KUALA LUMPUR: Farm Fresh Bhd, enroute to a listing on the Main Market of Bursa Malaysia, posted a net profit of RM11.46mil in the third quarter ended Dec 31, 2021 (3Q22) compared with RM15.1mil posted a year ago.

       Its revenue for the quarter stood at RM116.67mil, down 9.2% from RM128.57mil a year prior.

       The dairy group said the lower earnings and revenue was due to the overall impact of the prolonged Covid-19 pandemic which resulted in dampened economic activity, consumer confidence and levels of household income in Malaysia and the ceasing of raw milk sales by its Australia farm to third parties since end of September 2021.

       Its gross profit margin in 3Q22 improved to 29% from the 25% recorded in the preceding quarter on the back of the price increases by an average of 5% for its chilled ready-to-drink (RTD) milk products in September 2021 and ambient RTD products in December 2021

       For the nine-month period ended Dec 31, Farm Fresh registered a net profit of RM62.2mil, up 154% from RM24.49mil last year, while revenue grew 3% to RM373.9mil from RM362.9mil previously.

       Farm Fresh is scheduled to be listed on the Main Market of Bursa Malaysia on March 22.

       Its market capitalisation works out to approximately RM2.5bil based on the final retail price of RM1.35 and its enlarged share capital of 1,857.9 million shares upon listing.