Revenue increased by 9.2% y-o-y to $44.1 million due to the contribution of the group’s healthcare segment after it acquired Pastel Glove. The higher revenue was also attributed to higher sales from the group’s recycling business.
Gross profit, on the other hand, fell by 36.0% y-o-y to $5.9 million, which led to a lower gross profit margin (GPM) of 13.4%, down 9.4 percentage points y-o-y.
Meanwhile, profit before tax increased by 6% y-o-y to $6.0 million as other income grew by 73% y-o-y to $11.0 million. The higher other income was due mainly to provision of guaranteed income and higher fair value gain on investment properties.
During the year, the group posted a share of loss of associate of $227,000 compared to the previous year’s profit of associate of $516,000.
See also: Jardine Matheson posts loss of US$468 mil, but underlying net profit stood at US$1.47 bil
Earnings per share (EPS) stood at 0.15 cents.
As at Dec 31, 2022, cash and cash equivalents stood at $13.7 million.
A final cash dividend of 0.1 cent per share has been declared, payable on June 8. The dividend represents a payout ratio of 66.7% of the group’s FY2022 earnings.
In its statement, the group says it remains “optimistic” about its future growth trajectory in e-waste recycling and healthcare segments. It adds that is also optimistic about the structural growth of the rubber glove industry post-consolidation. According to the Malaysia Rubber Glove Manufacturers Association, the group notes that normalisation of the glove supply-demand equilibrium will occur within six to nine months, while global demand for rubber gloves is projected to grow at 10% to 12% per year.
“As we continue to navigate through a period of economic volatility, we are proud to deliver continued revenue growth in our e-waste recycling segment. The rapid expansion of our retail pharmaceutical brand and our on-going strategic collaborations with healthcare providers in Malaysia reaffirms our commitment to improving the region’s health infrastructure. We are optimistic about the outlook of our core businesses and believe it will unlock sustainable returns for our shareholders,” says Raymond Ng, executive chairman of Enviro-Hub.
Shares in Enviro-Hub closed flat at 3.5 cents on Feb 22.
