Graphic by TMR

Malaysia Smelting Corp Bhd returned to the black for its second-quarter ended June 30, 2017 (2Q17) posting a net profit of RM9.01 million compared to the RM10.28 million net loss in 2Q16.

In an exchange filing yesterday, the tin metal and tin-based products producer noted its earnings was boosted from its Rahman Hydraulic Tin Sdn Bhd mining operations, which saw its net profit jump 166% year-on-year (YoY) to RM9.4 million due to favourable tin prices. The group, however, posted a revenue drop of 22.3% YoY to RM307.88 million in 2Q17 on lower sales volume due to lower production.

It noted that market conditions remain challenging as currency markets and tin prices are still volatile. The group said it will look to completing its smelting furnace technology upgrade to help improve cost efficiency over the long term.