KUALA LUMPUR (Nov 23): Higher revenue lifted Ajinomoto (Malaysia) Bhd’s net profit in the second quarter ended Sept 30, 2017 (2QFY17) by 37.53% to RM16.52 million from RM12.01 million last year.

According to Ajinomoto’s filing with Bursa Malaysia, the increase in revenue was due to higher sales in the consumer, and industrial business segments while stronger US dollar exchange rate in the current quarter was beneficial to export sales.

“Higher revenue and within control production cost and operating expenses resulted in the increase in operating profit,” it said, adding that quarterly revenue grew 16.22% to RM115.42 million from RM99.3 million a year ago.

Earnings per share stood at 27.17 sen compared with 19.76 sen in 3QFY16.

For the cumulative six months ended Sept 30, 2017 (6MFY17), net profit slipped 2.26% to RM24.4 million or 40.14 sen per share from RM24.97 million or 41.07 sen per share, on RM211.84 million revenue in 6MFY17, up 6.98% from RM198.02 million.

Ajinomoto said the economic environment and market conditions remain challenging.

It said the dollar’s strengthening is not in its favour as it will continue to impact on the costs of imported raw materials and packaging materials.

The management’s focus would be on managing its production costs and maintaining market share in the competitive domestic and export.

“The management and directors will continue to take appropriate measures to target growth in revenue and profit,” it added.

At closing, its shares grew four sen or 0.22% to RM18.60 for a market capitalisation of RM1.13 billion.