Boustead’s Q3 PAT UP
KUALA LUMPUR, November 21, 2011 – Boustead Holdings Berhad (Boustead) recorded a strong profit after tax (PAT) of RM144 million for its third quarter, ended on September 30, 2011, compared with RM125 million registered for the same quarter in the previous fiscal year. For the current quarter under review, the Group’s profit before tax was RM167 million compared with RM154 million registered in the corresponding quarter of the previous financial year.
The Group closed its nine-month period under review with a strong PAT of RM502 million compared with RM390 million recorded for the corresponding period of the previous financial year, reflecting a 29% increase. Revenue for the period grew to RM6 billion compared with RM4.5 billion for the same period last year, representing a 34% increase.
Earnings per share (EPS) for the nine-month period under review were 44.5 sen compared with 35.3 sen for the corresponding period in the previous financial year. The Group’s net assets per share were RM4.63 as at September 30, 2011 (30 Sep 2010: RM4.35).
As a result of the Group’s performance and fulfilling its dividend policy obligations, the Board of Directors has declared a dividend of 12 sen per share for the quarter under review. This reflects a total dividend payout of 30 sen per share for the nine month period.
YBhg Tan Sri Dato’ Lodin Wok Kamaruddin, Deputy Chairman/Group Managing Director, Boustead Holdings Berhad said, “We are pleased with our results particularly on a year on year comparison for the third quarter under review as well as for the full nine month period.”
“On this basis, we look to close the financial year on a positive note as we intend to work harder and channel our resources and energies to improve our bottom line and business prospects particularly from organic growth.”
For the nine-month period, the Plantation Division delivered a strong profit of RM267 million compared with RM132 million for the corresponding period last year. The Division achieved an average palm oil price of RM3,350 per MT against last year’s corresponding period’s average of RM2,514 per MT marking a significant 33% jump in crude palm oil price. Cumulatively, fresh fruit bunch crop improved to 854,006 MT.
The Property Division delivered a profit of RM58 million for the nine-month period under review compared with RM49 million for the same period last year. The driving factor was an improved contribution from the property development segment in tandem with the progress of construction jobs.
The Manufacturing and Trading Division delivered a profit of RM76 million which represents the second highest contribution by a Division to the Group’s nine-month results. For the same period last year, the Division achieved a profit of RM54 million. Key factors included strong results contribution from BHPetrol due to higher sales volume and stockholding gains.
The Group’s latest contributor, the Pharmaceutical Division, has delivered handsomely registering a profit of RM51 million for the nine-month period compared with RM14 million for the corresponding period last year. The results were due to higher sales revenue and better margins with improved productivity and prices. With a new management team in place, Pharmaniaga Berhad began contributing to the Group from the second quarter of this financial year.
The Finance and Investment Division posted a cumulative profit of RM38 million compared with last year’s corresponding period’s result of RM126 million, largely due to the impact of interest costs and given the fact that the previous year’s results were positively impacted by a non-recurring gain on sale of a subsidiary amounting to RM75 million.
Heavy Industries Division posted a small surplus of RM2 million for the nine-month period under review due to cost escalations and lower revenue as a result of the fact that work on the second generation patrol vessels has yet to commence fully.
“The Boustead Group is committed to ensure that we will maintain our dividend policy payout for the financial year. This will be all the more possible given our diversified nature where we are not solely dependent on one income stream and as such contributions from multiple streams of businesses will have a positive impact on the Group’s bottom line,” concluded YBhg Tan Sri Dato’ Lodin.
Since 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 & manufacturing and pharmaceutical. As at 30 September 2011, Boustead Holdings Berhad’s paid-up capital was RM470 million, while its shareholders’ funds stood at RM4.3 billion. Market capitalisation is currently in excess of RM5 billion.
Forward looking statements
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 statements.
on behalf of: Boustead Holdings Berhad By: acorn
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