LHI's PAT increased 58.8% from RM90.78mil in Q2FY23 to RM144.15mil in Q2FY24
KUALA LUMPUR: Leong Hup International Bhd
(LHI), one of the largest fully integrated producers of poultry, egg and livestock feed in Southeast Asia, announced its unaudited consolidated financial results for the second quarter of 2024 (Q2FY24).
The Group registered revenue of RM2.36 billion, 2.1% lower as compared to RM2.41 billion posted in the preceding year’s corresponding quarter ended 30 June 2023 (Q2FY23).
The profit after tax (PAT) increased 58.8% from RM90.78 million in Q2FY23 to RM144.15 million in Q2FY24. Meanwhile, the Profit after tax and minority interests (PATMI) increased 48.4% from RM65.03 million in Q2FY23 to RM96.50 million in Q2FY24.
The revenue of the livestock and poultry segment improved by 3.4% to RM1.37 billion, as compared to RM1.32 billion recorded in Q2FY23.
Indonesia recorded higher sales volume of broiler DOC, broiler chickens, broiler ducks and an increase in the average selling price of broiler DOC and broiler chickens; the Philippines' revenue increased due mainly to a higher sales volume of broiler DOC, parents stock DOC and increase in the average selling price of broiler DOC and broiler chickens.
Meanwhile, feed mill segment revenue decreased by 9.5% to RM0.98 billion, down from RM1.09 billion recorded in Q2FY23. The decrease was due mainly to the lower average selling price of feedstock in Malaysia, Vietnam and the Philippines, along with decreased sales volume in Malaysia, Vietnam and Indonesia.
On the geographical segmentation review, Indonesia was the highest contributor to the group’s revenue at RM942.71 million (40.1%).
Malaysia was the second highest contributing segment of the Group at RM571.62 million (24.3%), Vietnam contributed RM467.18 million (19.9%), Singapore contributed RM204.33 million (8.7%) and the Philippines at RM166.33 million (7.1%).
For the cumulative six-month period ended 30 June 2024 (6MFY24), the Group reported revenue of RM4.77 billion, an increase of 3.4% from RM4.61 billion recorded in the preceding year’s corresponding six-month period ended 30 June 2023 (6MFY23).
PAT increased 121.9% from RM107.74 million for 6MFY23 to RM239.08 million posted in 6MFY24.
Meanwhile, PATMI was RM153.07 million for 6MFY24, an increase of 75.6% from the RM87.18 million posted in the corresponding period a year ago.
Executive Director / Group Chief Executive Officer of LHI, Tan Sri Lau Tuang Nguang shared, “With lower raw material costs, the Group passed on savings to our customers in the form of lower feed prices which has affected our revenue.
Nevertheless, better selling prices of our livestock products coupled with lower finance cost has enabled the Group to register a strong quarter. Looking forward, we expect lower inflation, reduced interest rates, and strong economic growth to boost demand for our products.”
