Pecca Group Bhd chief executive officer Foo Ken Nee
KUALA LUMPUR: Pecca Group Bhd
is confident that it will continue benefiting from strong demand for its upholstery products in the automotive.
The automotive upholstery maker noted that the automotive sector is projecting another historical record for Malaysia's total industry volume (TIV) in 2023.
In addition, the group is making inroads in the Indonesian automotive market.
“Moving forward, Pecca's aviation business will be one of the group's key revenue drivers, given the new market opportunities that have been unlocked with its EASA certification.
“The management will continue its efforts to penetrate new markets, while further improving productivity levels with a focus on cost efficiency and procurement strategy,” Pecca said in a filing with Bursa Malaysia.
Pecca posted a higher net profit of RM10.1mil in the fourth quarter ended June 30 (4Q) compared with RM8.25mil in the previous corresponding period.
Revenue rose 7% year-on-year to RM54.3mil, from RM50.7mil a year ago while earnings per share rose to 1.34 sen from 1.10 sen previously.
Pecca said the are the group’s highest quarterly net profit and revenue figures on record.
For the financial year ended June 30, Pecca posted a historical record net profit of RM35.4mil, up 55% from RM22.8mil in fiscal 2022.
The surge in profit was mainly driven by a 35% year-on-year rise in full-year revenue, to RM221.26mil.
Chief executive officer Foo Ken Nee said: “We are pleased to report another record high quarter of strong financial results, demonstrating our commitment to delivering sustained business growth. Notably, this is the fourth consecutive quarter in fiscal 2023 where Pecca has set a new net profit record.” “Demand for high-quality automotive upholstery continues to be strong, with our key customer, Perodua, projecting sales and production to hit another record high in 2023, this momentum will definitely be benefiting Pecca’s 1Q24.
“Pecca will continue to position as the supplier of choice for global and local automotive players, enabling us to ride the wave of rising demand,” he said.
“Going forward, we will continue to leverage our key strengths to expand in existing and new markets, with a focus on higher-margin opportunities. Our robust cash position, which stood at RM111mil as of 4Q23, will give us the financial firepower to accelerate growth across the group.”
