KUALA LUMPUR (Nov 16): Amway (Malaysia) Holdings Bhd’s net profit rose 19.8% to RM25.77 million in the third quarter ended Sept 30, 2011 from RM21.51 million a year ago as it benefited from higher sales and improved gross margins due to the favourable foreign exchange impact.
It said on Wednesday that revenue rose at a slower pace of 5.4% to RM211.52 million from RM191.50 million while earnings per share were 15.68 sen compared with 13.08 sen.
“Despite the strong third quarter sales performance, the fourth quarter operating environment is expected to be more challenging due to weaker consumer sentiment arising from continuous uncertainty in global economic outlook. As a result, the group expects to achieve minimal growth in sales revenue for the current financial year,” it said.
Amway said its gross profit was RM73.53 million, after deducting of cost of sales of RM137.98 million from the revenue of RM211.52 million.
For the third quarter ended Sept 30, 2010, the gross profit was RM58.43 million, after deducting RM133.07 million as cost of sales from the revenue of RM191.50 million.
However, selling and administrative expenses for the quarter ended Sept 30, 2011 was higher at RM31.78 million compared with only RM20.99 million a year ago.
Amway declared a third interim single tier dividend of 9.0 sen net per share and special interim single tier dividend of 30.0 sen net per share for the financial year ending Dec 31, 2011.
Its nine-month earnings increased by 8.4% to RM65.05 million from RM60 million while revenue rose 3.4% to RM553.44 million from RM535.31 million.
It said on Wednesday that revenue rose at a slower pace of 5.4% to RM211.52 million from RM191.50 million while earnings per share were 15.68 sen compared with 13.08 sen.
“Despite the strong third quarter sales performance, the fourth quarter operating environment is expected to be more challenging due to weaker consumer sentiment arising from continuous uncertainty in global economic outlook. As a result, the group expects to achieve minimal growth in sales revenue for the current financial year,” it said.
Amway said its gross profit was RM73.53 million, after deducting of cost of sales of RM137.98 million from the revenue of RM211.52 million.
For the third quarter ended Sept 30, 2010, the gross profit was RM58.43 million, after deducting RM133.07 million as cost of sales from the revenue of RM191.50 million.
However, selling and administrative expenses for the quarter ended Sept 30, 2011 was higher at RM31.78 million compared with only RM20.99 million a year ago.
Amway declared a third interim single tier dividend of 9.0 sen net per share and special interim single tier dividend of 30.0 sen net per share for the financial year ending Dec 31, 2011.
Its nine-month earnings increased by 8.4% to RM65.05 million from RM60 million while revenue rose 3.4% to RM553.44 million from RM535.31 million.
