KLANG (Sept 18): Superlon Holdings Bhd expects revenue to increase at a faster rate of 10% year-on-year (y-o-y) in the financial year ending April 30, 2019 (FY19), mainly on capacity growth driven by its new Vietnam factory and higher sales volume.
"Last year, both our topline and bottomline were affected by currency movements, (but) we hope to see a topline growth of 10% (in FY19) in US dollar terms," its executive director Liu Han Chao told a press conference after the group's annual general meeting today.
On top of boosting sales volume, Liu said the thermal insulation materials manufacturer will focus on testing new usages for its existing products and improving efficiency to reduce wastage in order to offset the challenge of surging raw material prices, which will help to enhance its profitability going forward.
For FY18, the group's net profit fell 48.3% y-o-y to RM12.2 million due mainly to unfavourable foreign exchange rate and higher raw material prices. Its revenue, however, rose 2.9% to RM109.39 million from RM106.27 million in FY17.
At 3.25pm, Superlon shares were down 2 sen or 1.64% at RM1.20, with 43,200 shares done, bringing a market capitalisation of RM192 million.