KUALA LUMPUR – LOTUS KFM Berhad (“LOTUS KFM” or the “Group”), a diversified company specialising in flour milling, trading of starch, chemical, Forest Plantation and biomass raw material solutions, is pleased to announce its financial results for the fourth quarter of the financial year ending 30 September 2024 (“Q4 FY2024”).
For Q4 FY2024, LOTUS KFM recorded a revenue of RM13.8 million, representing a 1.42% increase compared to RM13.6 million in the corresponding quarter of the previous financial year (“Q4 FY2023”). This sequential improvement also marked a 2.94% growth from RM13.4 million recorded in the preceding quarter (“Q3 FY2024”). The increase was primarily driven initial sales from the Group’s biomass operations and steady contributions from its core flour & starch trading business.
Profit Before Tax (“PBT”) for Q4 FY2024 stood at RM0.1 million, a decline compared to RM0.5 million recorded in Q4 FY2023, the lower PBT was mainly due to strengthening of MYR and treatment of stock FIFO policy. The older stocks were purchase at higher exchange rates while the sales price were quoted at spot rate. Revenue however is expected to improve from the biomass segment, the early stages of the biomass segment’s is providing promising contributions, the new business segment is expected to scale in the coming quarters. For the financial year ended 30 September 2024 (“FYE2024”), the Group registered a total revenue of RM50.7 million, down from RM58.5 million in previous financial year FYE2023. PBT for FYE2024 amounted to RM0.1 million due to challenging market conditions in the earlier quarters of the financial year.
Commenting on the results, Datuk Wong Sak Kuan, Vice Chairman of LOTUS KFM Berhad said, “Despite a challenging start to 2024 our Q4 FY2024 results reflect resilience and adaptability. The initial sales from our biomass segment mark an exciting step in our diversification strategy, laying the groundwork for enhanced revenue and profitability in the future. We are committed to further improving operational efficiencies and exploring growth opportunities to create long-term value for our stakeholders.”
Looking forward, LOTUS KFM is optimistic about its prospects, supported by its strategic diversification initiatives, including ventures into sustainable resources such as bioenergy material supplies and forest plantation operations. The Group will continue to leverage its expertise and resources to navigate market challenges and seize opportunities in the coming year.
