UMW 2Q net profit surges 166.6% to RM211m

UMW 2Q net profit surges 166.6% to RM211m
Tags: earnings | Perodua | Toyota | UMW Holdings

Written by Yong Min Wei
Friday, 20 August 2010 22:52


KUALA LUMPUR: UMW HOLDINGS BHD [] posted a strong set of earnings, reporting RM211.69 million in net profit for the second quarter ended June 30, 2010 (2Q10).

It said on Friday, Aug 20 that earnings jumped 166.6% from RM79.43 million a year ago due to higher sales of Toyota and Perodua vehicles and favourable model mix.

UMW said improved performance from the equipment and manufacturing & engineering segments coupled with favourable foreign exchange rates, accounted for the significant improvement in profit for the current quarter.

"Our overseas associate, WSP Holdings Ltd, has reported an overall improvement in both domestic and international sales and a lower loss for the second quarter of 2010," it said.

The 2Q revenue rose 27.2% to RM3.28 billion from RM2.58 billion a year ago while earnings per share were 18.74 sen versus 7.24 sen.

UMW declared an interim single-tier dividend of 20% or 10 sen per share for the year ending Dec 31, 2010 – totaling net dividend payable of about RM114.5 million – to be paid on Oct 7. The group's net asset per share stood at RM3.62 as at June 30.

For the six months ended June 30, 2010, net profit surged 137% to RM344.55 million from RM145.38 million while revenue grew 28.1% to RM6.31 billion from RM4.93 billion.

The group said strong economic recovery in the first half of 2010 resulted in higher demand for its Toyota vehicles, industrial and heavy equipment as well as automotive parts. However, it noted that the slow and weak rebound in the oil & gas industry has affected demand for some of its pipes and services.

UMW's share price on Aug 20 rose two sen to close at RM6.43 with 183,400 shares traded.

http://www.theedgemalaysia.com/business-news/172230-umw-2q-net-profit-surges-1666-to-rm211m.html