Friday 29 Mar 2024
By
main news image

KUALA LUMPUR (Nov 14): Higher sales, favourable foreign exchange impact on cost of sales, and lower operating expenses boosted the net profit of Amway (M) Holdings Bhd by 14.7% to RM17.15 million in the third quarter ended Sept 30 from RM14.95 million a year ago.

Earnings per share rose to 10.43 sen from 9.1 sen previously. Revenue grew 6.8% to RM260.21 million from RM243.65 million in 3QFY17.

The group declared an interim dividend of five sen, payable on Dec 12.

For the nine-month period, however, Amway Malaysia’s net profit declined by 16.8% to RM32.59 million from RM39.17 million in the previous corresponding period. Revenue was 1.3% lower at RM723.31 million from RM732.86 million.

Earnings per share amounted to 19.82 sen from 23.83 sen previously.

In a bourse filing, Amway said it anticipates profit for the fourth quarter to rebound after a challenging first nine months. “Management will continue to focus on implementing strategies to manage operating costs to improve profit margins.”

In a separate statement today, Amway managing director Mike Duong said given the continued growth of new AMWAY Business Owners’ (ABOs) sign-up figures and line-up of new products, the group believe its ABOs “will be able to gear up their purchases well into 2019”.

“Nevertheless, foreign exchange impact continues to exert pressure on our margins. To mitigate this, we will continue to proactively focus on strategies to effectively manage operating costs and implement various sales and marketing initiatives, as well as ABO experience-related infrastructure to support the ABOs’ businesses.”

Amway closed 11 sen lower or 1.64% at RM6.60, for a market capitalisation of RM1.09 billion.

      Print
      Text Size
      Share