Kotra Industries 2QFY17 earnings up more than eight fold

KUCHING: Kotra Industries Bhd’s (Kotra Industries) earnings for the second quarter of financial year 2017 ( 2QFY17) ended December 2016 jumped more than eight times to RM5.75 million from RM591,000 recorded in 2QFY16 ended December 2015.

The company in its accounts notes filed to the stock exchange on February 8 said the higher earnings recorded in 2QFY17 was due to higher sales from export markets and higher foreign exchange gain.

It added 2QFY17 revenue increased by 14.6 per cent yearon-year (y-o-y) to RM45.07 million from RM39.34 million generated in 2QFY16.

Kotra Industries revealed that the higher turnover was attributed to higher sales in the export markets.

For six months of financial year 2017 (6MFY17) ended December 2016, Kotra Industries said revenue grew by 2.4 per cent yo-y to RM78.97 million while net profit gained by 39 per cent y- o-y to RM5.88 million.

Kotra Industries noted the increased revenue for 6MFY17 was due to higher sales from the export markets offset with lower sales from local markets while the higher profit was due to higher sales from export markets and lower selling and administration expenses.

As compared with the preceding quarter ended September 2016, the company said the group achieved higher sales and profit due to increase in sales from the export markets.

Meanwhile, in conjunction with Kotra Industries’ 2QFY17 and 6MFY17 results announcement, the company said the group has proposed an interim single-tier dividend of two sen per share with an ex- date on March 6 and the payment date on March 30.

Commenting on the group’s prospects, Kotra Industries said the group will continue to strive to increase its market share in both the local and export markets.

It will also seek to secure new tenders to utilise its available product ion capacity whi le carrying out research and development ( R& D) activities for new products.