KUALA LUMPUR (Jan 27): Hextar Industries Bhd registered a net profit of RM4.01 million in the three months ended Nov 30, 2022, up 29.8% from RM3.09 million in the immediate preceding quarter (three months ended Aug 31), mainly due to better profit margin achieved from the products’ sales mix.

Gross profit margin improved to 18% from 14% previously, the group said in a Bursa Malaysia filing.

This was despite revenue decreasing 6.9% to RM57.16 million from RM61.4 million amid lower delivery of fertilisers, and lower sales from the trading of industrial battery.

There is no comparative year-ago quarter as the group recently changed its financial year end from Aug 31 to Dec 31.

For the fifteen months ended Nov 30, Hextar Industries posted a net profit of RM12.87 million on a revenue of RM314.97 million.

Last December, Hextar Industries completed the acquisition of Hextar Fertilisers Ltd Group.

With this new fertiliser group, Hextar Industries' annual capacity of compound fertilisers will increase eight-fold to 670,900 metric tonnes, according to its managing director Benny Ang.

“This will support our strategy to expand our core fertiliser business nationwide. We are looking forward to our financial performance in the coming quarters and we are very excited about the prospects of the group,” Ang added.

On Friday, Hextar Industries finished up half a sen or 0.63% to 80 sen, with some 5.88 million shares changing hands. At the closing, the group is valued at RM2.2 billion.