New Hoong Fatt Holdings Bhd has chalked up a higher pre-tax profit of RM7.809 million in the first quarter ended March 31, 2011, up 8.3 per cent, compared with RM7.190 million chalked up in the same period last year.

In a statement today, the company said higher income from the sale of steel scrap contributed to the better showing.

Revenue also increased to RM53.710 million, during the peiod under review, from RM52.845 million previously.

The group expects operating conditions to remain challenging and competitive, it said, adding that rising cost pressures and margin squeeze would remain a challenge for the company.

Barring unforeseen circumstances, the group is optimistic it will continue its positive performance in the current financial year. -- Bernama