KUCHING: Hup Seng Industries Bhd (Hup Seng) registered higher revenue and earnings for the first quarter of 2016 (1Q16).
The company in filing to Bursa Malaysia said 1Q16 net profit improved by 2.8 per cent year-on-year (y-o-y) to RM13.59 million from RM13.23 million recorded in 1Q15.
Hup Seng added 1Q16 revenue grew by 1.8 per cent y-o-y to RM72.41 million from RM71.11 million generated in 1Q15.
Meanwhile, Hup Seng in its accounts notes filed to the stock exchange explained that the higher revenue generated in 1Q16 was attributed to increased demand for its biscuits from the local market which contributed to the positive growth in sales.
The company noted the improved net profit in 1Q16 was driven by higher sales.
Commenting on the group’s prospects ahead, Hup Seng said, “The group expects 2016 to be challenging.
“To prepare for tougher market conditions in the coming year, the group will focus more on productivity improvement in all areas of operation.
“Notwithstanding that, the group will continue to identify investment opportunities for expansion to grow its business,” the company said.
Additionally, Hup Seng revealed that the group’s latest cookies line was installed and commercial run has started last year, a strategy to diversify its product portfolio and keeping in line with the rest of the industry players.
As a move to create better awareness of the new range of products, Hup Seng also said the group has invested on advertising and promotional campaigns in local markets.
