KUALA LUMPUR (Dec 26): Teck Guan Perdana Bhd (KL:TECGUAN) said its third quarter net profit fell 34.3% to RM2.39 million from RM3.64 million a year ago, on lower revenue and a net loss on forward currency contracts amounting to RM4.33 million.

Earnings per share for the quarter ended Oct 31, 2024 (3QFY2025) dropped to 5.97 sen from 9.08 sen previously, the Sabah-based oil palm and cocoa planter's bourse filing showed.

Revenue dropped by a quarter to RM68.37 million from RM91.25 million in 3QFY2024 due to lower sales volume.

The group did not announce any dividend for the quarter. 

For the first nine months of FY2025, Teck Guan's net profit rose 17.3% to RM9.79 million from RM8.34 million a year earlier. Nine-month revenue grew 11.2% to RM236.71 million from RM212.94 million. 

Teck Guan said the palm products market continued to experience a tough operating environment in the final quarter of FY2025. As such, the company will continue with its policies to improve yields and productivity.

Despite the headwinds faced, its management is cautiously optimistic on the long term prospects of the palm-based business and will forge ahead with its focus on optimising all business operations, the company said. 

Teck Guan said it had cash and cash equivalents of RM29.9 million as at end-October 2024, more than double the RM14.03 million reported a year ago.

Loans and borrowings, meanwhile, declined 42% to RM14.51 million from RM25.19 million. 

Teck Guan's share price closed one sen or 0.6% higher at RM1.69 on Thursday, giving the company a market capitalisation of RM68 million.  The stock is trading at a trailing 12-month price-earnings ratio of 6.5 times, according to ASKEdge.