CCK 2Q net profit up 12.77% on higher selling prices

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KUALA LUMPUR (Aug 23): CCK Consolidated Bhd posted a 12.77% increase in second quarter net profit to RM6.21 million from RM5.5 million a year ago, on the back of higher selling prices of table eggs and dressed chickens, as well as a higher share of results from an associate.

Revenue for the quarter ended June 30, 2018 was up 6.85% at RM166.57 million from RM155.89 million previously led by growth in the retail segment, CCK said in a stock exchange filing today.

Cumulative net profit for the first two quarters jumped 52.56%  to RM18.62 million from RM12.2 million in the January-June period last year. Revenue rose 7.37% to RM320.22 million from RM298.25 million.

“The group is confident the performance for the rest of the year will be positive. Management will continue to monitor and review costs and pricing strategies,” CCK said, adding that it will continue to expand its product range at retail stores.

On top of that, the nugget line in Indonesia is expected to commence operations in the third quarter of this year, thus improving the contributions of the group’s Indonesian operations.

Shares in CCK closed up 1.5 sen or 1.69% at 90.5 sen, giving the group a market capitalisation of RM573.9 million.