KUALA LUMPUR: Fraser & Neave Holdings Bhd (F&N) net profit rose to RM536.90 million for the financial year ended Sept 30, 2023 (FY2023) from RM383.21 million last year, bolstered by festive sales and out-of-home consumption, as well as contributions from snack and candy maker Cocoaland Holdings Bhd.
The company has recommended a dividend of 50 sen per share — comprising a final dividend of 33 sen and special dividend of 17 sen."Subject to shareholders' approval at the forthcoming annual general meeting, the total dividend for FY2023 would amount to 77 sen per share, bringing the total dividend payout to RM282.4 million," it added.
Revenue increased to RM5 billion for the same corresponding year against RM4.47 billion previously, as markets recovered and the price management strategies implemented since last year took effect, it said in a filing with Bursa Malaysia Securities Bhd.
F&N also benefited from an expanded revenue stream following the acquisition of Cocoaland on Nov 4, 2022.
For the fourth quarter of FY2023, F&N posted net profit rose to RM137.56 million from RM98.89 million in 4QFY2022, while revenue increased to RM1.24 billion from RM1.14 billion.
The improved quarterly earnings was due to margin recovery in the F&B Thailand segment, sustained sales momentum in F&B Malaysia, Cocoaland's contributions, and helped by favourable Thai baht to ringgit exchange.
Going forward, it said while challenges, including commodity price fluctuations and inflationary pressures continue to affect consumer demand, the company is confident in its ability to adapt and protect its margins.
The company will remain vigilant in the uncertain environment, leveraging its diversified brand portfolio, businesses and geographical presence to proactively navigate the challenges.