KUALA LUMPUR (Feb 25): Leong Hup International Bhd’s (KL:LHI) net profit rose 72.6% to a fresh record high of RM140.84 million in the fourth quarter ended Dec 31, 2024 (4QFY2024) from RM81.6 million a year ago, driven by stronger contribution from its livestock and poultry-related products and lower finance costs.

Its previous highest quarterly profit of RM135.02 million was achieved just in the immediate preceding quarter.

Quarterly revenue, however, fell 4.1% year-on-year (y-o-y) to RM2.32 billion from RM2.41 billion, due to lower contributions from the feedmill segment, mainly in Indonesia, Vietnam and Malaysia, the group said in its exchange filing.

No dividend was proposed for 4QFY2024.

Leong Hup said revenue for the livestock and poultry-related products segment rose 11.1% to RM1.4 billion from RM1.26 billion  a year ago, driven by higher average selling prices of day-old chicks and broilers in Indonesia and Vietnam, as well as higher sale volume of broilers in Indonesia. The segment’s earnings before interest, tax, depreciation and amortisation (Ebitda) surged 146.3% to RM205.99 million from RM83.63 million.

The feedmill segment’s revenue declined 20.7% y-o-y to RM908.82 million from RM1.15 billion, due to lower average selling price and sales volumes in Indonesia, Vietnam and Malaysia. The segment’s Ebitda fell 30.5% to RM158.53 million from RM 228.16 million.

Leong Hup's finance costs fell 20.2% to RM29.26 million from RM36.66 million in 4QFY2023.

For the full year, Leong Hup said net profit increased 42.2% to another record high of RM428.93 million from RM301.74 million in FY2023. Meanwhile, full-year revenue declined 2.4% to RM9.31 billion from RM9.54 billion.

The group said the recent strengthening of the US dollar has reduced the cost relief from lower feed input prices. However, it expects to achieve a satisfactory performance for FY2025.

Shares of Leong Hup closed down 1.5 sen or 2.4% to 61 sen on Tuesday, giving the group a market capitalisation of RM2.23 billion. The stock has fallen 21% from its recent peak of 77 sen on Oct 7, 2024.