Pelikan 3Q profit registers RM4.3m

by **Cals** Tue 26 Nov 2013, 05:15

Business & Markets 2013

Written by Jeffrey Tan of theedgemalaysia.com

Monday, 25 November 2013 20:32

KUALA LUMPUR (Nov 25): Pelikan International Corporation Bhd’s net profit registered RM4.3 million in the third quarter ended Sept 30, 2013, from a loss of RM9.4 million a year ago. In the second quarter this year net profit stood at RM8.7

Pelikan’s revenue however fell 5% y-o-y to RM406 million from RM428 million.

In a statement to the stock exchange, the stationery company said the profit was attributed to lower cost base arising from restructuring measure undertaken last year.

It said profit was also contributed by less restructuring expenses incurred in the reviewed quarter as apposed to the previous corresponding quarter.

Pelikan said the revenue decline was due to the sales effects of the filing plants and private label filing business last year, of which approximately RM30 million sales were no longer consolidated.

Further to that, the firm said product rationalisation within the group had also contributed to the decline.

For the nine-month period, profit posted RM4 million versus a loss of RM7 million a year earlier, while revenue recorded RM1.119 billion from RM1.273 billion in the previous corresponding quarter.

Going forward, Pelikan said the group’s efforts to reorganise its product offerings, supply chain and distribution channels within its key operating companies in the European region has intensified.

It expects to provide the group with a better operating base and structure to meet the challenges within the market.