Cropmate posts RM3.5mil net profit on RM45.7mil revenue in Q2
The company recorded revenue of RM45.7 million during the quarter, with local sales contributing about 96.9 per cent to the total.
Cropmate achieved a gross profit margin of 17.5 per cent for the period.
It said pre-tax profit stood at RM4.6 million, compared with RM5.0 million in the preceding quarter, as revenue slipped 5.9 per cent due to lower sales volume of fertilisers.
Cropmate said its performance was mainly underpinned by sales to oil palm plantations and durian orchards.
Looking ahead, the company said demand for fertilisers is expected to remain largely dependent on the performance of the plantation and food crop sectors.
It added that any changes in political, social and economic conditions, including tariffs or trade restrictions, could affect demand and disrupt supply chains.
Cropmate managing director Lee Chin Yok said the company remains committed to enhancing operational efficiency, helping customers boost productivity, and driving its growth initiatives.
The company had used RM23.2 million from the RM42 million raised through its initial public offering.
The proceeds were channelled towards working capital, capital expenditure and listing expenses.
Cropmate said it is advancing its strategic expansion plan, which includes the proposed acquisitions of Factory Lots 8949 and 8950 and the planned disposal of Lot 51.
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