PETALING JAYA: Press Metal Aluminium Holdings Bhd’s net profit surged nearly three-fold year-on-year (y-o-y) to RM255.58mil in the second quarter ended June 30, bolstered by higher realised aluminium prices and increased production output.

       For comparison, the group recorded a net profit of RM90.07mil in the same quarter a year earlier.

       Press Metal, the largest aluminium smelter in South-East Asia, told the stock exchange yesterday that its revenue also jumped 52.55% y-o-y to RM2.64bil from RM1.73bil in the previous corresponding quarter.

       Earnings per share in the latest second quarter improved to 3.16 sen, in comparison to 1.12 sen a year earlier. The group has announced a one-sen dividend per share for the quarter.

       Cumulatively, in the first six months of financial year 2021, Press Metal’s net profit more than doubled to RM461.3mil as compared to RM192.63mil in the same period last financial year.

       Press Metal Samuljadi plant

       Revenue, on the other hand, improved by 33.17% y-o-y to RM4.74bil from RM3.56bil.

       The stronger performance in the six-month period was also due to the higher aluminium prices.

       Group chief executive officer Tan Sri Paul Koon said in a statement yesterday that global demand for aluminium, especially billets, increased substantially during the first half of the year compared to the same period of the preceding year.

       He pointed out that aluminium price on the London Metal Exchange continued to be resilient at the current level of above US$2,500 (RM10,565) per tonne.

       Koon said Press Metal’s production volume was not optimised as the group was forced to continue operating under a reduced workforce environment during the pandemic situation.

       “The pace of our phase three ramp-up decelerated accordingly as we put in place precautionary measures to safeguard our employees.

       “Amid these challenges, full commissioning is still expected in the fourth quarter of 2021 and our production volume will increase progressively in tandem.

       “As Malaysia moves toward full vaccination soon, we look forward to a normalised working environment hence higher operation efficiency.

       “Moving forward, we envisage to be on a stronger footing with higher production volume from phase three, healthy aluminium prices and anticipated economic rebuilding,” he said.

       With four more months to go before the second half of the year is completed, Press Metal expects to achieve a “satisfactory result” for the current financial year ending Dec 30.