KUALA LUMPUR (Sept 30): A whopping RM1.04 or 98.1% jump in Tek Guan Perdana Bhd's share price has prompted the stock exchange regulator to issue an Unusual Market Activity (UMA) query to the stock over the recent price rally

At 10.015am, the counter narrowed its gain to trade at RM1.97, still up 19 sen or 10.67%, after climbing to its intra-morning high of RM2.10 shortly after opening bell.

Trading volume was 1.04 million shares as compared to yesterday's 121,500 shares.

At RM1.97, its market value stood at RM71.37 million as compared to RM42.51 million on Sept 26.

Teck Guan is a Sabah-based palm oil and cocoa planter, its share price has been on the uptrend since Sept 26 after it announced its second quarter financial result. 

According to its earlier announcement, the company recorded a 144% jump in net profit for second quarter ended July 31, 2016 (2QFY17) to RM6.33 million, up from RM2.59 million a year ago. The bottom line growth was attributed to higher selling prices for its palm oil products, favourable exchange rate, and an increase in sales volume. 

Revenue also increased 45.3% to RM96.05 million, compared with RM66.09 million a year earlier.

The significant increase in earnings in 2QFY17 contributed to the 41.2% jump in its 1HFY17 net profit to RM7.66 million, from RM5.43 million a year ago.

Cumulative revenue increased 63.4% to RM196.62 million, compared with RM120.3 million a year before.

In a UMA query today, the exchange regulator has requested the company to disclose any reasons that could contribute to the unusual market activity and urged investors to take note on the company's reply to the UMA. 

Yesterday, Bursa Malaysia Securities said it had frozen the upper limit share price of Teck Guan at RM1.78, after the stock hit limit up for two consecutive trading days.