KUALA LUMPUR: Cycle & Carriage Bintang Bhd (C&C) posted a net profit of RM6.48 million for the second quarter (Q2) ended June 30, 2022, from a net loss of RM1.80 million a year ago.
The company's revenue rose 33 per cent to RM320.58 million in Q2 2022 from RM241.84 million last year.
For the six months ended June 30, 2022, the company recorded a higher net profit of RM15.03 million from RM1.60 million last year.
Revenue for the six months also increased 16 per cent to RM620.6 million compared to RM534.67 million in the same period in 2021.
C&C said in a Bursa Malaysia filing today that this is mainly attributed to a 14 per cent increase in vehicle unit sales and an increase in the after-sales volume by 19 per cent as a result of the removal of all prior movement restrictions.
C&C chairman Wilfrid Foo said that with the reopening of the domestic economy, the company saw increased vehicle unit sales and, notably, aftersales volume.
These developments, along with ongoing cost control initiatives, contributed to the net profit of RM15.0 million in the first half of 2022, said Foo.
According to Foo, due to the government allowing registration of sales tax exempted vehicles until March 31, 2023, a surge in Q2 vehicle bookings took place.
However, he said that despite the increased booking volume, the automotive segment continues to face serious disruption owing to global supply chain challenges.
"These are expected to remain for the rest of the year and are very likely to impact the company's financial performance.
"The company continues to take a long-term view on its strategic goals, focusing on bolstering its capabilities to bring exceptional journeys to customers and employees while staying on track and agile with its business improvement plans," he added.