KUALA LUMPUR (May 18): Total logistics provider CJ Century Logistics Holdings Bhd saw its net profit for the quarter ended March 31, 2023 (1QFY2023) more than halved from the corresponding quarter’s earnings to RM3.75 million, mainly due to freight rates normalisation and less business volume.

Earnings per share (EPS) fell to 0.64 sen during the quarter compared with 1.6 sen per share in the quarter ended March 31, 2022 (1QFY2022).

The lower earnings were on the back of weaker performance across its total logistics services segment, with almost all of the businesses recording double digit declines on a year-on-year basis during the quarter.

Groupwide, CJ Century’s revenue during the quarter of RM219.6 million was 9.6% lower compared with the revenue in 1QFY2022.

On the other hand, its procurement logistics services segment continued to shine. The segment recorded revenue of RM79.54 million in 1QFY2023 which was 75.5% higher than the RM45.32 million recorded in the corresponding quarter, due to higher export volumes handled.

Export revenue improved to RM61.33 million during the current financial quarter, from RM24.89 million recorded during the corresponding period in the previous financial year.

On a quarter-on-quarter basis, CJ Century’s revenue was 7% higher compared with the RM204.5 million recorded in the immediate preceding quarter. However, its profits during the quarter were still lower compared with those recorded in the fourth quarter of FY2022.

Nevertheless, CJ Century continued to be positive on its outlook.

The group said that it will continue to expand in automation and digitalisation, and can expect to leverage on the expertise of its parent company, CJ Logistics Corporation, in terms of digital technologies, artificial intelligence and automation.

“This has strengthened our integrated logistics operations and enabled us to improve customer and supply-chain communications and connectivity. We will continue to invest in technological advancements to remain at the forefront of the logistics industry in Malaysia,” the group said.

No dividend was recommended by the board for the quarter.

As at the close of Thursday, CJ Century traded at 48 sen per share, valuing the group at RM285.23 million.