KUALA LUMPUR (Nov 25): Kitchen cabinet manufacturer Signature International Bhd (KL:SIGN) saw its net profit more than doubled to RM28.3 million for the third quarter ended Sept 30, 2024 (3QFY2024), from RM14.1 million a year earlier, thanks to higher profit margins from project revenue.
Revenue surged 22.1% to RM224.6 million from RM183.9 million a year ago, on the back of the interior fit-out works segment, followed by contributions from the kitchen and wardrobe systems segments under the Corten and Signature brands, a bourse filing read on Monday.
“The kitchen and wardrobe systems segments recorded revenues of RM48.6 million (under the Signature brand) and RM71.4 million (Corten) in the current quarter under review,” the group said.
As a result, earnings per share jumped to 4.5 sen for 3QFY2024, compared with 2.2 sen for 3QFY2023.
The group also declared a dividend of three sen for the quarter, payable on Dec 19.
For the cumulative nine months ended Sept 30, 2024 (9MFY2024), the kitchen cabinet manufacturer posted a net profit of RM44 million, up from RM36.9 million in the same period a year ago, while revenue climbed to RM578.5 million from RM450.1 million for 9MFY2023.
On prospects, the group said it remains optimistic following its recent acquisition of Crown Furniture Trading Sdn Bhd, the owner of the Crownlivin.
Completed on Nov 1, the acquisition marks a step in expanding the group's product portfolio.
Nonetheless, the group's order book remained robust as of Sept 30, with RM160 million for its kitchen and wardrobe system (under the Signature brand), RM649 million for the kitchen and wardrobe system (Corten), and RM301 million for interior fit-out works.
At the time of writing on Monday, Signature International’s share price was up four sen or 2.82% at RM1.46, valuing the group at RM942.43 million.