Viz Branz reports higher profit on price hikes, reduction in raw material costs

Viz Branz has registered a 54 per cent jump in fourth quarter net profit to $5.2 million.

Revenue for the three months to June 30 inched up 1 per cent to $39 million.

Earnings per share climbed to 1.45 cents from 0.94 cent previously while net asset value per share grew by 4.7 cents to 31.4 cents.

For the full year, net profit rose by 14 per cent to $19.3 million despite a 3 per cent drop in revenue to $167.8 million.

Instant beverages sales amounted to $147 million, slightly les than the $147.2 million chalked up last year.

Sales of flexible packaging to external parties decreased by 25.9 per cent to $8.3 million.

Other business segment also booked lower sales of $12.5 million compared to $14.3 million last year.

An increase in selling price, reduction in some major raw materials costs coupled with favourable product sale mix improved gross margin to 37.6 per cent from 34.1 per cent previously.

Looking ahead, Viz Branz said its ability to increase selling prices as well as fluctuation in raw material prices; changes in the US dollar and yuan against the Singapore dollar will continue to have an impact on the group's performance.