PETALING JAYA: Texchem Resources Bhd’s losses widened to RM2.01mil in its first quarter ended March 31, 2018 from RM575,000 in the previous corresponding period, due to weaker performances from its food and polymer engineering divisions.
In a filing with Bursa Malaysia yesterday, the company said its polymer engineering division was impacted by lower margins on product mix and foreign exchange losses arising from the strengthening of the ringgit against the dollar.
Its food division meanwhile incurred higher losses mainly due to lower landing and higher foreign exchange losses due to the stronger ringgit.
Texchem said revenue in the first quarter dropped to RM274.68mil from RM277.05mil a year earlier.
It said first quarter profit for its industrial division was flat year-on-year, while the restaurant division achieved higher earnings due to higher revenue from Sushi King Restaurants and new concept restaurants.
Commenting on its prospects going forward, Texchem said the industrial, polymer engineering and restaurant divisions are expected to perform better, in line with their continuous effort to improve the operations.