KUALA LUMPUR: Hextar Global Bhd
is leveraging the success of its diversification strategies to charter new heights for its revneue in the second half of 2024, said group managing director Lee Chooi Keng.
Year-to-date, the group's revenue and profits have already surpassed previous records.
The agrochemicals and speciality chemicals firm posted a strong set of results in the second quarter ended June 30, 2024, with a net profit of RM19.16mil, more than twice the net profit of RM8.67mil registered in the year-ago quarter.
Its revenue rose to RM212.96mil from RM133.48mil, while earnings per share jumped to 0.49 sen from 0.23 sen previously.
The group attributed this notable increase primarily to the speciality chemicals segments, which saw an increase of RM58.5mil due to contracts awarded in the oil and gas sector.
Additionally, the newly diversified durian trading business within the fruits segment contributed RM20mil to the group's revenue.
Over the six months period, the group's net profit was improved to RM31.3mil on the back of revenue of RM445.23mil against net profit of RM17.3mil on revenue of RM272.22mil in the first half of 2023.
"Our specialty chemicals segment is performing exceedingly well in the current market notwithstanding the volatility in the pricing landscape of the industry.
"Whereas for our agriculture segment, we are expecting it to grow in the coming second half of 2024 given that selling prices of herbicide products are stabilising and we anticipate that there will be positive upward price movement in the coming quarters,” said Lee in a statement.
The group declared a first interim dividend of 0.5 sen per share, payable on Oct 4, 2024, to shareholders appearing in the record of depositors on Sept 18, 2024.
The dividend represents a payout ratio of 47.4% of the group's current-year earnings.
