KUALA LUMPUR (March 5): Magni-Tech Industries Bhd's (KL:MAGNI) net profit for its third quarter ended Jan 31, 2025 (3QFY2025) rose marginally by 1.5% to RM39.97 million from RM39.38 million a year ago, on the back of higher foreign exchange gains of RM4.29 million and lower raw material costs, particularly in the garment segment.

Earnings per share increased to 9.22 sen from 9.08 sen, the company's bourse filing on Wednesday showed.

Revenue slipped 5.5% to RM370.71 million from RM392.19 million in 3QFY2024, mainly due to lower sales orders in both the garment and packaging segments.

The board declared an interim dividend of 3.8 sen per share, up from 3.5 sen last year. Including a special dividend of 20 sen paid in 2QFY2025, the total payout year-to-date stands at 31.8 sen, up sharply from 8.5 sen previously.

For the first nine months of FY2025, Magni-Tech's net profit rose 17.7% to RM110.48 million from RM93.89 million in the previous year’s corresponding period, while revenue climbed 15.4% to RM1.16 billion.

Cumulative earnings per share for the nine months rose to 25.49 sen from 21.66 sen previously.

Garment revenue, which accounted for 94.8% of group revenue, grew 16.9% to RM1.1 billion, supported by higher sales orders. However, packaging revenue fell 5.9% to RM59.76 million, weighed by lower orders.

Looking ahead, Magni-Tech remains cautiously optimistic about its business outlook despite global geopolitical uncertainties and potential inflationary pressures.

The group said it will continue to focus on cost optimisation through automation, process enhancements and modernisation initiatives to preserve margins and competitiveness.

Magni-Tech’s shares closed unchanged at RM2.39 on Wednesday, giving the company a market capitalisation of RM1.04 billion. The stock has fallen more than 5% year to date.