UMW Earning Dampened
Filed Under (Business News) by Webmaster on 26-02-2009
Tagged Under : earning, toyota, UMW
UMW Holdings Bhd (4588) posted a net profit of RM116.1mil for the fourth quarter ended Dec 31, lower than the RM143mil recorded a year earlier due to lower vehicle and equipment sales.
But overall revenue for the quarter was higher at RM2.92bil against RM2.69bil a year earlier, the company told Bursa Malaysia.
Earnings per share were 10.73 sen, down 2.87 sen. The group proposed a dividend of 12 sen per share, down 2 sen against the 14 sen dividend paid in the previous corresponding period.
For the full year, UMW’s net profit was RM562.3mil against RM469.1mil in 2007. Revenue was RM12.8bil against RM9.98bil.
The diversified group has forecast lower sales for its Perodua and Toyota vehicles, in line with the expecation of lower vehicle sales this year. “However we expect to retain our market share of 30% and 18% for Perodua and Toyota, respectively,” it said.
UMW also sees a slowdown in its industrial and heavy equipment segment. “We expect sales and margins of our industrial and heavy equipment to be affected by the economic slowdown and the unfavourable foreign exchange rates,” it said.
The group said its oil and gas business will help sustain earnings this year as it has begun to contribute to group profit.
“The challenging business environment resulting from the global crisis and the volatility of foreign exchange rates will impact the profitability of the companies in the group. Nevertheless, the board expects the group’s profit for 2009 to be at acceptable levels, albeit lower than the record 2008 performance,” it said. – The Star
