KUALA LUMPUR (July 25): Plastic material and resin manufacturer Luxchem Corp Bhd's (KL:LUXCHEM) net profit for the second quarter ended June 30, 2024 (2QFY2024) jumped 30%, thanks to higher contributions from both trading and manufacturing activities.

Net profit for the three months totalled RM12.2 million or 1.14 sen per share, compared with RM9.42 million or 0.88 sen per share over the same quarter a year ago, Luxchem said in an exchange filing. Revenue rose 33% year-on-year to RM210.2 million from RM157.6 million.

On its outlook, Luxchem said it will continue to improve its productivity and efficiency to face external uncontrollable factors and challenges.

The company flagged key challenges such as exchange rates, raw material price fluctuations, raw material demand and supply situations, stiff competition, and ongoing global geopolitical conflicts.

Luxchem also declared a single-tier interim dividend of 0.8 sen per share, payable on Aug 30.

For the first half ended June 30, 2024 (1HFY2024), the group's net profit rose 40% to RM23.8 million from RM16.9 million for 1HFY2023, buoyed by both the trading and manufacturing segments. Revenue grew by 27% to RM393.3 million from RM310.4 million.

At Thursday's market break, Luxchem shares were traded unchanged at 57.5 sen, giving the group a market capitalisation of RM615.17 million. Year to date, the stock has risen 13.4%.