for the same period last year.
the third quarter ended September 30, 2010, it registered a profit
after tax of RM125 million compared with RM109 million for the same
period last year. While the Group registered a profit before tax
of RM154 million for the third quarter of this financial year, a
marked improvement against RM126 million achieved in the preceeding
year's corresponding quarter. This was achieved on the back of a
turnover of RM1.5 billion for the quarter under review.
to its dividend track record, the Group has once again declared
a single tier dividend of 12 sen per share, bringing total dividend
to date for the financial year to 27 sen. This represents a 106%
increase in net dividend declared compared with the first nine months
of financial year 2009.
Earnings per share (EPS) for the nine month period was 35.2 sen
and net asset per share was RM4.35 (31 Dec 2009: RM4.20).
Tan Sri Dato' Lodin Wok Kamaruddin, Deputy Chairman/Group Managing
Director, Boustead Holdings Berhad said, "Looking ahead, all
the elements are in place for another year of growth for the Group
as we have already realised some of our strategies in delivering
our earnings track record. Coupled with this fact, with CPO prices
performing very well, we expect our Plantation Division to be a
driving force in delivering enhanced profitability to the Group's
are confident with an even more dynamic and vibrant landscape ahead,
we will be able to leverage on our fundamentals, which remain very
strong, to deliver a good year for our shareholders."
are heartened by the market's confidence in the Boustead Group as
reflected by our current market capitalisation. In essence, this
is testament to our energy and commitment in strengthening the various
Divisions to perform above par and contribute to the Group's bottom-line."
the nine month period, the Plantation Division contributed significantly,
delivering a profit of RM132 million (2009: RM51 million). During
the period, the Division achieved an average palm oil price of RM2,514
per MT, an increase of 16% against last year corresponding period's
average of RM2,172 per MT. The fresh fruit bunches (FFB) production
also improved to 837,197 MT.
Finance & Investment Division achieved strong results, delivering
a profit of RM120 million for the nine month period compared with
RM30 million for the same period under review last year. There were
significant interest savings at Boustead Holdings level and coupled
with stronger contributions from the Affin Group as well as the
gain on the disposal of BH Insurance, this led to the Division's
role in boosting the Group's bottom-line.
Trading Division's profit for the nine months totaling RM45 million
was a two-fold increase over last year's RM22 million. During the
period, all the operating units in the Division had performed well,
with a notable increase in contribution from Boustead Petroleum
Marketing Sdn Bhd.
Manufacturing and Services Division closed the nine months with
a profit of RM29 million, representing a 45% increase compared with
RM20 million for the same period last year. The primary contributor
that led to this improved performance was Idaman Pharma Manufacturing
Heavy Industries Division for the nine month period registered a
profit of RM99 million, as compared with last year's profit of RM113
million. The Division's naval vessels contracts are beginning to
generate income during the reporting period which had helped to
cushion to some extent the effect of cost escalations. With the
recent Letter of Intent (LOI) received for the construction of six
(6) second-generation patrol vessels with combatant Capabilities
(Littoral Combatant Ship, LCS), the Division is poised for greater
opportunities which will contribute positively to the Group.
Property Division's profit of RM49 million for the nine months'
period was 17% lower than last year mainly due to the decline in
contribution from property development activity.
our current dividend track record, we expect to attract a new segment
of discerning investors who will appreciate the value of investing
in such a strong dividend yielding stock such as Boustead. More
so, with CPO prices trading on the upside, due to adverse weather
conditions, thinning supply and increasing demand, we expect CPO
prices to continue to maintain if not exceed current levels. With
all our Divisions contributing to earnings, we will certainly pursue
this course of growing shareholder value," concluded YBhg Tan
Sri Dato' Lodin.
its inception as a modest trading entity more than 180 years ago,
the Boustead Group has grown by leaps and bounds to comprise more
than 90 subsidiary and associate companies, and has substantial
interests in various sectors of the Malaysian economy. The Boustead
Group's operations are focused in six key areas; plantation, heavy
industries, property, finance & investment, trading and manufacturing
& services. As at 30 September 2010, Boustead Holdings Berhad's
paid-up capital was RM470 million, while its shareholders' funds
stood at RM4.1 billion. Market capitalisation is currently around
This release may contain certain forward-looking statements with
respect to the financial conditions, results of operations and business
of the Group and certain plans and objectives of Boustead Holdings
Berhad with respect to these items. By their nature, forward-looking
statements involve risk and uncertainty because they relate to events
and depend on circumstances that will occur in the future and there
are many factors that could cause actual results and developments
to differ materially from those expressed or implied by these forward-looking
on behalf of: Boustead Holdings Berhad By: acorn
communications sdn bhd
For further information, please call:
Natalia Ghani at 012 231 4782 or 03 7958 8348
Or email: firstname.lastname@example.org