KUALA LUMPUR (Apr 9): Bioalpha Holdings Bhd – en route for listing on the ACE Market on April 14 – saw its net profit for the fourth quarter ended Dec 31, 2014 (4QFY14) slip 27.7% to RM2.6 million or 0.72 sen from RM3.6 million or 1.27 sen a year ago, on lower revenue.

Revenue for the quarter was down 34.7% at RM8.35 million from RM12.78 million in 4QFY13, its filing to Bursa Malaysia this evening showed.

For the financial year ended Dec 31, 2014 (FY14), its net profit slipped 2.18% to RM6.43 million or 1.77 sen per share from RM6.29 million or 2.22 sen per share.

Bioalpha attributed the decrease in earnings to higher depreciation and amortisation charges, as well as manufacturing overheads and one-off professional fees in relation to its proposed listing on the local bourse next week.

Revenue for FY14, meanwhile, was up 10% to RM27.11 million from RM24.57 million in FY13 on increase in orders from existing health supplement products and commercialisation and sales of new formulations to existing customer.

Going forward, Bioalpha said its growth is expected to be supported by opportunities from the growing health supplement market in Malaysia and abroad.

“The prospects for growth in the health supplement manufacturing industry in Malaysia are positive as the industry is expected to continue being driven by the increase in income where purchases are increasingly diversifying from staple food products to more expensive and quality purchases,” the group said.

Bioalpha is scheduled to be listed on the ACE Market of Bursa Malaysia on April 14, at an issue price of 20 sen per share, which will value the company at RM92.68 million.

The group expects to raise RM20 million, the bulk of which will be channelled towards working capital, research and development expenditure and repayment of bank borrowings.