MESTRON Holdings Bhd net profit jumped three times to RM3.35 million for the third quarter ended Sept 30, 2022 (3Q22) from the same period last year mainly due to higher sales demand for telecommunication tower and outdoor lighting products.
It posted a revenue of RM14.26 million for the quarter, more than double the RM37.16 last year.
In an exchange filing today, the company said the revenue increase was mainly due to an increase in sales demand for standard poles, lanterns and specialty poles mainly for the telco segment.
In a statement, Mestron MD Por Teong Eng said the earnings growth was in line with the group’s expectation as the rollout of 5G network nationwide has helped to sustain demand for its speciality poles for the telco segment.
“We have established ourselves as one of the key players in the development of telco infrastructure in Malaysia and this result puts us in a strong position to record another strong financial year,” he said.
For the first nine months, Mestron posted a net profit of RM6.74 million on a turnover of RM82.1 million.
“We have seen a faster pickup in orders for telco towers projects amid the faster rollout of telco infrastructure projects this year,” he said.
Despite the optimistic outlook, Por said the group remained cautious about navigating some of the near-term challenges, including the global supply chain disruptions, rising global commodity and raw material prices, and high shipping costs. — TMR / graphic TMR