Ann Joo returns to the black

New high for Dagang NeXchange Bhd

PETALING JAYA: Ann Joo Resources Bhd returned to the black in the 2016 financial year, recording RM166.7mil in net profit compared with a net loss of RM135.5mil previously.

The steel maker’s profits were boosted by a strong fourth quarter, which saw revenue come in at RM472.1mil, up 14.1% from a year ago, while net profit stood at RM45.9mil, compared with RM47.7mil in net loss during the same period a year ago.

Its earnings per share for the quarter was at 9.18 sen, compared with a loss per share of 9.52 sen a year ago.

In a filing with Bursa Malaysia, the company said revenue from the manufacturing and trading segments increased during the fourth quarter, mainly attributed to higher tonnages sold and the higher selling prices of various steel products.

Profit for the quarter was boosted by the manufacturing and trading divisions.

“Besides higher revenue due to reasons mentioned above, the significant turnaround was also attributed to vast improvement in the group’s productivity and cost structure as a result of our investment in hybrid Blast FurnaceElectric Arc Furnace technology,” the group said.

For the full year, the company reported RM1.87bil revenue, up 6.2% from RM1.76bil a year ago.

Earnings per share for the period was 33.32 sen, up from a loss per share of 27.06 sen the previous year.

For the period, the group said higher profitability was mainly attributable to a combination of higher revenue, improved cost structure and the effective execution of business strategies.