KUALA LUMPUR, May 21 (Bernama) — UMW Holdings Berhad’s revenue from Continuing Operations rose 14.9% to RM2,774.8 million, propelled by better showing from all three core business segments. The Automotive segment registered higher vehicle sales in the first quarter of 2019, while improving sales in the heavy equipment business boosted the performance of the Equipment segment. Furthermore, the Manufacturing & Engineering (M&E) segment achieved robust revenue growth on the back of ramping up of fan cases delivery to Rolls-Royce as well as better sales in the auto components business. UMW’s profit before taxation (PBT) from Continuing Operations narrowed to RM140.7 million in the first quarter of the year due to higher depreciation attributable to the new Bukit Raja plant coupled with lower margin in the Equipment segment. Nonetheless, the Group’s consolidated net profit surged to RM86.5 million for the first quarter of 2019 compared to RM74.1 million registered in the same quarter of last year as the losses from the Unlisted Oil & Gas segment significantly reduced.
UMW Holdings Berhad President & Group CEO, Badrul Feisal bin Abdul Rahim said, “Subsequent to our strategic decision to refocus on our three core businesses, we have begun to realise the benefits of some of our key initiatives this year. We will continue to strengthen our presence in the automotive market, especially with our new state-of-the-art assembly plant. Since commercial production began in January, we have introduced the all-new Toyota Vios and Toyota Yaris with high local content to be more competitive in the market. The revival of the major infrastructure projects is expected to spark optimism in the Equipment segment as demand increases. In the M&E segment, KYB-UMW will commence its plant modernisation activities to meet increasing demand, while we continue to ramp-up production of fan cases for Rolls-Royce. We also see potential to explore and penetrate more markets in ASEAN for our very own Grantt brand of lubricants.
