KUALA LUMPUR (Dec 8): Bermaz Auto Bhd (BAuto) recorded a 27.52% decline in net profit to RM22.2 million for the second quarter ended Oct 31, 2017, from RM30.63 million a year ago, due to lower sales and compressed margins from the clearing out of old Mazda CX-5 models.

The weak Philippine peso and losses incurred by BAuto’s associate company, Mazda Malaysia Sdn Bhd (MMSB), had also dragged net profit down, the group said in a statement today.

MMSB had seen lower production volume ahead of the launch of the new CX-5 models, which had been rolled out in October.

Meanwhile, revenue for the quarter slipped 0.3% to RM471.71 million, from RM473.17 million in the previous year, on the back of lower domestic sales volume of the Mazda2 model.

However, the drop in the Malaysian sales volume had been mitigated by improved sales of the Mazda3 model in its Philippines operations, said BAuto

Cumulative six-month net profit dropped 40.88% to RM42.41 million as revenue declined 10.74% to RM862.94 million, on lower sales volume.

Compressed gross profit margins had also weighed down earnings, especially in the first five months of the financial year, BAuto said.

The group declared a single-tier second interim dividend of 1.6 sen per share, compared with a 2.75 sen payout in the previous corresponding period. The entitlement date is Jan 16

This brings the total dividend declared in the first half of the financial year to 3.1 sen.

Shares in BAuto closed up 6 sen or 2.87% at a six-month high of RM2.15 apiece, giving the group a market capitalisation of RM2.49 billion.