KUALA LUMPUR, Aug 25 — MSM Malaysia Holdings Bhd (MSM) has recorded a net profit of RM13.47 million for the second quarter ended June 30, 2021 (Q2 2021) against a net loss of RM21.55 million in the same quarter last year.
Revenue also came in 23.5 per cent stronger at RM554.10 million against RM448.74 million previously, MSM said in a filing with Bursa Malaysia today.
MSM said the increase in premium for its industry and export refined sugar segments helped to boost the group’s revenue during the quarter under review.
“The group managed to record a sustainable performance despite some operational setbacks, supported by improved margin and capacity utilisation as well as lower finance cost,” it said.
Meanwhile, in a statement, MSM group chief executive officer Syed Feizal Syed Mohammad said a temporary shutdown had resulted in the lower production of value-added products for exports, including liquid sugar, premix and fine syrup.
“However, revenue for export refined sugar has moved up in tandem with the 60 per cent increase in the sales volume due to the re-opening of borders,” he said.
MSM highlighted that the refining cost in Q2 2021 was lower compared to the previous year, mainly due to lower packing material cost as well as reduced fuel costs as a result of the revised gas tariff.
Moving forward, Syed Feizal said growth in the second half of the year will be driven by stronger selling price and sales volume in the domestic segment as well as encouraging prospects for the export market.
“We anticipate a 10 per cent growth in our domestic sales volume, and the company has also secured 65 per cent of export contracts from the initial target of 350,000 tonnes for financial year 2021,” he said.
He added that the gradual easing of restriction measures in countries around the region is expected to boost demand and increase its export volume. — Bernama
