KUALA LUMPUR (May 21): Egg producer LTKM Bhd’s (KL:LTKM) net profit jumped 91.25% to RM17.86 million in fourth quarter ended March 31, 2024 (4QFY2024) from RM9.34 million a year earlier, thanks to fair value gain on investment properties.

As such, the group’s earnings per share increased to 12.48 sen from 6.52 sen, according to its filing with Bursa Malaysia on Tuesday.

The group told the stock exchange that it carried out valuation in March via independent valuer Laurelcap Sdn Bhd on its non-current assets in accordance to its accounting policy, giving rise to net fair value gain of RM4.1 million net of deferred taxation.

Quarterly revenue, meanwhile, slipped 5.45% to RM61.27 million from RM64.81 million due to lower average selling price of eggs as well and lower egg subsidies received from the government.

Looking ahead, LTKM anticipates that the upcoming financial year will be challenging due to an increase in egg supply, which is expected to result in lower egg prices. However, the cost of major raw materials, particularly corn, has moderated and may help reduce production costs, it said.

“Nonetheless management shall continue to focus on operational efficiencies and take strategic approaches in managing the challenges on the business operations,” the group added.

For the full FY2024, the group’s net profit surged 184% to RM58.57 million from RM20.63 million in the previous year, while revenue increased slightly to RM257.69 million from RM257.27 million.

Shares of LTKM closed unchanged at RM1.53 on Tuesday, valuing the group at RM218.96 million. Year to date, the counter has risen by over 18%.