Oriental Food Industries Holdings Bhd (+ve)

TRADING of shares in Oriental Food Industries Holdings Bhd (OFI) (fundamental:1.70/3, valuation:1.40/3) triggered our momentum algorithm for the first time this year.

The counter closed up 13.19% or 9.5 sen to 81.5 sen, with 1.40 million shares being traded.

This was in contrast to its 200-day average trading volume of 90,791.5 shares.

On Feb 21, the group announced its profit for its third quarter ended Dec 31 for the financial year ending March 31, 2019 (3QFY19) increased by 53.63% to RM5.12 million, from RM3.33 million last year.

Quarterly revenue also rose 7.88% to RM80.98 million, from RM75.06 million in 2017.

Meanwhile, its nine months ended Dec 31 (9MFY19) cumulative profit decreased by 0.09% to RM10.92 million from RM10.93 million last year.

Its revenue for the period increased by 2.98% to RM221.50 million, from last year’s RM215.09 million.

The group attributed its increases in quarterly and 9MFY19 revenue to higher sales from its local and export markets, while its 3QFY19 profit was attributed to a higher gross profit margin and forex gains.

The group also posted a 3QFY19 interim dividend of half a sen which is to be paid out on March 29, with its ex-date on March 6.