KUALA LUMPUR: Cycle & Carriage Bintang Bhd (C&C) posted a net profit of RM6.48mil, or 6.43 sen earnings per share in the second quarter ended June 30, against a net loss of RM1.79mil, or 1.78 sen loss per share in the same period last year.
The distributor of Mercedes-Benz cars in Malaysia saw its revenue jump 32.6% to RM320.58mil from RM241.84mil a year prior.
In the first six months to June 30, Cycle & Carriage posted a net profit of RM15.03mil, up 841% from RM1.6mil a year earlier, while revenue rose 16% to RM620.6mil against RM534.67mil last year.
Cycle & Carriage’s net debt improved from RM30.6mil at the end of 2021 to net cash of RM35.6mil as at June 30, due to healthy cashflow.
"With the reopening of the domestic economy, the group saw increased vehicle unit sales and notably, aftersales volume. These developments, along with ongoing cost control initiatives, contributed to the net profit of RM15mil in the first half of 2022,” chairman Wilfrid Foo said in a statement.
He said as a result of the Government allowing registration of sales tax exempted vehicles until March 31, 2023, a surge in Q2 vehicle bookings took place.
“However, despite the increased booking volume, the automotive segment continues to face serious disruption owing to global supply chain challenges. These are expected to remain for the rest of the year and are very likely to impact the financial performance of the group.
“The group continues to take a long-term view on its strategic goals, focusing on bolstering its capabilities to bring exceptional journeys to customers and employees, while staying on track and agile with its business improvement plans,” Foo said.
