Hartalega Q1 earnings dip 2.5% to RM53m
KUALA LUMPUR: Glove maker Hartalega Holdings Bhd's earnings dipped 2.5% to RM53.36mil in the first quarter ended June 30, 2012 from RM54.77mil a year ago due to more competitive sales pricing.
It said on Tuesday, revenue rose 12.9% to RM247.68mil from RM219.37mil which was in line with the group's continuous expansion in production capacity and increase in demand. Earnings per share were 7.30 sen compared with 7.53 sen.
"However, the operating profit before other operating expense/income margin reduced to 28.3% from 30.3% due to more competitive sales pricing for the current quarter compared with the corresponding quarter of the preceding year," it said.
Hartalega said profit before tax margin reduced to 28.2% from 32.2% due to the stiffer pricing and recognition of net loss in foreign exchange and changes in fair value in forward exchange contracts of RM1.34mil compared with a net gain of RM3.53mil a year ago.
Although HARTA is very ambitious with a big plan....but how you see the “more competitive sales pricing” affect there business in future? TQ
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