KUALA LUMPUR (Nov 23): Felda Global Ventures Holdings Bhd (FGV) reported a third quarter net profit at RM38.77 million versus a net loss of RM73.61 million a year earlier, on lower cost of sales. Revenue fell.
Plantation group FGV told Bursa Malaysia today that revenue fell to RM4.15 billion in the third quarter ended Sept 30, 2017 (3QFY17), from RM4.19 billion in 3QFY16. The company declared a dividend of five sen a share for the present quarter in review.
FGV's income statement showed 3QFY17 cost of sales was lower at RM3.55 billion, versus RM3.73 billion. The lower cost of sales led to higher gross profit at RM596.99 million, compared with RM458.66 million in 3QFY16.
According to FGV, 9MFY17 net profit stood at RM67.15 million versus a net loss of RM80.99 million a year earlier. Revenue was higher at RM12.7 billion compared to RM12.09 billion.
"For the financial period ended 30 September 2017, the group’s revenue rose by 5.0% to RM12.70 billion, as compared to the corresponding period of the previous year.
Profit before zakat and taxation of the group was higher at RM170.31 million, compared to RM43.71 million reported last year, largely due to higher contribution from the plantation sector, and logistics and others sector.
"The improvement in profit was partially offset by losses incurred in the sugar business, as a result of higher raw sugar costs and the weakened ringgit Malaysia," FGV said.