KUALA LUMPUR (May 18): Bonia Corp Bhd’s net profit more than quadrupled to RM12.5 million for the third quarter ended March 31, 2022 (3QFY22), from RM2.84 million a year ago as revenue strengthened, thanks to the Chinese New Year festival.

The improved quarterly net profit was also due to a low base effect recorded in 3QY21, which was hit by the various lockdown restrictions, including the implementation of the Movement Control Order (MCO 2.0) (from Jan 13 to March 4 last year) and Conditional MCO (from March 5 to March 18 last year).

As a result, the fashioned retailer’s earnings per share ballooned to 6.22 sen per share compared with 1.44 sen a year before, its bourse filing showed.

Revenue for the quarter rose 36.83% to RM86.82 million from RM63.45 million a year ago.

It has declared a single-tier interim dividend of two sen per share, payable on June 16, 2022. This brings total dividends for the cumulative nine-month period ended March 31, 2022 (9MFY22) to seven sen, compared with the previous period’s four sen.

Net profit for 9MFY22 jumped 85.66% to RM27.09 million from RM14.59 million a year ago while revenue gained 10.98% to RM231.87 million from RM208.93 million.

It said the strong set of 9MFY22 net profit was primarily due to strong performance achieved in 2Q22 as a result of the reopening of economic activities in Malaysia and year-end festive shopping. The momentum carried to 3Q22 in conjunction with the Chinese New Year celebrations.

“The strong results in 2Q22 and 3Q22 offset the loss before tax incurred in 1Q22 due to the nationwide lockdown.

“The overall improvement in profit before tax during the current financial period was due to the higher revenue achieved and also the improving gross profit margin from 52.6% to 56.5%,” it added.

Going forward, the board is cautiously optimistic for the remainder of the financial year as a result of the reopening of all economic and social activities in Malaysia and the overseas market.

“In addition, the reopening of Malaysia's international borders for travellers from all countries effective April 1, 2022, and also the Hari Raya Aidilfitri celebrations will benefit the retail industry,” it added.

Bonia’s share price closed up 13 sen or 5.22% at RM2.62, giving it a market capitalisation of RM528 million.

Year to date, the share price has soared 162% from RM1 on Jan 3 this year.