KUALA LUMPUR (May 14): Teo Seng Capital Bhd's (KL:TEOSENG) first quarter (1Q) net profit rose 42.11% to RM34 million from RM19.68 million a year ago, on higher egg sales, improved raw material costs, and government subsidies that eased operational expenses.

Earnings per share for the quarter ended March 31, 2024 increased to 11.59 sen from 6.7 sen previously, the egg producer said in a filing with Bursa Malaysia on Tuesday.

Quarterly revenue rose 3.6% to RM190.1 million from RM183.4 million in the previous January-March period, mainly driven by improved revenue from the poultry farming segment.

Teo Seng declared a first interim dividend of 2.5 sen per share, up half a sen from the same quarter last year, payable on June 3.

Looking ahead, the group said it will continue to focus on its core strength, which is integrated layer farming, along with investing in and trading poultry-related products.

"We believe the long-term outlook of the poultry industry remains intact, driven by eggs being one of the most widely available sources of protein and the country's growing population," the group added, noting that it acquired 104.87 acres of land on Monday (May 13) for RM23.6 million as part of its land bank for future layer farming expansion projects.

Shares in Teo Seng settled five sen or 2.65% lower at RM1.84, valuing the group at RM552.02 million. Year to date, the stock has risen 16.6%.