Poh Kong posts lower 2Q profit amid gold price fluctuations, slight revenue dip

KUALA LUMPUR (March 21): Dragged by a marginal decrease in revenue as well as gold price fluctuation, Poh Kong Holdings Bhd’s net profit for the second quarter ended Jan 31, 2023 (2QFY2023) fell 12.49% to RM25.68 million from RM29.35 million a year earlier.

Earnings per share slipped to 6.26 sen from 7.15 sen in 2QFY2022, the gold jeweller and retailer’s bourse filing on Tuesday (March 21) showed.

Revenue for the quarter slipped 0.64% to RM403.84 million from RM406.46 million, mainly due to a decrease in demand for gold investment products.

Nevertheless, Poh Kong’s net profit for 2QFY2023 came in 63.92% higher than the RM15.67 million it made in 1QFY2023, as revenue grew 9.04% from RM370.36 million.

For the six months ended Jan 31, 2023 (1HFY2023), Poh Kong’s net profit grew 18.93% to RM41.35 million from RM34.77 million in the same period a year earlier, while cumulative revenue jumped 33.08% to RM774.2 million from RM581.75 million.

Going forward, Poh Kong said it will continuously monitor the impact of current uncertainties to its operations, uphold and honour its financial obligations and evaluate its performance on a continuous basis.

“Barring unforeseen circumstances, the board of directors is confident that the group has put in place adequate measures to meet the challenges ahead for the financial year ending July 31, 2023 (FY2023),” it added.

Shares in Poh Kong ended six sen or 6.15% lower at 91.5 sen on Tuesday, giving the group a market capitalisation of RM375.47 million.