Choo Bee jumps 6.38% on strong 2Q earnings

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KUALA LUMPUR (Aug 15): Shares in Choo Bee Metal Industries Bhd jumped 6.38% this morning after its second quarter net profit rose 62.51% on-year to RM10.25 million from RM6.31 million, on higher selling prices and better margins.

At 10.58am, Choo Bee rose 12 sen to RM2 with 532,600 shares done.

Earnings per share for the quarter ended June 30, 2018 increased to 9.41 sen from 5.79 sen previously, the steel maker said in a filing with Bursa Malaysia yesterday.

Also supporting profit growth was better revenue, which rose 19.9% to RM122.59 million from RM102.24 million, said Choo Bee.

The higher quarterly revenue, it said, was due to higher contribution from the trading segment, which also saw higher sales volume, but offset by lower contribution from the manufacturing segment.

Choo Bee said its cumulative net profit for the first two quarters of FY18 rose 15.68% to RM20.66 million, from RM17.86 million in the January-June period of FY17.