Samchem rises as much as 13% as 2Q earnings surge on improved margins

Samchem rises as much as 13% as 2Q earnings surge on improved margins
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KUALA LUMPUR (Aug 19): Integrated chemicals and lubricants distributor Samchem Holdings Bhd rose as much as 13.6% this morning after the group’s net profit jumped 119.56% to a record high of RM19.24 million for the second quarter ended June 30, 2021 from RM8.76 million a year ago, on the back of improved profit margins and a reduction in finance costs.

At 9.37am, Samchem pared some of its gains and was up 12.86% or nine sen to 70 sen, valuing it at RM429.76 million. The stock had earlier risen to a high of 85 sen.

Yesterday, Samchem said quarterly revenue rose 84.77% to RM371.56 million from RM201.09 million achieved a year earlier, thanks to higher sales volume in the Malaysia, Vietnam and Singapore markets, with higher average selling prices of chemicals.