Malaysian aluminium giant Press Metal Aluminium Holdings Bhd. has reported that its net profit for the second quarter of the financial year ended June 30, 2022 (Q2 FY2022) escalated by 60.1 per cent to RM409.17 million against RM255.58 million in the same quarter previous, boosted by enhanced revenue and contribution from subsidiary companies.
A filing on the stock exchange revealed Press Metal's revenue increased by 51 per cent to RM4.01 billion from RM2.64 billion in Q2 FY 2021, primarily due to an increase in metal prices and production output as its Phase 3 smelter became operational in October 2021.
With three decades of experience in the aluminium industry chain, Press Metal stated, "The strengthening of the US dollar also contributed to the increase as the group's revenue is mainly denominated in US dollar."
During the first half of FY2022, its net profit surged 80 per cent to RM830.19 million from RM461.30 million. It improved 67.2 per cent on revenue to RM7.93 billion versus RM4.74 billion previously. In the current year, metal prices and production volumes increased, resulting in higher revenue and profitability.
Tan Sri Paul Koon, the GCEO of Press Metal, said, "Aluminium market fundamentals should be able to sustain any aggressive challenges as soaring energy prices and power shortages are putting supply in check, especially in Europe."
"In Asia, the extreme weather experienced by India and China is another supply risk for primary capacity as governments seek to prioritise electricity supply to households."
"For the remainder of the year, in addition to improving production efficiency, the group will continue to take advantage of the pockets of growth from various markets in the regional countries," Koon added.
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