Top Page | English | 简体中文 | 繁體中文 | 한국어 | 日本語
Friday, 24 November 2023, 11:00 HKT/SGT
Share:
    

Source: Yew Lee Pacific Group Berhad
Yew Lee Announces RM5.7 Million Revenue for Q3
Yew Lee Demonstrates Resilience in Navigating Market Challenges

KUALA LUMPUR, Nov 24, 2023 - (ACN Newswire) - Yew Lee Pacific Group Berhad (“Yew Lee” or the “Group”), a manufacturer of industrial brushes as well as trading of industrial hardware and machinery parts, today announced that the Group recorded revenue of RM5.7 million for the third quarter ended 30 September 2023 (“3Q FY2023”).

Managing Director of Yew Lee, Mr. Ang Lee Leong
Managing Director of Yew Lee, Mr. Ang Lee Leong

In 3Q FY2023, Yew Lee reported a revenue of RM5.7 million, compared to RM6.1 million in the same quarter of the previous year. This change is primarily due to variations in sales orders. Notably, the Group's manufacturing business remained profitable, contributing positively to the overall financials. However, an overall slight loss after tax of RM0.1 million was recorded for this quarter, against a profit after tax of RM0.8 million in the corresponding period last year. This was largely due to challenges faced in the trading business segment, which offset the gains from manufacturing.

The revenue breakdown for 3Q FY2023 shows that the manufacturing segment contributed RM3.5 million, while the trading segment accounted for RM2.2 million. The manufacturing segment of Yew Lee demonstrated resilient performance, achieving an operating profit of RM0.3 million. In contrast, the trading segment faced some setbacks, resulting in an operating loss of RM0.3 million.

On a quarter-on-quarter basis, revenue rose to RM5.7 million in 3Q FY2023 from RM5.1 million in the previous quarter, an increase of 11%. This was attributed to a slight uptick in sales orders. The quarter's loss after tax of RM0.1 million improved from a RM0.4 million loss in the preceding quarter, influenced by income tax expense and higher administrative expenses in the previous quarter, partially cushioned by a shift towards higher-margin products.

Mr. Ang Lee Leong, Managing Director of Yew Lee, stated, “While the rubber glove industry continues to be a significant sector for us, we are actively exploring new avenues for growth. Our commitment to diversifying our market reach and enhancing our operational efficiency remains steadfast. We are optimistic about the future and believe that our strategic initiatives will enable us to generate increased income and ensure Yew Lee’s resilience and long-term stability in a dynamic global market. In addition, our trading segment will endeavor to secure larger and more consistent plus sustainable contracts as part of our ongoing turnaround strategy.”

In line with the Group's strategy to expand its market presence, Yew Lee is establishing a new subsidiary in Thailand, focusing on industrial brush manufacturing. This decision comes after careful evaluation of the Thailand market, where a stable demand for industrial brushes has been identified. The Group is investing RM9 million from its IPO proceeds for this venture, with RM5.5 million allocated for purchasing additional manufacturing machinery and equipment, and RM3.5 million for setup costs and working capital requirements. So far, an investment of RM1.2 million has been made towards this expansion. Yew Lee’s venture into Thailand is a strategic move to strengthen the Group's market position and enhance its competitiveness in the Southeast Asian region.

As at 23 November 2023, the share price of Yew Lee stands at RM0.37, representing a market capitalisation of RM197.7 million.




Topic: Press release summary
Source: Yew Lee Pacific Group Berhad

Sectors: Daily Finance, Daily News, Local Biz, Manufacturing
http://www.acnnewswire.com
From the Asia Corporate News Network


Copyright © 2024 ACN Newswire. All rights reserved. A division of Asia Corporate News Network.



Yew Lee Pacific Group Berhad
Nov 30, 2022 20:00 HKT/SGT
Yew Lee Posts RM6.1 Million Revenue in 3Q
Oct 25, 2022 20:00 HKT/SGT
Yew Lee Proposes Bonus Warrants and ESOS
June 7, 2022 10:00 HKT/SGT
Yew Lee Pacific Group Berhad Debuts at RM0.285 on ACE Market
May 17, 2022 12:30 HKT/SGT
Yew Lee Pacific Group Berhad Launches Prospectus for ACE Market IPO
Apr 11, 2022 13:00 HKT/SGT
Yew Lee Pacific Group Bhd Engages M&A Securities Sdn Bhd to Manage Listing Exercise
More news >>
 News Alerts
Copyright © 2024 ACN Newswire - Asia Corporate News Network
Home | About us | Services | Partners | Events | Login | Contact us | Privacy Policy | Terms of Use | RSS
US: +1 214 890 4418 | China: +86 181 2376 3721 | Hong Kong: +852 8192 4922 | Singapore: +65 6549 7068 | Tokyo: +81 3 6859 8575

Connect With us: