KUALA LUMPUR (April 6): Car-upholstery specialist Pecca Group Bhd’s share price rose to a record high today after rising as much as 32 sen or 9.64% to RM3.64 in morning trade on Bursa Malaysia.
At the time of writing, Pecca had pared gains at RM3.56 after the company’s shares were traded between RM3.64 and RM3.33 so far today.
The stock had more than doubled year to date (YTD) from RM1.64 at the beginning of January. At the current share price, it had a market capitalisation of RM673.04 million.
For the second quarter ended Dec 31, 2020 (2QFY21), the company's net profit jumped 45% to RM6.05 million, from RM4.15 million a year earlier, on stronger contributions from automotive leather car seat cover sales and a growing healthcare segment.
Pecca said revenue for the quarter rose 25.8% to RM39.46 million, from RM31.37 million for the previous year, on the back of increased deliveries of car seat covers to automotive manufacturers amid higher domestic car sales.
For the six months ended Dec 31, 2020 (6MFY21), Pecca’s net profit rose 27% to RM11.16 million from RM8.76 million as revenue grew to RM72.61 million versus RM66.27 million earlier.
In a results statement then, Pecca group managing director Datuk Kelvin Teoh Hwa Cheng said the extension of the automotive sales tax exemption until June 30, 2021, along with upcoming launches of new models by automotive players, is expected to bolster the automotive sector in the near term.