UMW Holdings Bhd’s net profit rose to RM134.46 million in the first quarter ended March 31, 2023 (1Q 2023), from RM101.21 million in the same quarter last year amid better automotive sales.
Revenue surged 20 per cent to RM4.38 billion from RM3.65 billion previously, attributed to higher contributions from all segments which rode on the strong economic growth momentum in the current quarter, the conglomerate said in a filing with Bursa Malaysia today.
UMW’s automotive segment recorded an 18.1 per cent year-on-year (y-o-y) hike in revenue to RM3.63 billion, mainly due to the higher number of vehicles sold in the current quarter.
“In line with the higher revenue, the segment recorded a higher profit before taxation and zakat (PBTZ) of RM217.0 million from RM205.8 million in the corresponding quarter,” it said.
The group’s equipment segment revenue was 17 per cent y-o-y higher at RM371.8 million, mainly due to stronger demand from both local and overseas markets in the current quarter.
The announcement on the deferment of the implementation of new excise duty regulation is expected to continue to further sustain the demand for the automotive segment, said the group.
“With the easing of supply chain challenges, the group continues to ramp up production to fulfil its backlog orders.
“The automotive segment is expected to remain positive going forward,” UMW added.
