Guan Chong’s 1Q profit surges to RM39.3 mil

by TMR

Guan Chong Bhd’s net profit surged more than six folds year-on-year (YoY) to RM39.3 million or earning per share of 8.23 sen in its first-quarter ended March 31, 2018 (1Q18), due to improved margin and sales volume.

Revenue for the period declined 17.7% YoY to RM519.7 million due to lower overall selling price of cocoa products coupled with the weakened US dollar against the ringgit.

In a filing to Bursa Malaysia yesterday, the Johor based company noted the business environment is expected to be less volatile for the financial year ending Dec 31, 2018.

“We expect our overall performance remains positive as strong growth of global demand for chocolate is projected. We will continue to focus on exploring new markets for a wide range of cocoa ingredients, optimising production according to market conditions and expanding overall grinding capacity,” it said.