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20 February 2023. Monday
KUALA LUMPUR (Feb 20): Computer Forms (Malaysia) Bhd’s net profit dropped 72.8% to RM74,000 for its third quarter ended Dec 31, 2022 (3QFY2023) from RM272,000 a year earlier, due to higher taxes paid.
Quarterly revenue was up 15% at RM8.08 million from RM7.02 million in 3QFY2022 on higher revenue contribution from its commercial printing business segment, the group said in a bourse filing.
The commercial printing segment’s revenue jumped 251.04% to RM1.7 million from RM480,000 as the group secured more service orders from information technology (IT) services projects.
The group’s business forms and data print services segment reported a revenue contribution of RM3.22 million, 3.72% lower from RM3.34 million in 3QFY2022, due to fewer service orders of data printing while the flexible packaging segment’s contribution eased 3.22% to RM3.23 million from RM3.27 million due to decreased orders of printed lamination wraps.
For the first nine months of FY2023, Computer Forms made a loss of RM1.57 million compared to a net profit of RM61.91 million in the same period of FY2022 when there was a non-recurring gain on disposal of properties amounting to RM63.15 million.
Nine-month revenue improved 4.21% to RM21 million from RM20.15 million, with the group’s flexible packaging registering the highest contribution at RM9.67 million.
“The management expects performance in the next financial quarters to remain sluggish in view of the weaker demand and challenging economic environment caused by rising raw material prices, higher oil prices and the stronger US dollar,” said Computer Forms.
Nevertheless, the group has carried out several strategies to mitigate the risks, including penetrating into the electric vehicle industry, relocations of factories and upgrading machinery.
Computer Forms’ share price closed three sen or 1.03% lower at RM2.87, giving the group a market capitalisation of RM766.24 million.
