MyEG posts 1Q net profit of RM105.94mil

KUALA LUMPUR: MyEG Services Bhd’s net profit for the first quarter ended March 31, 2023 (Q1 FY2023) rose to RM105.94 million from RM84.63 million in the same quarter last year.

In a filing with Bursa Malaysia, the company said its revenue increased 7.08 per cent to RM173.22 million compared to RM161.77 million in Q1 FY2022.

"The RM21.31 million increase in net profit is mainly attributable to an overall increase in revenue from our existing services with higher margins which offset the cessation of revenue contribution from the health screening and quarantine services,” it said.

The better performance was also buoyed by a one-off recognition of fair value gain in investment as a result from the listing of its investment in Agmo Holdings Bhd and contribution from newly launched services from the Zetrix blockchain platform.

The company said the contribution from the sale of Zetrix tokens and increase in foreign worker job matching service due to the uplifting of freeze on foreign worker recruitment also gave a positive impact to its earnings.

Moving forward, the company is cautiously optimistic that the long-term outlook for MyEG remains positive as it continues to introduce innovative services in Malaysia and globally.

MyEG expects to continue introducing innovative services by leveraging on new technologies, specifically blockchain or Web 3.0, in Malaysia as well as globally, to drive its organic growth for the financial year ending Dec 31, 2023 (FY2023).

"With its Layer 1 blockchain platform namely Zetrix coming online, there is a huge potential for MyEG to commercialise innovative services as Web 3.0 becomes widely adopted.

"Furthermore Zetrix has also been integrated with China's national blockchain platform, namely "Xing Huo" which will allow ease of cross border trade to take place and it will be the group's foray into the global market,” it said. - Bernama