Leon Fuat Bhd executive director Calvin Ooi Shang How
KUALA LUMPUR: Leon Fuat Bhd
will remain vigilant on the movement of steel prices and related foreign currencies.
The manufacturer and trader of steel products said it will take proactive measures including negotiating forward contracts, where necessary, as well as prudent inventory management, to reduce any negative impact.
“Our group will also continue to enhance the operating capabilities and efficiencies in meeting customers’ requirements and to ensure timely satisfaction of customer orders while keeping our operating costs at a manageable level.
“In this respect, our board is cautiously optimistic that the group will achieve positive results for the remaining quarters of 2023,” it said in a filing with Bursa Malaysia.
Leon Fuat posted a net profit of RM11.9mil, or earnings per share of 3.48 sen in the second quarter ended June 30, against RM14mil, or 4.11 sen a year ago.
Revenue was lower at RM217.4mil from RM250.9mil last year.
For the first six months, it posted a net profit of RM22.6mil on revenue of RM451.1mil.
“As we move forward into the remainder of the fiscal year, our eyes are set on the future. The upcoming commissioning of Phase 2 of our facilities in early 2024 represents a significant stride in our growth strategy,” executive director Calvin Ooi Shang How said in a separate statement.
“While global economic conditions may present challenges, our robust and diversified portfolio, coupled with our dedication to innovation, positions us strongly to navigate these headwinds. We are encouraged by the underlying strength of our business and remain committed to delivering value to our shareholders.
“Our confidence in our strategic direction is unwavering, and we anticipate positive momentum in the quarters to come,” he added.
