Hume Cement sees return to profit in 1QFY23-24

Malaysia-based Hume Cement reported a MYR48.33m net profit for the 1QFY23-24, ended 30 September 2023 versus a net loss of MYR12.04m in the year-ago period.

Revenues advanced to MYR306.66m in the 1QFY23-24 from MYR206.79m in the 1QFY22-23. The increase was attributed to a revision in the selling price of cement to help offset the rise in energy costs and the higher cement sales volume as the construction sector recovered.

Looking ahead, the company forecasts the construction sector to continue its growth and the rise in development expenditure as announced in the country's Budget 2024 is expected to benefit the cement sector.

“However, the board remains cautious, as the uncertainties arising from geopolitical pressures continue to challenge the cement industry's input costs. The group is increasing its focus to develop sustainable construction materials in this growing economy while continuing its efforts to enhance operational excellence,” the filing to the Bursa Malaysia said.