TwinwoodE

Hup Soon Global Corporation, the distributor of industrial equipment, car/industrial supplies and manufacturer of batteries, recorded a 94.4% rise in net attributable profit to US$1.7 million ($2.1 million) for the three months ended 31 March 2011 (1Q11) compared with US$1.0 million in 1Q10 after similar adjustments. Excluding exceptional items, the net attributable profit would have been US$1.9 million in 1Q11.

In 1Q11, Hup Soon achieved a 35.4% growth in revenue to US$57.1 million on the back of strong operational gains as well as the inclusion of Yokohama Industries Bhd (YIB) as a subsidiary from April 2010. All business divisions showed top-line growth in 1Q11 with the Automotive/ Industrial Supplies Division recording a 28.4% gain and the Equipment Division growing by 20.0% as compared to the previous corresponding quarter (1Q10).

The group’s gross profit margin also improved significantly to 24.0% in 1Q11 compared with 21.2% in 1Q10 due mainly to favorable movements in exchange rate. The upward trend of lead prices also positively affected margins of the group’s battery businesses as it resulted in higher selling prices.

Excluding exceptional items, the net attributable profit would have been US$1.9 million in 1Q11, compared with US$1.0 million in 1Q10 after similar adjustments.