Sapura Industrial which is involved in automotive parts, achieved a significantly higher revenue of RM59.6 million for the current quarter against RM16.2 million in the previous year’s corresponding quarter, resulting in the company making a profit compared to a loss in the previous quarter.
The better revenue was due to higher volume as OEMs fulfilled backlog and new orders following post covid recovery and bookings made before 30 June (to be registered before 31 March 2022) to qualify for the sales tax exemption offered by the Malaysian Government.
Results for the previous year’s corresponding quarter were reflective of the non-production period due to MCO lockdown in June and July 2021. Accordingly, the Group generated a net profit of RM1.9 million in the current quarter as compared to a net loss of RM2.7 million in the previous year’s corresponding quarter. The Group’s revenue of RM59.6 million for the current quarter was slightly higher than the immediate preceding quarter of RM55.6 million. Net profit for the current quarter was RM1.9 million as compared to RM1.7 million for the immediate preceding quarter
On prospects for the year, total industry volume (TIV) is projected to rise by 23.8% from 508,911 in 2021 to 630,000 vehicles in 2022 as car makers recover from the year’s Covid-19 impact. The TIV for the first eight months up to August 2022 was 447,209 units against 274,600 units sold in the corresponding period of 2021, an increase of 172,609 units or 63%.
Sapura said it will continue to exercise prudence in its business dealings and has intensified its efforts to further strengthen operational efficiency and implement more stringent cost-cutting measures.
