KUALA LUMPUR: CTOS Digital Bhd, which saw its net profit jump 62.4% to RM12.47mil in the first quarter ended March 31 (1Q22), has declared a first interim dividend of 0.325 sen per share.

       The dividend will be paid on June 10 and the ex-date is on May 12. The total payout amounts to RM7.5mil, representing a payout ratio of 60.2%.

       Its revenue rose 12.4% to RM42.7mil in 1Q22 compared with RM38mil posted a year ago, bolstered by improved performance from all three customer segments.

       CTOS said its share of profits of associates increased by 45.8% to RM2.4mil, contributed by Juris Technologies Sdn Bhd (JurisTech) which was acquired in March 2022 and higher profit from Business Online Public Company Limited (BOL).

       CTOS Digital currently holds 49% stake in JurisTech and 24.83% stake in BOL.

       CTOS deputy group chief executive officer Eric Hamburger said the group delivered strong financial results in 1Q22 despite the lingering impacts from the pandemic.

       “Momentum is expected to ramp up as the year progresses. The recently conducted RAM-CTOS Business Confidence Index (BCI) Survey points to positive domestic business sentiments with the re-opening of the economy.

       “We are also seeing increased activities with our subscribers pulling 17% more business credit reports since the start of 2022 compared to the same period last year,” he said in a statement.

       “We are confident of delivering solid performance in 2022 supported by BAU growth, expansion into new verticals and reaping the harvest from our value accretive acquisitions.

       “Our acquisition of 49% equity interest in fintech player, JurisTech was completed in March 2022,” Hamburger said, adding that the group was still in an acquisition mode and would continue to look for opportunities within the Asean region as well as within Malaysia to create additional value.

       “With our cash position of RM42.4mil and low net gearing, we have the flexibility to fund more acquisitions,” he said.

       Meanwhile, the board has announced the retirement of Dennis Martin as group CEO effective April 30.

       He will continue to serve on the board of CTOS Digital and re-designated to non-independent non-executive vice chairman effective May 1, 2022.

       Hamburger, who joined CTOS in September 2021 as the deputy group CEO, will take over as the new group CEO effective May 1.