DXN Holdings announced its fourth quarter and full-year financial results with revenue surging by 12.6% year-on-year to RM1.8 billion, exceeding the RM1.6 billion recorded in the previous financial year. The growth it said was primarily driven by increased revenue contributions from Latin America and India, underpinned by a collective combination of member-driven conventions and events, launching of new products, and targeted marketing programs.
Earnings before interest, tax, depreciation & amortisation came in at RM537.1 million, representing an 8.2% YoY increase from RM496.4 million recorded in FY23. Profit before taxation rose by 5.2% YoY to RM479.0 million from RM455.5 million registered in the previous financial year. The Company’s profit after taxation and non-controlling interests stood at RM311 million, beating last year’s RM275.4 million and setting an all-time high with a remarkable 12.9% YoY increase.
Executive Chairman and Founder of DXN, Datuk Lim Siow Jin said “Our recent entry into Brazil presents a significant new market opportunity within Latin America. With Brazil’s vast population exceeding 200 million, the potential for growth is immense. We are well-poised to capitalise on this opportunity by leveraging our established member network and strong brand presence in neighboring Latin American countries, such as Mexico, Peru, Bolivia, and Colombia.”
On a quarterly basis, revenue saw a commendable 16.2% increase to RM470.6 million in 4QFY24, compared to RM405.0 million in the prior-year corresponding quarter. EBITDA improved by 6.7% to RM132.6 million from RM124.3 million earlier, while net profit rose by a remarkable 43.2% YoY to reach RM79.0 million from RM55.2 million achieved in Q4FY23.
The Board of Directors has announced a fourth interim dividend of 1.0 sen per ordinary share for FY24. This dividend amounts to RM49.7 million and will be paid on 30 May 2024.
As of 29 February 2024, total dividend announced for FY24 amounts to 3.6 sen per ordinary share, equivalent to RM179.3 million. This represents a 57.7% payout of DXN’s FY24 net profit, showcasing its commitment and capability to distribute dividends in accordance with its dividend policy of at least 50% of net profit payout.
