KUALA LUMPUR (Oct 19): Palette Multimedia Bhd recorded a second consecutive profitable quarter in its first quarter ended Aug 31, 2017 (1QFY18), with a net profit of RM3.03 million, from a net loss of RM516,000 last year, as its recent Russian venture provided a huge boost in revenue.

Quarterly earnings per share (EPS) subsequently rose to 0.95 sen, from 0.16 sen of losses per share in 1QFY17.

In a filing with the bourse today, the firm said revenue in 1QFY18 rose 34 times to RM7.84 million, from RM222,000 in the same period a year ago.

Almost all of its revenue in the period — some 99.97% — was contributed from its Russian venture first entered in March this year, compared with the same period last year (1QFY17), which was supported solely by its Malaysian business.

Palette said the company will be profitable in its financial year ending May 31, 2018 (FY18), having been profitable in this quarter and the previous one.

“In additional to its early adoption by hospitals and doctors in the China market and other Asian countries, the company has made successful penetration into the Russia market,” the filing said.

“The company has effectively combined the latest innovative technologies: medical technology, artificial intelligence (AI) and “Big Data” in mobile health system “imedic'. The power to be unleashed from these three technologies could be enormous.

“The company will continue to invest in the innovation and development of its next generation of ‘imedic’ with extensive AI technologies performing analytic on the Big Data of the patients and make useful recommendation of diagnosis and treatment plan to the doctors and patients,” Palette added.

At 5pm, shares of Palette Multimedia closed 12.5% or 5.5 sen lower at 38.5 sen, with 55.89 million shares traded, giving it a market capitalisation of RM125.81 million.