Robust cocoa product demand earnings driver for Guan Chong

According to the International Cocoa Organisation, Q4 grindings data signalled that cocoa demand was strong amid the reopening of the global economy with bean surplus and affordable cocoa beans supporting the increase in cocoa processing activities by chocolate manufacturers. (File pic shows Guan Chong factory.)

PETALING JAYA: Stronger demand for cocoa products amid a resumption of tourism activities has helped boost margin recovery for Guan Chong Bhd.

The cocoa product maker saw the earnings before interest, taxes, depreciation, and amortisation (Ebitda) yield recover to RM1,400 per tonne in the fourth quarter ended Dec 31, 2021 (Q4) compared to RM879 in Q3 thanks to a higher sales ratio and lower input costs.