Cahya Mata Sarawak reports 24% revenue growth in first nine months of 2023

Significant increase attributed to contributions from cement, oiltools divisions

10:30 PM MYT

 

KUALA LUMPUR – Bursa-listed Cahya Mata Sarawak Bhd (Cahya Mata) has reported a substantial 24% revenue growth for the first nine months of this year.

In a statement, Cahya Mata said it recorded a total revenue of RM868.09 million for the period ended September 30, 2023 (PE2023), marking a substantial 24% increase compared to the corresponding period in 2022 (PE2022), which saw revenues of RM702.17 million.

“Cahya Mata’s revenue increased mainly due to higher contributions from the Cement and Oiltools Division,” it said.

Cahya Mata is a multinational conglomerate with a diverse portfolio of over 35 companies across various sectors, including cement, road maintenance, property development, oiltools, environmental technology, phosphate manufacturing, and strategic investments.

Despite the revenue growth, the group’s profit before tax from operations experienced a decline, totaling RM98.28 million in PE2023 compared to RM307.01 million in PE2022. 

It said the decrease in PBT was influenced by several factors, including one-off gains in the previous year and a 66% reduction in profit contributions from associates, now excluding a disposed associate as of December 2022.

The Cement Division reported an 8% increase in PBT, reaching RM90.50 million in PE2023, attributed to higher sales and lower input costs. 

In contrast, the Road Maintenance Division witnessed a decrease in PBT to RM5.11 million, primarily due to lower sales and gross profit. 

The Property Development Division reported a lower PBT of RM6.66 million, mainly due to slower property sales and no land sales in PE2023. 

The Phosphates Division reported a higher loss before tax of RM99.10 million, reflecting the completion of the construction stage in PE2022, the group said.

The Oiltools Division contributed a PBT of RM25.80 million in PE2023, compared to RM62.98 million in PE2022.

Cahya Mata’s total assets were RM4.47 billion as of PE2023, with shareholder funds totaling RM3.45 billion. The group maintains a healthy cash position of RM524.49 million and a net asset per share of RM2.99.

“The board of directors continues to hold a longer-term view that infrastructure and rural development activities will remain active,” it said 

“Cahya Mata expects to benefit from the strong economic growth in Sarawak.” – November 29, 2023

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