Press Metal makes RM150mil net profit in Q1

KUALA LUMPUR: Press Metal Aluminium Holdings Bhd says it has put in place “control measures” to smooth out wild swing in prices after net profit improved slightly in the first quarter.

Earnings rose to RM150mil in the three months ended March 31 from RM148mil made a year earlier.

The price of aluminium dropped 12% in the first quarter only to surge by more than 30% in April before slumping again as the market reacts to sanctions imposed by the US on a major Russian producer.

“The company recognises that there will be continuous shifts and reactions in global aluminium markets caused by unsettled development from US sanctions,” Press Metal said in a filing with Bursa Malaysia today.

It said recent production volume disruption from Brazil has caused sudden spike in alumina prices.

“The management is closely monitoring the changing market landscape and has control measures in place, to respond to price volatilities on both aluminium and raw material fronts,” it said.

It added that such external shocks have proven the resilience of aluminium prices which could benefit the company.

“Looking forward, we are focusing on streamlining our acquisition of Leader Universal Aluminium and expanding our value-added capacity,” it said.

Corporate News , Press Metal , aluminium