KUALA LUMPUR (Oct 27): CTOS Digital Bhd posted a 95% surge in net profit to RM22.76 million for the third quarter ended Sept 30, 2022 (3QFY2022), up from RM11.67 million a year earlier, driven by higher revenue and share of profit from associates.

The credit reporting group’s revenue for the quarter surged 37% to RM52.85 million from RM38.57 million, as revenue from its Malaysian operations rose 28.7% to RM47.65 million from RM37.01 million, while revenue from its international operations ballooned to RM5.2 million from RM1.56 million.

The group also logged a higher share of profit from associates of RM5.93 million in 3QFY2022 versus RM2.17 million a year ago.

CTOS Digital’s earnings per share rose to one sen compared with 0.5 sen last year, according to the group’s filing on Thursday (Oct 27).

On the back of the stronger earnings, CTOS Digital declared an interim dividend of 0.6 sen per share with a Nov 16, 2022 ex-date, payable on Dec 14.

For the nine-month period ended Sept 30, 2022 (9MFY2022), CTOS Digital clocked in an 85% increase in the group’s net profit to RM57.71 million compared with RM31.2 million, while cumulative revenue rose 24% to RM142.04 million from RM114.37 million.

In a press statement on Thursday, CTOS Digital executive director and group chief executive officer Erick Hamburger commented that the group had delivered “another outstanding set of results” in 3QFY2022, underpinned by improved organic performance, as momentum continued to accelerate in all business segments.

“Our growth playbook has not stopped since listing, as evidenced by our six consecutive quarters of revenue increase,” he remarked.

Hamburger further said that data assets, analytics, and technology have become vital as the economy digitalizes, making the group’s products and services increasingly critical.

“The opportunities for credit, driven by the rise of the digital economy are not only for fintech players but also for the growth of incumbent credit providers that are likewise in the process of enhancing their digital capabilities. This represents tremendous opportunities for CTOS Digital and we expect heightened services penetration and customer base expansion, driven by analytics and digital solutions,” he observed.

Shares of CTOS Digital closed one sen or 0.74% lower at RM1.34, giving it a market capitalisation of RM3.1 billion.