KUALA LUMPUR: Cycle & Carriage Bintang Bhd (C&C), which saw its share price hit a three-and-a-half-year high yesterday, posted a 10-fold jump in net profit for the second quarter ended June 30, 2015 (2QFY15), to RM21.83 million or 21.67 sen a share, on improved performance of its retail and aftersales operations, and the recognition of dividend income.
The group recorded a net profit of RM2.03 million or 2.02 sen a share for the same period last year, its filing with Bursa Malaysia showed.
Revenue for 2QFY15 doubled to RM472.36 million from RM231.16 million a year ago. For the cumulative six months (1HFY15), net profit jumped six-fold to RM28.47 million or 28.26 sen a share from RM3.73 million or 3.7 sen a share previously. 1HFY15 revenue was RM735.48 million, up 76.14% from RM417.56 million in 1HFY14.
C&C chairman Alex Newbigging said the group performed better for 1HFY15 on strong sales of popular models, improved margins, and the recognition of Mercedes-Benz Malaysia Sdn Bhd’s dividend income. Going forward, C&C said outlook for the rest of the year should be satisfactory, although there will be challenges due to tougher trading conditions and model life cycle issues.
C&C’s closing price of RM3.46 yesterday gave it a market capitalisation of RM348.58 million.
This article first appeared in The Edge Financial Daily, on July 24, 2015.