SHAH ALAM (Aug 28): QL Resources Bhd has earmarked RM300 million for capital expenditure (capex) in the current financial ending March 31, 2019 (FY19) to build more poultry farms and fish processing factories and fund aquaculture ponds.

Its executive chairman Chia Song Kun said the capex will also be used to expand its FamilyMart convenience store operations.

"The business nature of QL Resources is generally capex intensive as we need to build chicken farms, construct fish processing factories and fund aquaculture ponds. The figure generally ranges about RM300 million a year or 20% more (than the previous year)," he told a press conference after the group's annual general meeting today.

Chia said QL Resources is targeting to open an additional 50 FamilyMart stores, bringing the total to 89 in FY19.

As at March 31, 2018, it has 39 FamilyMart stores across the Klang Valley.

Yesterday, QL Resources announced that its net profit rose 4.4% to RM43.86 million for the first financial quarter ended June 30, 2018 (1QFY19) compared with RM42.03 million a year ago, on better sales from its integrated livestock farming business, improved margins from feed raw material trade, as well as higher contribution from regional poultry operations.

Quarterly revenue was also up 4.8% to RM816.18 million versus RM778.47 million in 1QFY18.

At 3.13pm, QL Resources shares were down 10 sen or 1.62% at RM6.08, with 189,000 shares traded, bringing a market capitalisation of RM9.91 billion.