23 April 2012

Cycle & Carriage profit up on Lowe Motors’ acquisition

(CCB opening stock price today (23.4.2012) was RM 2.94)

Mercedes-Benz distributor Cycle & Carriage Bintang Bhd has upped its net profit by 6.76% for the first quarter ended March 31 to RM8.37mil from RM7.84mil in the same period last year, boosted partly by its acquisition of Lowe Motors Sdn Bhd in May 2011.

Revenue rose 6.25% to RM161.67mil from RM152.16mil earlier, while earnings per share improved to 8.31 sen from 7.79 sen.

It told Bursa Malaysia that unit sales of Mercedes-Benz passenger cars were 9% higher for the quarter under review, which benefited in part from the inclusion of Lowe Motors.

The contribution from the after-sales operations also improved following the reintroduction of third-year warranty servicing for vehicles sold since January 2010, it added.

“While the first-quarter results were higher than in the previous year, trading conditions are expected to be challenging for the remainder of 2012 due to the intense competition in the luxury car market,” chairman Alex Newbigging said.

Source: www.thestar.com.my


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