PETALING JAYA: Leong Hup International Bhd
’s (LHI) net profit for the third quarter ended Sept 30, 2024, rose to RM135.02mil from RM132.96mil in the previous corresponding period, while revenue dipped to RM2.2bil from RM2.5bil a year earlier.
In a filing with Bursa Malaysia, the chicken egg production company said the lower revenue was due mainly to decreases in average selling price and sales volume of day-old-chicks (DOC) in Indonesia and Malaysia.
“The reduction in revenue was also due to lower average selling price of broiler in Indonesia and eggs in Malaysia.
“The former were moderated by favourable sales volume and average selling price of DOC and broilers in the Philippines.”
Meanwhile, earnings before interest, taxes, depreciation and amortisation decreased by 2.1%, due primarily to margins compression from lower average selling price of DOC in Indonesia and Malaysia.
Basic earnings per share for the quarter stood at 3.70 sen versus 3.64 sen previously.
For the nine-months period ended Sept 30, 2024, LHI’s net profit improved to RM288.09mil from RM220.14mil in the previous corresponding period, while revenue fell to RM6.99bil from RM7.13bil previously.
LHI said the unexpected weakening of the dollar against the currencies of countries that it operates in during the third quarter resulted in lower feed costs.
“This has benefited both feedmill and livestock segments as margin improved.
“Although recent foreign exchange rate reversals have reduced this benefit, barring unforeseen circumstances, the group expects the financial performance for the year 2024 to be better than prior year.”
