Cymao earnings rise on higher plywood prices

KUALA LUMPUR: CYMAO HOLDINGS BHD []’s earnings surged to RM2.68 million in the second quarter ended June 30, 2011 from only RM179,000 a year ago, underpinned by an 18% increase in plywood prices.

It said on Monday, Aug 29 the revenue fell 21% to RM26.02 million from RM33.02 million. Earnings per share were 3.17 sen vs 0.24 sen.

“The group’s total sales volume was 14,512 cubic metres including the timber logs of 791 cubic metres, the plywood sales volume was 13,721 cubic metres or 26% lower than the corresponding quarter of the preceding financial year,” it said.

However, Cymao said an improvement in the plywood prices averaged 18% during the quarter as compared with a year ago resulted in 7.7% improvement in the gross profit margin. The group achieved a profit before taxation of RM2.6 million as compared with RM99,000 a year ago.

When compared with the 1Q ended March 31, 2011, it said plywood prices increased by an average of 25% whilst the log prices remained the same during the two quarters.

The group posted profit before taxation of RM2.6 million as compared with RM1.8 million loss in the 1Q.

For the 1H, net profit was RM411,000 compared with net loss of RM891,000 in the previous corresponding period. Revenue fell 21% to RM53.92 million from RM68.41 million.