QL Resources Q1 earnings up 13% to RM31.4m (7084)

KUALA LUMPUR: QL Resources Bhd's earnings rose 13% to RM31.42mil in the first quarter ended June 30, 2012 from RM27.79mil a year ago, boosted by its marine product manufacturing (MPM) business.

It said on Thursday its revenue increased at a smaller percentage of 8.7% to RM494.36mil from RM454.56mil. Earnings per share were 3.78 sen compared with 3.34 sen.

Elaborating on the financial performance of its core businesses, QL Resources said MPM's current quarter sales increased 30% on-year mainly due to higher contribution from Surabaya fishery operation as well as improved fish landing in Sabah.

“Earnings for the current quarter increased 52% due to the same reason,” it said.

On the palm oil activities (POA), it said the current quarter sales decreased 36% on-year mainly due to lower contribution from own estates, lower FFB processed as well as lower CPO prices. CPO prices were RM3,195 in the quarter just ended compared with RM3,332 a year ago.

QL Resources said the FFB processed fell by 34% on-year as FFB yield in Sabah contracted more than 20% on-year for the last consecutive five months which could be due to laggard effect of 2010 EL Nino weather.

The earnings from the POA fell 57% on-year due to the same reason, it explained.

As for its integrated livestock farming, sales increased 21% on-year due mainly to improved volume of feed raw material traded as well as higher Indonesia's poultry contribution.