SEDANIA recorded 19% higher revenue of RM12.2 million in the third quarter ended 30 September 2022 (3QFYE22) versus RM10.3 million in the previous year’s corresponding financial period driven by higher revenue contributions from the Group’s core segments Sustainable Healthcare and Sustainable Energy.
The Group posted its 7th consecutive quarterly profit after tax of RM820,000 in 3QFYE22, which was lower year-on-year mainly due to higher costs incurred by the Sustainable Energy and TelcoTech segments.
Consequently, SEDANIA remained on track to close another profitable year having recorded a
profit after tax of RM2.0 million on the back of RM30.3 million in revenue in the nine months
ended 30 September 2022 (9MFYE22).
“We are pleased to successfully record another quarter of uninterrupted profits and this sets an encouraging signal for us to maintain our second consecutive profitable fiscal year,” SEDANIA Founder and Managing Director Datuk Azrin Mohd Noor said.
“This shows that despite the current challenging economic environment, SEDANIA remains in a
strong position to grow by enabling companies and consumers to become more energy sustainable and environmentally responsible,” he added.
He also commented that SEDANIA is on a strong growth trajectory as it can enable more corporations to initiate green energy transformations and communities to adopt environmentally friendly practices with its energy efficiency solutions and range of eco-friendly healthcare products.
Datuk Azrin highlighted that more sustainability initiatives will undoubtedly be mandated by
regulatory authorities such as Bursa Malaysia in the near future following the recently concluded COP27 conference, which reaffirmed commitments of global economies in limiting the rise of global temperatures.
Revenue from Sustainable Energy rose 33% to RM1.1 million in 3QFYE22 from RM848,000 a
year ago, mainly due to the recognition of lease revenue from completing energy efficiency
upgrades for several mail processing centres, as well as contributions from recurring lease
interest and maintenance income of ongoing Energy Performance Contracts (EPC).
“As becoming energy sustainable is an ongoing initiative, we embrace our role as a sustainability enabler by proactively undertaking initiatives which enhance the energy-saving capabilities of our clients,” SEDANIA’s Chief Executive Officer Daniel Ruppert said.
“The most recent energy efficiency upgrades for one of our clients is a testament to this
commitment and together with recurring income from our EPC, has driven the Sustainable
Energy segment’s positive 3QFYE22 performance. Going forward, we are optimistic about
maintaining this positive momentum as we expect a higher number of installation completions at our project sites.”
SEDANIA’s Sustainable Healthcare arm, Offspring Inc Sdn Bhd (Offspring) saw 13% higher
revenue of RM8.9 million in 3QFYE22 versus RM7.9 million a year earlier on higher demand for
its products from the domestic market and Europe.
Ruppert added, “The Offspring brand has continued to make waves as seen through the consistently increasing demand locally and internationally. This shows that sustainability is a very relevant theme for consumers today.”
Meanwhile, the Group’s FinTech division posted revenue of RM1.6 million in 3QFYE22, a 69%
surge from RM1.0 million a year ago driven by higher traffic from its Tawarruq and GoHalal digital platforms. This catalysed a six-fold leap in its operating profit before tax to RM731,000 from RM119,000 in the previous year.
“For our Sustainable Energy division, we will be looking to secure more contracts from large corporations, shopping malls and manufacturing companies as we seek to become the enabler for their transformation to achieve green energy. Our healthy pipeline of projects from different customers will ensure long-term certainty and consistency in our revenue stream,” Datuk Azrin said.
“In regards to Offspring, we have started making promising inroads in highly populous markets to expand beyond our current presence in 23 countries. With fertility rates remaining high in several of these populous markets combined with the rapidly growing awareness from the masses about climate change, Offspring’s potential as a preferred eco-friendly consumer brand for parents is enormous.”