KUALA LUMPUR: Hextar Industries Bhd registered a net profit of RM232,000 in the fourth quarter (Q4) ended August 31, 2021, from a net loss of RM4.31 million a year earlier.
In its filing with Bursa Malaysia today, the company said revenue decreased 19.5 per cent to RM29.96 million in Q4 from RM37.22 million last year due to the Enhancement Movement Control Order (EMCO) imposed by the government.
For the full financial year ended August 31, 2021b (FY21), the company registered a net profit of RM1.64 million from a net loss of RM8.00 million in FY20.
The company achieved higher revenue of RM123.0 million in FY21 compared to RM121.3 million in FY20, an increase of RM1.8 million or 1.4 per cent.
"The increase in revenue was mainly due to the new stream of revenue generated from the trading of industrial batteries in the equipment rental segment," its aid.
On prospect, the company said the demand for its fertiliser is mainly driven by the growth of the agriculture industry, particularly in the oil palm plantations.
"The crude palm oil (CPO) futures prices have been steadily climbing above the record high of RM5,000 (per tonne) as a result of tight supply-demand dynamics.
"With the favourable CPO price, the smallholders and individual planters will have better purchasing power for the application of fertilisers.
"Barring any unforeseen circumstances, our strategy to expand the core fertiliser business beyond the primary market in Sarawak should augur well for the long-term prospect of the company," he said.
On its heavy equipment segment, the company said the availability and growth in infrastructure development in Malaysia would drive the growth of mining and quarrying activities.
Meanwhile, the company said that more than 90 per cent of the adult population in Malaysia had completed their Covid-19 vaccination under the National Immunisation Program, the recovery of outdoor activities and events is expected in the near term.
"The company's equipment rental division has also ventured into the trading of industrial batteries and its accessories in mid-2020 to mitigate the impact of Covid-19," it added.