KUALA LUMPUR (Nov 24): Evergreen Fibreboard Bhd share price jumped as high as six sen or 11% to intraday high of 60 sen today, after the Medium density fibreboards (MDF) maker turned profitable in the third quarter financial year ended Sept 30 (3QFY14), after six consecutive quarters of losses.
The stock retreated slightly in late afternoon trading session to close at two-month high of 59.5 sen, up 5.5 sen or 10.2% today, with 2.75 million shares changing hands, giving it a market capitalisation of RM277.01 million.
Evergreen Fibreboard announced net profit of RM10.08 million in 3QFY14, compared with net loss of RM8.13 million in the previous corresponding quarter.
According to the group’s filing to Bursa Malaysia on Nov 21, earnings were boosted by lower log and glue cost.
Its revenue came in 0.22% higher at RM234.49 million in 3QFY14, from RM233.98 million in 3QFY13, which the group attributed to a higher average selling price for its products.
Earnings per share (EPS) for 3QFY14 was at 1.96 sen per share, compared with loss per share of 1.59 sen in the previous corresponding quarter.
Third quarter’s earnings has helped to narrow the company’s accumulative losses for the nine months ended Sept 30, 2014 (9MFY14). It posted net loss of RM14.19 million, compared with net loss of RM36.03 million recorded in the previous corresponding period.
Revenue for 9MFY14 was up marginally by 0.5% to RM689.82 million, as compared to RM686.62 million a year ago, which the group attributed to the increase in average selling price of its MDF products.
Loss per share for the nine month period narrowed to 2.77 sen in 9MFY14, from 7.02 sen in the same period a year ago.