Posted on 21 Feb 2023
Southern Steel Bhd posted a net loss of RM 61.72 million for the second quarter ended Dec 31, 22 (2Q23) due to depressed selling prices resulting in lower margins.
Its revenue in the same quarter dropped 13% to RM578.58 mil from a year earlier, it said in an exchange filing on Monday.
For the first six months, the company posted a net loss of RM125.17 million, compared to a net profit of RM66.34 million in the same period the year before, on the back of RM1.15 billion in turnover.
The Penang-based company also announced loss per share (EPS) 10.18 sen versus earnings per share of 5.74 sen a year earlier.
On its prospects, it said steel prices and demand showed signs of revival from the loosening of Covid-19 regulations across China which may improve global steel demand.
Domestically, the group is optimistic that the easing of foreign workers hiring will lead to increased activities in the construction industry.
Southern Steel shares ended yesterday’s trading 2 sen up 59 sen, valuing the company at RM3521 million.
Source:The Malaysian Reserve
