Jardine Cycle & Carriage (Jardine C&C) C07 reported earnings of US$648 million ($868 million) for the 1HFY2023 ended June, 33% higher than earnings of US$487 million in the corresponding period the year before.
The higher earnings were attributable to non-trading items which saw a profit of US$65 million compared to the US$35 million loss in the year before. Non-trading items are unrealised gains or losses from the revaluation of the group’s equity investments.
For the six-month period, the group’s underlying earnings (or underlying profit attributable to shareholders) grew by 12% y-o-y to US$583 million.
This was due to higher contributions from Astra and Direct Motor Interests. Astra contributed US$543 million to the group’s underlying profit, marking a 17% increase y-o-y while Direct Motor Interests contributed US$35 million, 22% higher y-o-y. Astra saw improved performances from most of the group’s businesses while Direct Motor Interests saw higher profits from the Malaysia operations and Tunas Ridean in Indonesia.
THACO contributed US$15 million, 72% lower y-o-y mainly due to lower automotive profits.
Other strategic interests contributed US$29 million, 15% down y-o-y as the group reported lower profits from Siam City Cement and mitigated by the 16% y-o-y growth in Refrigeration Electrical Engineering Corporation’s first quarter contribution.
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Revenue grew by 9% y-o-y to US$11.69 billion.
Earnings per share (EPS) stood at US$1.64.
For the period ended June, the group declared an interim dividend per share of 28 US cents, which will be paid on Oct 6.
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Cash and cash equivalents stood at US$3.59 billion.
“The group performed well in the first half of 2023, mainly due to higher contributions from Astra and Direct Motor Interests. THACO’s performance was, however, adversely affected by the challenging economic environment in Vietnam. While economic uncertainties remain, the group expects progress to continue into the second half of the year,” says chairman Ben Keswick.
Shares in Jardine C&C closed 40 cents higher or 1.19% up at $33.95 on July 28.
