Hextar Global Berhad announced its financial results for the first quarter, on a quarter-on-quarter basis, the Group’s revenue improved to RM143.3 million for 1QFY2023 from RM139.7 million in the preceding quarter, with the revenue contribution from the Agriculture segment improving from RM76.1 million to RM81.7 million.
The group reported an increase in its profit before taxation of 24.4%, from RM11.0 million to RM13.7 million, due partly to the absence of a one-off impairment loss provided for in the immediate preceding quarter. As a result, Hextar’s net profit rose by 47% to RM9.4 million from RM6.4 million recorded in the immediate preceding quarter.
However, compared to the corresponding quarter of the previous year, revenue for 1QFY2023 eased by 6.7% to RM143.3 million compared to RM153.6 million, and the Agriculture segment continued to face significant downward trends in the selling price of key herbicides. Demand was also affected by customers continuing to adopt a “wait-and-see stance” and delaying making purchases in anticipation of lower selling prices in the future.
Consequently, the Group recorded a PBT of RM13.7 million for the current quarter compared to RM21.6 million achieved in the corresponding quarter last year on the back of lower revenue and margin contraction from the Agriculture segment coupled with higher operating expenses.
