KUALA LUMPUR: Nestlé (Malaysia) Bhd's net profit rose 11.5 per cent to RM148.1 million in the fourth quarter ended Dec 31, 2023 (4Q23) from RM132.85 million a year ago, mainly due to the absence of Prosperity Tax imposed in 2022.
Its quarterly revenue rose 2.3 per cent to RM1.69 billion from RM1.65 billion previously, contributed by positive domestic growth and some correction in export sales against a high baseline last year.
As a result, the group registered a higher earnings per share of 63.16 sen compared to 56.65 sen in 4Q22.
For the full year (FY23), Nestlé Malaysia''s net profit increased to RM659.9 million from RM620.33 million previously, while annual revenue rose to RM7.05 billion from RM6.66 billion.
Chief executive officer Juan Aranols said through the last quarter of the year, the group remained focused on its core mission of delivering high quality foods and beverages meeting the needs and expectations of Malaysians.
"We continued to harness all opportunities to drive demand in a more subdued environment where Malaysians paid increased attention to their spending, and competitive activity remained very intense.
"Our recipe to deliver another quarter of growth remains unchanged: to continue capturing all consumption opportunities across brands and products, leveraging the strength of our existing portfolio, driving innovation and excelling in commercial execution," he said in a statement.
Looking forward in 2024, Aranols said challenges such as currency and commodity price fluctuations may persist, as well as the more subdued consumer sentiment and the impact on the purchasing power following the cumulated inflation of the last couple of years.
He added that the group will continue doing in this context what it has been doing for over 112 years of presence in Malaysia - delivering high quality, great tasting nutritious products that meet the needs and expectations of Malaysians.
"Our investment plans, as planned earlier, are progressing and will set the foundation for further growth in the years to come.
"For the financial year of 2024, we are again confident in delivering resilient performance and meeting the expectations of our shareholders," he noted.
Separately, Nestlé Malaysia announced the appointment of Tan Sri Wan Zulkiflee Wan Ariffin as its new chairman effective May 1.
This will follow the retirement of Tan Sri Syed Anwar Jamalullail, who will step down after the upcoming annual general meeting, marking 15 years at the helm of the board of directors.
With extensive experience spanning over 40 years, Wan Zulkiflee's career includes leadership roles across a spectrum of prominent organisations such as Petroliam Nasional Bhd (Petronas), Malaysia Airlines Bhd and Malaysia Aviation Group Bhd.
He presently serves on the board of trustees at the Razak School of Government and as an adjunct professor at the Kulliyyah of Economics and Management Sciences at International Islamic University Malaysia.