KUALA LUMPUR (May 28): PPB Group Bhd’s net profit more than doubled to RM402.18 million for the first quarter ended March 31, 2021 (1QFY21) from RM187.27 million a year ago, on higher contribution from Wilmar International Ltd and higher profits from the grains and agribusiness segment.
Revenue rose 4.66% to RM1.12 billion from RM1.07 billion in 1QFY20, the group's filing with Bursa Malaysia showed.
The group did not declare any dividend for the latest quarter.
PPB said the contribution from Wilmar increased by RM180 million to RM345 million from RM165 million in 1QFY20.
Its grains and agribusiness segment’s profit also increased by RM70 million to RM124 million, from RM54 million, mainly due to a higher unrealised net fair value gain on derivatives.
The group’s film exhibition and distribution segment, however, recorded a loss of RM25 million, versus a profit of RM19 million in 1QFY20, dragged by prolonged cinema closures in 1Q2021, coupled with reduced admissions and deferment of box office titles as the country weathered through the second movement control order.
On a quarter-on-quarter basis, the group’s net profit grew 4.36% from RM385.39 million in 4QFY20, while revenue slipped 1.33% from RM1.13 billion.
PPB said the increase in profit was mainly attributable to higher contribution from grains and agribusiness segment.
The group said the pandemic will continue to weigh down on both its film exhibition and distribution, and property segments.
“The other main business segments, which are mainly in the production and distribution of staple food and services, are expected to perform satisfactorily, notwithstanding rising grain prices,” it said.
PPB said Wilmar's performance will continue to contribute substantially to the overall profitability of the group.
PPB's share price closed 12 sen or 0.65% higher at RM18.62 today, valuing the group at RM26.49 billion.