InNature jumps to record high of 87.5 sen

InNature jumps to record high of 87.5 sen
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KUALA LUMPUR (Oct 18): InNature Bhd’s share price rose to a record high of 87.5 sen on Monday morning, climbing 8.33% and putting the group’s market capitalisation at RM592.49 million.

Notably, the cosmetics and body care product retailer made its debut on the stock exchange on Feb 20, 2020, just as the Covid-19 pandemic was heating up globally. 

At the time of writing, InNature stood at 84.5 sen, which is a gain of 32.03% from its initial public offering price of 64 sen per share. 

The surge in share price coincides with the Klang Valley moving into Phase 4 of the National Recovery Plan (NRP) on Monday, signalling the gradual recovery of the economy. 

The group has 81 The Body Shop retail outlets in Malaysia, 38 in Vietnam, and two in Cambodia as at June 30, 2021. 

On Oct 15, Prime Minister Datuk Seri Ismail Sabri Yaakob announced that the Klang Valley and Melaka would enter Phase 4 of the NRP while Kelantan, Perak, Penang, Sabah and Kedah would enter Phase 3.

For the second quarter ended June 30, 2021 (2QFY21), the group saw net profit halved to RM1.44 million from RM3.13 million previously. Revenue was down to RM27.91 million for the quarter from RM31.42 million a year ago, where Malaysia recorded lower sales of 11.6%, followed by Vietnam where sales declined 10.7% and Cambodia saw marginal decline of 1.2%. 

The group attributed the weaker performance to the spike in positive cases and lockdown measures that led to the decline in footfall to its stores. 

While the group is cognizant of the fact that near-term prospects will be impacted by lockdown measures, it said it is encouraged by the acceleration of vaccination in Malaysia. It expects to remain profitable for FY21. 

Surin Murugiah