KUALA LUMPUR (July 25): Texchem Resources Bhd (KL:TEXCHEM) — which has businesses ranging from engineering to restaurants — returned to the black after six consecutive quarters of losses, thanks to higher sales across all business divisions, except for its food division, which was dragged down by higher foreign exchange losses in its Myanmar operations.

Net profit for the three months ended June 30, 2024 (2QFY2024) was RM975,000 compared to a net loss of RM6.26 million over the same period a year ago, the Sushi King’s owner said in a filing on Thursday. Earnings per share improved to 0.83 sen against a 5.32 sen loss per share in 2QFY2023.

Revenue for the quarter rose 22.58% to RM294.74 million from RM240.45 million. No dividend was declared for the quarter. The company last declared a dividend of 13 sen per share, amounting to RM15.4 million in FY2022.

For the first half ended June 30, 2024 (1HFY2024), Texchem narrowed its net loss to RM361,000 from RM6.5 million in 1HFY2023, while revenue increased 12.07% to RM570.40 million from RM508.95 million in the same period a year ago.

Following the turnaround profit in 2QFY2024, Texchem executive chairman Tan Sri Fumihiko Konishi assured that the group will continue efforts to improve its financial performance.

“Zooming into our polymer engineering division, the mass production of certain strategic projects, which began in the last quarter of 2023, is gaining momentum and has started to contribute positively to the group,” Konishi said in a statement.

Konishi noted that the food and restaurant divisions remain challenging, but highlighted that the company’s continuous initiatives to address hurdles have started to yield results.

Additionally, the fuel subsidy rationalisation could also affect consumer spending in the near term, the company said.

Shares of Texchem closed half a sen or 0.6% lower to 83.5 sen on Thursday, valuing the company at RM104.90 million.

Uploaded by Magessan Varatharaja