KUALA LUMPUR (April 24): Industrial chemicals and materials company Luxchem Corp Bhd’s (KL:LUXCHEM) net profit for the first quarter ended March 31, 2025 (1QFY2025) fell 8.6% to RM10.57 million from RM11.56 million a year ago, dragged by higher operating cost, which increased 9.7% to RM13.77 million from RM12.56 million.

This was despite its quarterly revenue rising 3.8% to RM190.07 million from RM183.15 million a year earlier, according to the industrial chemical and material group in a bourse filing on Thursday.  

Luxchem's trading segment focuses on the import, export, and distribution of latex and other products, while its manufacturing segment produces and trades resin, industrial cleaning agents, and specialty chemicals for the rubber glove industry.

The group’s trading segment saw a 24% drop in net profit to RM3.32 million in 1QFY2025 from RM4.38 million a year prior, while the segment revenue increased 3% to RM120.68 million from RM117.48 million.

Meanwhile, its manufacturing segment’s net profit fell 4% to RM9.31 million from RM9.66 million in 1QFY2024, while the segment’s revenue rose 6% to RM69.38 million from RM65.66 million.

No dividends were declared for the current quarter under review.  

Looking ahead, Luxchem said it will focus on boosting productivity and efficiency, as it faces challenges such as currency fluctuations, raw material prices, supply and demand issues, tough competition, and global trade and geopolitical uncertainties.

At Thursday’s midday break, Luxchem shares were up half a sen or 1.1% at 46 sen, valuing the group at a market capitalisation of RM492.14 million. Year to date, the stock has fallen 8.9%.