Poh Huat 4Q net profit sinks 29%, proposes 2 sen dividend

-A +A

KUALA LUMPUR (Dec 31): Furniture-maker Poh Huat Resources Holdings Bhd's net profit fell 28.9% to RM14.83 million in the fourth quarter ended Oct 31, 2019 (4QFY19) from RM20.86 million a year ago, on lower contribution from both its Malaysian and Vietnamese operations, as well as lower other income.

Quarterly revenue, however, grew a marginal 1.36% to RM192.08 million from RM189.51 million last year, it said in a filing to Bursa Malaysia.

Its board of directors proposed a final dividend of 2 sen per share for shareholders’ approval at the group's forthcoming annual general meeting. This will bring Poh Huat's total dividend payout for the financial year ended Oct 31, 2019 (FY19) to 7 sen per share, versus 6 sen in FY18.

Poh Huat said its Malaysian ops recorded an 18.4% decline in profit before tax (PBT) to RM11.67 million from RM14.30 million last year, due to higher distribution and selling costs, as well as lower forex gains recognised.

As for its Vietnam business, it said PBT fell 18.8% to RM9.43 million from RM11.6 million, due to higher marketing and administrative expenses.

For the full year FY19, the group's net profit came in at RM50.9 million, up 7.98% from RM47.14 million in the previous year, while revenue grew 12.71% to RM701 million, from RM621.93 million.

Poh Huat's share price rose one sen or 0.66% to settle at RM1.52 today, bringing a market capitalisation of RM349.57 million. The counter saw some 165,3000 shares done.