Scientex Q4 profit up 33.2%, declares 10 sen final dividend

PETALING JAYA: Scientex Bhd registered a 33.2% rise in net profit to RM72.13 million for the fourth quarter ending July 31, 2017 against RM54.14 million in the previous corresponding period, the best ever quarterly results in its corporate history.

The earnings were driven by higher contribution from both the manufacturing and property segments.

Its second-quarter revenue was up by 15.2% to RM646.07 million from RM561.06 million.

The group has proposed a final dividend of 10 sen per share for the quarter under review.

Together with the earlier paid singletier interim dividend of 6 sen per share, total dividends in respect of FY2017 amounted to 16 sen per share or RM77.4 million, making up 30.2% of FY17 net profit. It has a policy to pay out at least 30% of annual net profit to shareholders.

Commenting on prospects for the near-term, Scientex managing director Lim Peng Jin said the group is eyeing continued growth in both its manufacturing and property operations in FY18.

“We have made successful inroads in marketing our new products in the consumer packaging business, such as our biaxially-oriented polypropylene and cast polypropylene films. This would contribute towards accelerated growth in the manufacturing segment as we ramp up production to meet growing demand.

“In our property segment, we continue to target new opportunities in the resilient affordable housing sector. In light of the encouraging prospects, we have continued to expand across Peninsular Malaysia beyond our stronghold in southern peninsula, such as into the Klang Valley region, and are targeting to launch approximately RM800 million worth of new developments in FY18,” he added.

For the full-year period, Scientex saw its net profit expand 6.2% from RM240.87 million to RM255.87 million, on the back of a 9.2% increase in revenue from RM2.2 billion to RM2.4 billion. Its shares were down 11 sen, closing at RM8.60 at the end of trade with 823,300 shares traded.