Gross profit increased by 88.3% y-o-y to $14.1 million in line with the higher revenue.
Gross profit margin (GPM) increased by 5.9 percentage points to 28.1% due to higher boat prices and offset by cost increases in the last two years.
Profit before tax stood at $4.4 million, up from the $682,000 loss in the same period the year before.
Earnings per share (EPS) stood at 1.95 cents on a diluted basis.
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As at Dec 31, 2022, cash and cash equivalents stood at $40.7 million.
No dividend was declared for the period.
In its outlook statement, the group says it is anticipating demand for its yachts to soften with the current geo-political uncertainties, the opening up of travel after the pandemic and higher interest costs.
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During the 1HFY2023, the group secured 11 new orders, bringing its net order book to $168.8 million. The net order book will “provide a cushion against economic uncertainty and higher costs for raw materials and freight,” says the group.
“We are pleased to deliver a strong set of results for 1HFY2023. As we fully recovered from the Covid-19 situation in Malaysia, we are starting new initiatives to further streamline production efficiencies and shorten delivery lead times,” says Mark Richards, CEO of Grand Banks.
Referring to the completion of its acquisition of a 13,000 sq ft property adjacent to its service yard in Stuart, Florida, US, Richards adds: “Our recent acquisition in Stuart is a strategic move to enhance our US operations, improve new boat sales, brokerage sales and enhance after-sales service to our customers to solidify our reputation as a world-class luxury yacht builder. We expect these initiatives will, in turn, add long-term value to our shareholders.”
Shares in Grand Banks Yachts closed 1 cent higher or 2.94% up at 35 cents on Feb 13.
