MPI posts higher earnings in 2Q22

MPI group managing director Manuel Zarauza

KUALA LUMPUR: Malaysian Pacific Industries Bhd’s (MPI) net profit rose 27.3% to RM85.32mil in the second quarter ended Dec 31, 2021 (2Q22) from RM67.04mil a year ago.

Revenue in 2Q22 continued to grow consistently and improved by 26% year-on-year to RM608mil from RM483.93mil a year prior. Its earnings per share stood at 43 sen in 2Q22 versus 33.87 sen last year.

For the first six months to Dec 31, 2021, MPI posted a net profit of RM167mil on revenue of RM1.19bil.

Group managing director Manuel Zarauza said the group continued to make strategic investments in facility expansion, automation, equipment purchase and upgrades, and manpower hiring and training.

“Compared to 2Q21, we tripled our capex, taking it to RM310mil in 2Q22. Amidst this, the cost prudence measures in place ensured that our financial position remained healthy with a net cash of RM890mil as of 2Q22,” he said in a statement.

“This growth is a result of focused strategy execution as we continue to navigate through a difficult and unpredictable operating environment due to Covid-19, geopolitical issues, business travel restrictions, manpower constraints, raw material price rises, and long delivery lead times for equipments and materials,” he added.