KUALA LUMPUR, Aug 29 (Bernama) — UMW Holdings Berhad’s (“Group”) profit after taxation and minority interests (“PATAMI”) surged to RM107.2 million for the second quarter ended 30 June 2022 (“Q2 2022”), compared with the loss after taxation and minority interests (“LATAMI”) of RM3.6 million registered in the corresponding quarter ended 30 June 2021 (“corresponding quarter”). Supported by the improved contribution from all three core business segments, Group revenue in Q2 2022 rose by 52.6% to RM3,730.8 million, a strong recovery to the pre-Covid-19 levels. The Group’s improved performance is mainly attributed to the economic recovery under the National Recovery Plan (“NRP”) as opposed to the Full Movement Control Order (“FMCO”) implemented from 1 June 2021 to 15 August 2021 as well as the transition into the endemic phase of Covid-19.
Automotive segment
The Automotive segment’s revenue for Q2 2022 grew by 57.3% to RM3,117.4 million compared with the corresponding quarter, supported by the higher number of vehicles sold which was driven by the sales tax exemption as well as the introduction of new models. In line with the higher revenue and share of profit from an associated company, the segment’s profit before taxation and zakat (“PBTZ”) increased almost six-fold to RM202.9 million. Supported by the strong sales in the first half of the year and the high backlog of orders, the Malaysian Automotive Association (“MAA”) has recently revised upwards its Total Industry Volume (“TIV”) forecast for 2022 to 630,000 units from 600,000 units previously. In addition, the government has further extended the sales tax exemption for outstanding bookings made by 30 June 2022 as long as these vehicles are registered by 31 March 2023. As the ongoing global semiconductor chip shortage continues to ease together with improvements made in the supply chain, the Group is confident of achieving its sales targets for the year.
