KUALA LUMPUR, May 23 — Sime Darby Bhd’s net profit rose to RM340 million in the third quarter ended March 31, 2024 (3Q 2024) from RM240 million in the same period last year.

The improvement in profit by 41.7 per cent was driven by the group’s higher profits from its industrial business and wholly owned subsidiary UMW Holdings Bhd.

Revenue jumped by 63.4 per cent to RM18.84 billion from RM11.53 billion previously, Sime Darby said in a filing with Bursa Malaysia today.

It said the strong performance by the group’s Malaysia and Singapore operations helped to cushion the impact of low vehicle margins at the motors division’s China operations.

Group chief executive officer Datuk Jeffri Salim Davidson said the group ended the quarter on a high note, with the industrial division continuing to be the key driver, leveraging strong prospects in the mining sector particularly in Australasia.

“This goes to show that the mining business in Australia is still very strong and continues to be profitable.

“This quarter also marked the UMW division’s first full quarter contribution to the group,” he said.

Moving forward, the integration of UMW into Sime Darby will remain a key priority, said Jeffri Salim.

“Our strong performance is a testament to the hard work and collaborative spirit of our teams across the industrial, motors and UMW divisions.

“With their continued dedication, we are well positioned to unlock new growth opportunities and deliver sustained value for our stakeholders,” he added.

For the nine-month period ended March 31, 2024 (9M FY2024), the group’s net profit increased by more than 100 per cent to RM3.22 billion from RM836.0 million a year ago, largely attributed to the RM2 billion gain on the disposal of Ramsay Sime Darby Health Care in December 2023.

While revenue gained by 38.1 per cent to RM48.3 billion from RM35.0 billion. — Bernama