KUALA LUMPUR (Nov 2): MR DIY Group (M) Bhd said its third quarter net profit fell 20.36% due to higher operating expenses from higher store count, while outlets remained closed during the Covid-19 movement restriction measures.

Net profit fell to RM90.35 million or 1.44 sen per share in the quarter ended Sept 30, 2021, from RM113.45 million or 1.86 sen per share a year earlier.

Meanwhile, revenue came in 3.75% higher at RM768.02 million from RM740.23 million previously, mainly driven by contribution of new stores. The group has 841 stores under its operations, up 22.2% on-year.

The home improvement retailer declared a dividend of 0.65 sen per share or RM40.8 million, with the ex-date on Nov 29.

MR DIY said the group also recorded lower income due to the timing of rental concessions. “The group expects to receive additional rental concessions in the next few months,” it said.

For the nine months ended Sept 30, MR DIY’s net profit rose 29.87% to RM297.28 million, from RM228.9 million in the same period last year, after a strong first quarter helped by contribution from new stores.

Nine-month revenue rose 33.89% to RM2.4 billion from RM1.79 billion previously.

On prospects, MR DIY said it remains confident of its ability to deliver long-term sustainable growth.

This is premised on the underlying strength of the business, strong unit economics of flagship MR DIY stores, and the progress it is making on new store growth.

The latter “remains a core growth strategy and remains intact for immediate future and medium to long term”, it said.

“We remain steadfast in our commitment to delivering exceptional value and convenience to our customers, supported by our nationwide network of more than 840 outlets, breadth of about 18,000 product SKUs (store-keeping units), and our promise of unbeatable value, all of which continue to resonate with the masses,” the group added.

Shares of MR DIY fell 12 sen or 3.26% to RM3.56 on Tuesday, valuing the group at RM22.34 billion.