KUALA LUMPUR (Jan 20): Multi-level marketing company Zhulian Corporation Bhd’s net profit rose 49% to RM13.55 million for the fourth quarter ended Nov 30, 2020, from RM9.1 million a year earlier, thanks to higher revenue.

Earnings per share climbed to 2.95 sen from 1.98 sen, the group’s bourse filing showed.

Revenue for the quarter increased 11.46% to RM43.6 million, from RM39.12 million previously.

The group principally manufactures jewellery and consumer products and sells them through a direct marketing network across Southeast Asia. During the quarter under review, it reported higher sales in Malaysia, Cambodia and Myanmar.

With better earnings in the quarter, the group declared a fourth interim dividend of three sen per share, as well as a special dividend of five sen per share, amounting to a total of eight sen, which will be paid on March 10. It had declared six sen in the same period last year.

Zhulian said net profit for the full year ended Nov 30, however, fell 5.55% to RM46.77 million from RM49.52 million in the previous year, as revenue remained fairly flat at RM170.68 million.

On its prospects, the group said its business is closely linked to the sentiments of the general consumer market and fluctuating foreign currency exchange. Therefore a strengthening or weakening of the ringgit against the US dollar will have an impact on the group’s performance, as all export revenue are transacted in the US currency.

“The group ensures its business long term survival by adapting to the constant market demand change wherever possible, while remaining cautious to the economic impact caused by Covid-19 pandemic.

“The group is committed to continuously improve its business operational efficiency and maintain sufficient cash flows in the year 2021,” it added.

Shares of Zhulian rose five sen or 3.13% to RM1.65 today, for a market capitalisation of RM759 million.