Melaka, Malaysia, 25 April 2013 – Leading flexible packaging provider Daibochi Plastic and Packaging Industry Berhad (Daibochi; Bloomberg: DPP:MK; Reuters: DPPM.KL) posted its highest quarterly net profit of RM7.1 million for the first quarter ended 31 March 2013 (1Q13), which jumped 39.4% year-on-year from RM5.1 million in the previous corresponding quarter.
1Q13 group revenue increased 6.7% to RM73.4 million, versus RM68.8 million previously, largely due to increased sales volume in its flexible packaging business.
Mr. Thomas Lim, Managing Director of Daibochi said:
“Daibochi’s 1Q13 performance is significant for us as it attests to our successful strategy in creating a favourable product mix in our flexible packaging division.
Ongoing strategies to enhance our overall efficiency and reduce wastage have helped us to mitigate the higher-cost environment, particularly with the implementation of the minimum wage policy in January 2013.
In fact, the management’s decision to remunerate employees above the statutory rate while retaining existing productivity incentives has resulted in positive attitude in our workforce, which we hope will translate into higher operational yields in the long-term.
We believe that these improvement measures will continue to serve Daibochi well, even as we embark on our expansion plans to bring the Group to the next level.”
Read more here: 1Q13 Results Press Release