PMB TECHNOLOGY Q1 2022 NET PROFIT SURGES TO RM54.87 MLN

KUALA LUMPUR, May 27 (Bernama) -- PMB Technology Bhd’s net profit for the first quarter ended March 31, 2022 (Q1 2022) surged to RM54.87 million from RM6.63 million posted in the same quarter last year.

Revenue was 87 per cent higher at RM301.97 million compared with RM161.83 million previously.

In a filing to Bursa Malaysia, the company said the better performance was mainly due to higher revenue contribution from the manufacturing and trading segment. 

“Revenue from this segment doubled to RM238.4 million in the current quarter from RM115.1 million recorded in the preceding year’s corresponding quarter.

“The increase in segment profit was attributable to higher metallic silicon price after offsetting higher raw material and operating costs,” it said.

The construction and fabrication segment’s revenue also rose by 36 per cent to RM63.5 million from RM46.7 million, mainly due to the acceleration of progress of certain ongoing projects.

In line with the higher revenue after offsetting higher raw material costs, the segment profit grew five per cent to RM2.0 million in Q1 2022 from RM1.9 million previously.

On prospects, PMB Technology said the impact of the continuing military conflict in Ukraine and the strict containment measures in China due to the recent surge in COVID-19 cases, have resulted in a sharp increase in inflationary pressures which affected the global supply chain, financial market volatility, and dampened global growth.

“Global automotive production continues to be suppressed by the unresolved semiconductor shortage and the ongoing supply chain disruptions. Aggravating the situation are the lockdowns in China’s major car manufacturing hubs which are vital not only for the nationwide supply chains but also global supply chains,” it said.

However, it shared that demand for silicon metal from the chemical and solar photovoltaic (PV) sectors remained robust with global PV markets expected to remain on an upward growth trajectory in 2022 and beyond as global economies continue to pursue diversification and decarbonisation of their energy systems.

“The European Union’s ambitious plans to reduce its dependency on fossil fuels by speeding up the transition to green energy should present opportunities for the industry.

“Nevertheless, in view of the volatility in selling price, foreign currency exchanges, increasing raw materials cost and high logistics costs, the group anticipates a challenging environment in the coming quarters of 2022,” it said.

However, the group added it will continue to focus on strengthening its position and improve its efficiency to stay competitive.

-- BERNAMA