MALAYSIA: MSM Q1 profit up 26% on lower raw sugar costs

May 26, 2015
Sugaronline | http://goo.gl/IRM8y2

MSM Malaysia Holdings Bhd registered a 26% increase in net profit for 1Q15 to MYR71.03 million (US$19.5 million) from MYR56.33 million in its previous corresponding quarter, according to The Edge Markets.

Revenue was slightly up as well, gaining 2.05% to MYR508.49 million from MYR498.26 million a year ago.

In a filing to Bursa today, the group said that its growth in profit and revenue was higher mainly due to the lower cost of raw sugar and higher revenue recorded for Industries sales, despite lower sales for domestic and export.

Going further into the group's FY15, MSM (fundamental: 2.8; valuation: 1.4) said that it was expecting to be able to sustain a satisfactory performance, notwithstanding the volatility of commodity prices.

MSM, a listed subsidiary of Felda Global Ventures Holdings Bhd (fundamental: 1.55; valuation: 1.4), is a major refined sugar supplier in Malaysia.

At 12.30pm, Felda rose MYR0.04 1.98% to MYR2.06, with some 1.07 million shares traded.