Lay Hong’s 1Q net profit slips 16.6% to RM11.2mil


KUALA LUMPUR: Lay Hong Bhd expects steady performance ahead after egg subsidies ended on Aug 1, and controlled prices are set to ease by the end of August.

“Given this backdrop, the financial performance for the group going forward should continue to perform satisfactorily in the coming months,” the poultry company said in a filing with Bursa Malaysia.

In the first quarter ended June 30, Lay Hong’s net profit slipped 16.6% to RM11.2mil, or 1.47 sen per share, from RM13.4mil, or 1.78 sen a year earlier, while revenue eased to RM266.1mil from RM273.8mil.

Lay Hong said revenue from its integrated livestock farming (ILF) segment rose 1.8% to RM201.8mil from RM198.2mil, driven by higher sales of live chickens and eggs.

However, revenue from the food manufacturing segment fell 6.3% to RM141.8mil from RM151.3mil, as sales of primary and further processed poultry products declined amid heightened competition.

Lay Hong said revenue from its retail business grew 2.9% to RM60.3mil from RM58.6mil, supported by the opening of new stores.

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