This was despite a quarterly revenue increase of 10.31% to RM652.06 million from RM591.12 million in Q3 FY2022, on the back of higher sales volume.

Earnings per share for the quarter plummeted by almost half year-on-year (y-o-y), from 53 sen to 28 sen, according to the steel products manufacturer’s bourse filing today.

The group did not declare any dividend for the quarter under review.

For the financial year-to-date (9M FY2023), the group recorded RM123.5 million in net loss, from a RM69.48 million net profit in the same period last year (9M FY2022).

“The depressed selling prices and higher input costs had led to the loss for the financial year-to-date,” Southern Steel explained.

Going forward, it said the demand for steel and selling prices are expected to be uncertain. The group said the projected recovery of China has not been as strong as previously anticipated.

“Malaysia’s domestic demand will remain muted in the absence of large infrastructure projects,” it added.

The group said it will continue to be responsive to the market conditions and optimise operational efficiencies.

Despite the poor showing, Southern Steel was up 4.17% or 2 sen to 50 sen at the close of trade today, valuing the company at RM295.11 million.