F&N to monitor impact of SST on prices

Kenanga Research said the implementation of the sugar tax would not be

KUALA LUMPUR: Fraser & Neave Holdings Bhd, the maker of F&N soft drinks and Teapot brand creamer, will monitor the impact of the reintroduction of the sales and services tax (SST) on Sept 1, 2018, on the pricing of its products after reporting a jump in net profit in the third quarter.

The company, told Bursa Malaysia today, net profit in third quarter ended June 30 had jumped 50% to RM104.5mil, boosted by favourable raw material prices.

The company has factories and distribution networks in Malaysia and Thailand.

“In Malaysia, the management will monitor the impact of the reintroduction of the SST on the pricing of the products,” the beverage maker said.

The government, on June 1, had reset the goods and servics tax (GST) rate to zero percent with a plan to replace the unpopular consumption tax with the SST.