KUALA LUMPUR (Feb 15): GIIB Holdings Bhd reported a net profit of RM2.32 million for the second quarter ended Dec 31, 2023 (2QFY2024), compared to a net loss of RM11.99 million a year ago, primarily due to the recognition of revenue from a land disposal amounting to RM14 million.

Earnings per share stood at 0.39 sen, improving from a loss per share of 2.03 sen in 2QFY2023, as disclosed by the rubber compound manufacturer to the stock exchange on Thursday.

Quarterly revenue surged nearly threefold to RM25.46 million from RM9.2 million in the previous corresponding quarter, driven by a 24% increase in rubber compound sales and the disposal of land held for development.

For the six-month period ended Dec 31, 2023 (1HFY2024), GIIB posted a net profit of RM2.02 million compared to a net loss of RM12.05 million, while revenue jumped 87.26% to RM35.46 million from RM18.94 million.

Moving forward, the group said it remains vigilant on global trade but has made efforts to grow its revenue in its core rubber compound business, emphasising Rubtek and Supercool in tyre retreading.

Additionally, the group is exploring diverse industries for rubber technology applications to create eco-friendly products.

The group noted that the rubber glove industry has experienced a decline until recent months, and it has taken measures to limit risks and reduce the cash flow required by the business. Nevertheless, the group remains cautiously optimistic for the current financial year.

Shares in GIIB settled at 8.5 sen on Thursday, giving the group a market capitalisation of RM50.26 million. Over the year, the stock has declined by 22.73%.