VS Industry Behad announced its third quarter and nine-month financial results today for the period ended 30 April 2024, with the current quarter reportig a revenue of RM1.01 billion up from RM996.8 million a year ago. The improvement it said was chiefly attributed to increased orders from key customers, leading to a higher overall utilisation rate.
It added this coupled with the favourable product sales mix for the Malaysia segment, led to a 103.3% year-on-year jump in 3QFY24 profit after tax and non-controlling interest (“PATNCI” or “net profit”) to RM54.4 million compared to RM26.8 million in the prior year.
Revenue from Malaysia came in at RM729.1 million for the current quarter under review, an increase of 5.1% YoY from RM693.9 million in 3QFY23. Profit before tax (“PBT”) soared 87.7% YoY to RM73.1 million in 3QFY24 vis-à-vis RM38.9 million in the previous year corresponding quarter. This was predominantly owing to the aforementioned higher orders and overall utilisation rate along with favourable sales mix.
Revenue for the period under review stood at RM3.06 billion versus RM3.44 billion a year ago due to lower orders from key customers. Despite the lower revenue, 9MFY24 net profit of RM119.4 million was marginally higher than the RM117.8 million achieved last year largely due to the much improved performance in 3QFY24.
In line with its quarterly dividend payout practice, the Board has declared a third interim dividend of 0.4 sen per share for the quarter under review. This brought total dividend per share declared for the current financial period to 1.0 sen.
The Group’s balance sheet continues to be healthy with a low net gearing of 0.07x as at end-April 2024, supported by net assets of RM0.58 per share and gross cash holdings of RM692.9 million.
