UMS net profit soars 43% to $50.4m in 9M2021

The profit increase was driven by a revenue jump of 53% YoY to $184m.

SGX-Listed UMS Holdings Limited’s net profit for the first nine months of 2021 (9M2021) soared by 43% to $50.4m.

The company said its 9M2021 net profit already surpassed its FY2020 full-year profit.

Net profit before tax likewise grew, jumping by 49% to $57m compared to 9M2020’s figure of S$38.2 million.

The company said the growth for the first nine months was driven by higher sales which grew 53% year-on-year to $184m; the sustained gross material margin in the third quarter (Q3) of 2021 at 54.4%; and other credits of $3.6m which include the waiver of $3.8m debt and interest payable by Kalf to a related party.

Meanwhile, the company’s net profit attributable to shareholders also leapt 35% to $47.4m from $35.2m in 9M2020, pushing earnings per share to an all-time high of 8.89 cents from 6.60 cents in the first nine months of last year.

With increased revenue and profit, the company has also proposed to reward shareholders with an interim dividend of 1 cent per share, which is up from the 0.5 cents per share dividend paid in Q3 FY2020.

Other areas where the company saw increases include its cash and cash equivalents, which improved to $53.7m by end of September 2021, compared with $47.7m during the previous corresponding period last year.