Highlight PetDag's 4Q net profit surges 206-fold, pays 20 sen dividend

by **Cals** Mon 22 Feb 2016, 02:42

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[size=28]PetDag's 4Q net profit surges 206-fold, pays 20 sen dividend

By Yimie Yong / theedgemarkets.com | February 19, 2016 : 11:49 PM MYT

KUALA LUMPUR (Feb 19): Petronas Dagangan Bhd (PetDag) saw its net profit surge 206-fold to RM92.11 million or 9.3 sen per share in the fourth quarter ended Dec 31, 2015 (4QFY15), from RM445,000 or 0.04 sen per share a year ago, on higher margin contribution from the retail segment and higher other income by RM47.6 million.

In a filing with Bursa Malaysia today, PetDag explained that the higher other income was mainly due to an accounting reclassification from the goods and services tax (GST) implementation which has no profit impact, as well as higher interest income.

Revenue, however, fell 18.9% to RM6.05 billion, from RM7.45 billion, due to a decrease in average selling price and sales volume by 18% and 2% respectively.

The Group also declared an interim dividend of 20 sen per share for the quarter, payable on March 17. This brings its accumulative dividends for the year to 60 sen.

For the full year (FY15), PetDag’s net profit rose 57.5% to RM789.98 million or 79.5 sen per share, from RM501.57 million or 50.5 sen per share in FY14, on higher margin contribution from the retail and commercial segments, and higher other income by RM122.8 million.

Revenue, however, dipped 22.2% to RM25.17 billion, from RM32.34 billion in FY14.

On its prospects, the Group opined the economic and business environment will continue to be challenging in FY16.

“The Group will continue to implement measures such as inventory management strategy, supply and distribution efficiency and operating expenditure management, as well as pursuing ongoing efforts and initiatives to ensure [the] Company remains resilient in the face of a more challenging environment,” it added.

Shares of PetDag closed unchanged at RM25.40 today, for a market capitalisation of RM25.23 billion.
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